There is a group of Russians who do not plan to leave the country now but want to have that opportunity in case of further deterioration of the situation in the country. Among such buyers, Latvia is popular, where real estate is purchased solely for the purpose of obtaining a residence permit, says Anya Levitova, managing partner at Evans.
Currently, to qualify for a residence permit in Latvia, one must purchase real estate in Riga or other major cities of the republic for at least €143,000. Starting September 1, the minimum investment in Latvian real estate for a residence permit will be €250,000, regardless of region.
Perhaps the Seimas realized that initially Latvia undersold itself and that a residence permit in a Schengen area country can be sold for more. However, despite the increase in the minimum investment threshold, market experts note that emigration to Latvia based on property purchase will still be in demand. Unlike many other countries, there is no additional requirement of a minimum period of residence to obtain a residence permit in this country. Moreover, the procedure for obtaining a residence permit in Latvia is simple and takes only one to two months. In addition, a Latvian residence permit grants the right to visit Schengen countries without a visa.
A residence permit upon purchase of property worth €300,000 can be obtained in Bulgaria, Greece, and Cyprus. Experts suggest that demand for foreign real estate will partially shift to these countries due to their warmer climate.
Wealthier people wishing to have a fallback option in the form of real estate abroad are considering St. Kitts and Nevis, where one can immediately obtain a citizen passport within four months. The minimum investment in real estate in this country is €400,000.
Russians who own their own small business prefer to buy real estate in Spain and Germany, experts say. In Spain, one can obtain a residence permit with a property purchase of €500,000. Germany is a popular destination for business emigration: many people acquire residential property here after starting their own business.
Wealthy Russians choose the United Kingdom and Switzerland. Obtaining citizenship in these countries without significant investment is quite difficult, but a residence permit is sufficient for living.
Switzerland attracts wealthy emigrants with its tax system. To obtain a residence permit in this country based on investment, one must pay from €82,000 to €1.3 million in taxes per year, depending on the canton. And to become Swiss, one must live in the country for 12 years.
The United Kingdom attracts with the opportunity to obtain an 'investor visa,' which grants the right to citizenship in five to six years depending on the amount of investment. The minimum is £1 million.
Many wealthy Russians consider buying housing abroad as an investment. The leaders in the ranking among this category of buyers, according to market analysts, are the United Kingdom, Germany, France, Switzerland, and Austria.
Russians who want to invest in real estate prefer countries with stable economies, whose assets provide stable returns, notes Igor Indriksons, real estate investment manager and founder of Indriksons.ru.