Buying Properties in Estonia: Coastal & Island Property Guide

Why Go Coastal?

• Panoramic Baltic views

• Rapidly-growing holiday-let demand (summer occupancy often 80 %+)

• Lower land tax in many rural municipalities

But Estonia’s Coastal Area Protection Act means extra steps—especially for foreign buyers.

1. Ownership Rules at a Glance

Zone	Foreign Ownership	Key Limits
Mainland coast (200 m inland)	✔ Allowed	Building height & setback rules
Small islands (<1 km²)	✘ Restricted	Only EU/EEA citizens or Estonian-owned companies
Larger islands (Saaremaa, Hiiumaa)	✔ Allowed	Permit needed if plot > 10 ha
Border areas (Lake Peipus)	Permit	Ministry of Defence approval

Work-around: buy via an Estonian OÜ where you hold 100 % shares—permits are easier.

2. Building & Renovation Setbacks

• Shoreline buffer: 20–100 m from high-water mark (varies by county)

• Height cap: Usually 8 m ridge-height inside buffer

• View corridor: Neighbours have right to sunlight; avoid blocking panoramas

• Maritime heritage zones: Extra design review if near lighthouses or dunes

3. Cost Snapshot (2025)

Expense	Typical Range
Beachfront land (unserviced)	€20–€60 /m²
Serviced plot in Kuressaare	€70–€110 /m²
Well & septic install	€8 000–€15 000
Coastal erosion study	€1 200–€1 800
Annual land tax	0 – 2.5 % of land value (often 0 % for primary homes)

4. Financing & Insurance Tips

• Down-payment: Banks cap LTV at 60 – 65 % for rural coastal plots.

• Storm-surge rider: Add flood coverage; premiums +8 – 12 %.

• Green retrofit grants: Up to 30 % for Class A seaside builds with heat-pump + solar.

5. Short-Let Potential

Island/Area	Avg Nightly Rate	Peak Occupancy
Pärnu Coast	€120	85 % (Jun–Aug)
Saaremaa	€110	78 %
Haapsalu	€95	74 %

Remote work trend keeps shoulder-season bookings at ~45 %.

6. Five Red-Flag Checks

1. Erosion maps—ask municipality for 50-year coastline projection.

2. Road access—private easement or state-maintained?

3. Water table—high-water may hinder basement builds.

4. Bird-nesting seasons—construction bans April–June in Natura 2000 zones.

5. Ferry schedules—some islands have winter ice-road closures; factor logistics.

7. How Bryan Estates Helps Coastal Buyers

• Plot scouting with drone surveys & erosion reports

• Permit application bundles, including Defence permissions where needed

• Local builder network for salt-resistant materials

• Holiday-let management & guest-transfer partnerships (ferry + shuttle)

Frequently Asked Questions

Can non-EU citizens buy on Saaremaa?

Yes, but plots > 10 ha or in border zones need a Defence Ministry permit.

Are there property taxes on second homes?

Only land tax; buildings themselves are untaxed.

Can I build a private pier?

Requires separate Water Act permit and environmental impact assessment.

Ready to Secure Your Baltic Beach House?

Email info@bryanestates.ee or call +372 123 4567 for a coastal-property short-list and compliance roadmap.