The premium property market in Latvia is gaining momentum: +28% growth in the first half of 2025
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The first half of 2025 in the premium real estate market in Latvia was marked by a strong increase in transaction volume, reaching more than €250 million – the highest level in the last five years and 28% higher than the results for the first half of 2024.
The data research is based on information published by the Land Registry on registered transactions up to July 9, 2025, including transactions with apartments, private houses and building land in Riga, Jūrmala and Pierīga (covering the municipalities of Ādaži, Ķekava, Mārupe, Olaine, Ropaži, Salaspils, Saulkrasti and Sigulda), which meet specific premium segment criteria:
apartments and terraced/semi-detached houses from EUR 150,000;
private houses from EUR 350,000 (based on the area of the main house only),
land for individual private houses from EUR 150,000.
Market overview
The main driver of growth was the apartment segment in Riga, where particularly high activity was recorded. The market in the suburbs of Riga strengthened as a stable alternative, while in Jūrmala it remained volatile, but with an upward trend in the exclusive segment. A total of around 1,000 exclusive apartment transactions, 50 private house transactions and 15 land transactions were registered.
Chart 2 – shows the annual inflation curve and the annual interest rate on housing loans Source: Latvia Sotheby’s International Realty
The macroeconomic environment supported the market – inflation returned to moderate levels (3.5–3.9%), and the annual interest rate on housing loans had fallen to 4.3% by the middle of the year. The real interest rate approached zero, which stimulated demand and increased purchasing power.
Grafiks 2 – parāda gada inflācijas līkni un mājokļu kredītu gada procentu likmi Avots: Latvia Sotheby’s International Realty
Apartment transactions
The Riga apartment market saw the highest number of transactions in the last five years (724 transactions). In the price range from EUR 150,000 to EUR 300,000, the total value of transactions exceeded EUR 125 million, with an average price of over EUR 2,500 per square meter. The middle segment (EUR 300,000–500,000) remained stable in terms of both turnover (~EUR 20 million) and prices (EUR 2,800–3,000/m²). In the exclusive segment above EUR 500,000, although the number of transactions was limited, prices reached EUR 4,200/m², confirming the stability of this market segment.
Graph 3 – shows the total amount of apartment transactions in Riga in different price segments Source: Latvia Sotheby’s International Realty
Chart 4 – shows the average arithmetic and weighted average prices per square meter of apartments in Riga by segment Avots: Latvia Sotheby’s International Realty
In the suburbs, the volume of transactions in the EUR 150,000–300,000 segment reached a historic high of nearly EUR 40 million. The average price in this group approached EUR 2,000/m². Every year, more and more transactions above EUR 300,000 are being observed, including one in the exclusive EUR 500,000+ category, which indicates the arrival of high-end properties on the suburbs market.
In Jūrmala, activity was concentrated in the €150,000–€300,000 segment, with a total transaction volume exceeding €13 million and an average price of €2,200–€2,500 per square metre. A contrasting trend was observed in the higher price tiers — above €500,000, the total transaction volume dropped significantly (to around €1.5 million), although the average price per square metre in this category exceeded €5,000. The market remains selective, with a clear focus on unique properties. It is worth noting that apartment transactions in Jūrmala are often registered as house sales, which may result in slight discrepancies in the data when reflecting the actual market situation.
Chart 5 – illustrates the average (arithmetic) and weighted average price per square metre for apartments in Jūrmala, by segment Source: Latvia Sotheby’s International Realty
Private Home Segment
At the beginning of 2025, Riga’s private home market experienced a relatively high level of activity. Total transaction volume increased across all price segments compared to the first half of 2024. Two transactions exceeded €1,000,000, contributing to a total turnover of €3.6 million. The mid-range (€650,000–€1,000,000) and lower (€350,000–€650,000) segments also showed solid and stable performance, with a total of 13 transactions generating €6.2 million in turnover. Prices in this segment hovered around €1,600 per square metre.
Chart 6 – illustrates the total transaction volume of private home sales in Riga across different price segments Source: Latvia Sotheby’s International Realty
In the greater Riga area, transaction activity remained stable in the more accessible segment, with a total of 20 deals generating €8.4 million in turnover and average prices fluctuating around €1,500 per square metre. Additionally, two mid-range transactions were registered in Marupe and Baltezers; however, no deals above €1 million were recorded.
Chart 7 – illustrates the total transaction volume of private home sales in the greater Riga area across different price segments Source: Latvia Sotheby’s International Realty
In Jūrmala, the high-end property segment (€1,000,000+) saw a strong start to the year, with five transactions pushing total volume to €9.39 million and average prices exceeding €4,000 per square metre. In contrast, activity declined in the mid-range segment, while the most accessible segment remained stable — with seven transactions generating €3.2 million in turnover and average prices around €1,700 per square metre. Overall, Jurmala reaffirmed its position as a premium and highly selective market.
Chart 8 – illustrates the total transaction volume of private home sales in Jūrmala across different price segments Source:Latvia Sotheby’s International Realty
It is important to note that in the Land Register data, the area of houses is recorded as the total floor area, which also includes outdoor spaces, thereby reducing the true price per square metre of the indoor area.
Land transactions
Market activity in the first half of 2025 was very similar to previous years. Of the 15 registered transactions, 8 took place in Jūrmala, 4 in Riga, and the remaining 3 in the greater Riga area. The average transaction value for land in Jūrmala and Riga was comparable — around €480,000. However, in Riga, this amount typically secured an average plot size of 2,552 m² (€186/m²), while in Jūrmala, the average plot size was smaller at 1,986 m² (€242/m²). Statistics for the greater Riga area show that the average value for these three transactions was €195,000, with an average plot size of 3,478 m² (€56/m²).
Chart 9 – illustrates the total investment volume in land, broken down by region, along with annual changes in amounts Source:Latvia Sotheby’s International Realty
Conclusions
Analysis by Latvia Sotheby’s International Realty experts for the first half of 2025 confirms significant growth in activity and confidence within Latvia’s premium real estate market. The total transaction volume has reached a five-year high, exceeding €250 million. These figures reflect market stability, strong demand for quality, and high interest from investors and buyers alike.
Riga continues to establish itself as the leading hub with the widest range of transactions, the greater Riga area is becoming increasingly sought after even in the premium segment, while Jūrmala retains its exclusive status — particularly in the luxury private home category.
Experts emphasize that favorable macroeconomic conditions play a key role in this development — stabilized loan rates and a resurgence in buyer purchasing power are driving decision-making across all price segments.
“ The first half of 2025 clearly marks a new wave of confidence in Latvia’s premium property market. Riga attracts both lovers of modern urban living and investment seekers, while Jūrmala appeals to those searching for sophistication, tranquility, and exceptional quality of life. We see clients making purchasing decisions with greater purpose and thoughtfulness, valuing long-term value, location, and quality. Now is the perfect time to take advantage of the market’s opportunities,” — Ilze Mazurenko, Owner, Latvia Sotheby’s International Realty
Considering expert conclusions and market dynamics, the positive development trajectory is expected to continue into the second half of 2025. Latvia’s premium real estate market is solidifying its position in the Baltics as a reliable, promising, and high-value segment for both living and investment.
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