Lithuania (LT)
Lithuania is the largest and most southerly of the three Baltic states, a semi-presidential EU republic celebrated for its remarkably preserved Baroque capital Vilnius (UNESCO World Heritage), dramatic coastal dunes at Neringa (also UNESCO), vibrant startup and fintech ecosystem (home of Revolut HQ, Vinted, Nord Security, and Hostinger), rapidly rising living standards, and a resilient population with deep cultural roots stretching back to one of the last pagan civilisations in Europe to adopt Christianity.
Buying Property in Lithuania
The full buying process, transaction costs, mortgage, and legal requirements.
Lithuania has a homeownership rate of approximately 90%, one of the highest in the EU. As an EU member state, EU/EEA and OECD/NATO citizens face no restrictions on purchasing residential or commercial property. Non-EU nationals from non-qualifying countries can also freely buy apartments, houses, and commercial buildings, but are restricted from purchasing agricultural and forest land. Even EU citizens must demonstrate at least three years of agricultural activity in Lithuania to buy farmland directly. The market is well-regulated, with all transactions requiring notarisation and registration at the Registrų centras (State Enterprise Centre of Registers). Vilnius leads price appreciation, with the Old Town, Šnipiškės, Žirmūnai, Antakalnis, and new suburbs (Pašilaičiai, Fabijoniškai) being the main residential markets. Kaunas and Klaipėda offer lower prices and growing rental demand.
Rent vs. Buy
The rent-vs-buy calculus in Lithuania favours buying for stays of 5+ years. Vilnius 2026: average 1-bed apartment prices range from €70,000–130,000 (outer districts) to €110,000–230,000 (central/new-build). At a typical mortgage rate of 4–6% (Euribor plus bank margin of 1.5–2.5%), monthly mortgage payments on an 80% LTV loan are broadly comparable to renting an equivalent property. Rental yields average 3–5% gross in Vilnius. The 2026 real estate tax reform significantly changes the annual tax position: primary residences below €450,000 tax value are fully exempt, making owner-occupation advantageous. For those on short postings (under 3 years), renting avoids transaction costs and market risk.
Buying Process — Step by Step
Property search and selection
1–8 weeksSearch on Aruodas.lt, Domoplius.lt, or through real estate agencies such as Ober-Haus, Citus, and Domus Pro. Inspect in person — assess building condition, heating system (centrinis or autonomous), building management (namų valdytojas), and neighbourhood. Engage an English-speaking agent, particularly for new-build projects where the developer contract requires careful review.
Preliminary agreement (preliminarioji sutartis)
1–2 weeks after finding the propertySign a preliminary purchase-sale agreement with the seller committing both sides. Pay a deposit (avansas) of typically 10% of the agreed price. If you withdraw without valid cause, the deposit is forfeited. If the seller withdraws, they must return double the deposit. The preliminary agreement should specify the completion date, conditions, and the final price.
Mortgage pre-approval (if financing)
1–4 weeksApply for a mortgage pre-approval at Swedbank, SEB, or Luminor. Provide proof of income, employment contract, Sodra contribution history (social security), and credit record. Lithuanian banks typically lend up to 85% LTV. Non-residents may face a 60–70% LTV cap. Euribor-linked variable rate mortgages dominate the market; fixed-rate options exist for shorter initial periods.
Legal due diligence
1–2 weeksVerify ownership and encumbrances via the Registrų centras online portal (registrai.lt). Check for mortgages (hipoteka), easements (servitutai), and other burdens. For older multi-apartment buildings, request the management company's statement confirming no outstanding debts. For new builds, verify the developer's registration and permit status at registrai.lt.
Notarial purchase-sale agreement
1–3 hours at the notary office; book in advanceThe final agreement (pirkimo-pardavimo sutartis) must be notarised by a Lithuanian notary (notaras). Both buyer and seller, or their authorised representatives (via notarially certified power of attorney), appear before the notary. The notary verifies identity, ownership, absence of encumbrances, and lawfulness of the transaction, then drafts the notarial deed (notarinis aktas). This is the legally binding transfer of ownership.
Payment and ownership registration
Day of notarisation plus 1–5 business days for registrationFull payment is made on the day of notarisation by bank transfer. The notary then registers the ownership transfer at the Registrų centras on your behalf or provides registration documents. Registration typically takes 1–5 business days. You receive an updated property extract (išrašas) confirming your ownership.
Post-purchase administration
1–2 weeks after registrationNotify the municipal authority of your ownership for property tax purposes, register your declared place of residence (gyvenamoji vieta) with the local eldership (seniūnija) if applicable, and transfer utility accounts (electricity, gas, building management) into your name.
Transaction Costs
| Cost Item | Amount | Notes |
|---|---|---|
| Notary fee | 0.45–0.75% of property value (state-regulated, minimum ~€200, maximum capped) | Notary fees are set by a Ministry of Justice formula based on transaction value. Both buyer and seller typically contribute. Find notaries at notarai.lt. |
| State registration fee (Registrų centras) | 0.045–0.09% of property value | Paid to register the ownership transfer at the real estate register. Accelerated registration (1 day) costs more than standard (5 days). |
| Real estate agent commission | 2–3% of purchase price (typically paid by the seller) | Agent commission is conventionally paid by the seller in Lithuania. Buyer-side representation is less common but available for complex transactions. |
| Mortgage arrangement fee | 0.5–1% of loan amount (bank-dependent) | Charged by the bank on loan origination. Promotional waivers are available. |
| Property valuation (bank-required) | €200–500 | Required by lenders for mortgage approval. Must be conducted by a certified valuator (turto vertintojas). |
| Translation / sworn translation costs | €100–500 | If foreign-language documents (e.g., foreign ID, power of attorney, income certificates) require sworn translation (priesaikos vertimas) for the notary. |
| Annual real estate tax (NTM) from 2026 | Primary residence: 0% on tax value up to €450,000; 0.1% on excess. Other residential property: progressive 0%–1% depending on total value owned. | Significant reform effective 1 January 2026. Main residence (pagrindinis gyvenamasis būstas) valued up to €450,000 is fully exempt. For secondary/additional properties: 0% up to €50,000 total value, 0.2% on €50k–€200k, 0.4% on €200k–€400k, 0.6% on €400k–€600k, 0.8% on €600k–€1m, 1% above €1m. Source: vmi.lt. |
| Total buyer transaction cost estimate | Approximately €2,000–€5,000 on a €150,000 apartment (excluding annual tax) | No stamp duty / property purchase tax (unlike many EU countries). Main costs are notary + registration fees. |
The Notary — Mandatory for All Purchases
A notary (notaras) is legally mandatory for all property purchase-sale agreements in Lithuania — there is no alternative. The notary verifies the legality of the transaction, confirms the seller's title, checks the property register for encumbrances, verifies both parties' identity and legal capacity, drafts the notarial deed (notarinis aktas), and submits the registration application to the Registrų centras. Notary fees are regulated by the Ministry of Justice. Find a notary at notarai.lt. An interpreter can be present if the buyer is not Lithuanian-speaking.
Mortgage
Lithuanian mortgages are predominantly Euribor-indexed variable rate products (Euribor 3M or 6M plus bank margin of 1.5–2.5%), making monthly payments sensitive to ECB rate changes. As of mid-2026 with Euribor normalising, all-in mortgage rates are approximately 4–6%. Fixed-rate products exist for shorter initial periods (3–5 years). Maximum LTV is 85% for residents. A mandatory 2-week "cooling off" period applies after receiving a formal mortgage offer. Banks will require a Sodra contribution history, Lithuanian bank account, and proof of stable income.
15–20% of property value for residents (LTV 80–85%). Some banks offer 10% deposit products with mortgage payment protection insurance. First-time buyer programmes may offer enhanced terms.
EU/EEA citizens are treated identically to Lithuanian residents for mortgage purposes. Non-EU nationals typically face a lower LTV cap of 60–70% and may need to demonstrate a longer period of employment or income history in Lithuania. Non-residents (purchasing purely as investment) face the most restrictive terms, typically LTV 50–60%. A Lithuanian personal identification code (asmens kodas) and active Sodra history are important for approval.
Land Registry
The Real Estate Register (Nekilnojamojo turto registras) is maintained by VĮ Registrų centras (registrucentras.lt). All ownership rights, mortgages, easements, and other encumbrances must be registered here to have legal effect against third parties. The public portal at registrai.lt allows anyone to search property ownership, registered area, address, and encumbrances (fee applies for official extracts). Tax values are reassessed annually by Registrų centras and updated from January 2026 under the new NTM reform.
Taxes
Annual real estate tax (nekilnojamojo turto mokestis, NTM) — reformed from 1 January 2026 by the Seimas: (1) Main residence (pagrindinis gyvenamasis būstas): fully exempt up to €450,000 tax value; 0.1% on the portion exceeding €450,000. (2) Other residential property owned by individuals: progressive rates 0% (under €50,000) to 1% (above €1m) applied to the aggregate value of all non-primary-residence property. (3) Commercial/business-purpose property: separate regime, including a 0.2% defence contribution levy from 2026. Capital gains tax (GPM) on real estate sold: from 2026, the exemption holding period has been reduced from 10 years to 5 years. Gains on property held for more than 5 years are fully exempt. Main residence exemption also applies (minimum 2-year occupancy before sale, or proceeds reinvested in a new main residence within 1 year). Taxable gains: 15% GPM up to 120 average monthly wages; 20% above. Check current rules at vmi.lt.
New Build vs. Existing Property
New build (nauja statyba): purchased from developers, with 21% VAT included in the price. Advantages include A+ energy efficiency class, structural warranty, and modern amenities. Risk: developer insolvency — check developer registration and financial standing at registrai.lt before signing. Existing property (naudota): typically 15–25% cheaper per m² than comparable new-builds, but may carry renovation costs. Soviet-era reinforced concrete panel blocks (daugiabučiai, P-series or I-series) have the lowest values but significant heating costs unless the building has been externally insulated (renovuotas daugiabutis). Check the building's renovation status and the management company's reserve fund (kaupiamosios lėšos) before purchasing in a multi-unit block.
Selling Property
Selling also requires a notarised agreement. Sellers must provide an energy performance certificate (energinis naudingumo sertifikatas — mandatory). Capital gains reform from 2026: profit from selling property held for less than 5 years (previously 10 years) is subject to 15%/20% GPM unless it qualifies as your main residence (owner-occupied for 2+ years before sale, or proceeds reinvested in new main residence within 1 year). Most long-term owner-occupiers will be fully exempt. VAT on new-build first sales is 21% (typically embedded in developer price). Seller also pays notary fee and any outstanding encumbrances must be cleared before transfer.
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