Can foreigners buy a House in Finland?

Are you wondering if it’s possible to buy a house in Finland as a foreigner?
Good news – it is not only possible, it’s actually quite common.
Finland’s housing market is open and transparent, but there are some rules and details you should understand before making an offer.

Here’s what every foreigner should know before buying a house in Finland.

1. EU Citizens buying a House in Finland

If you’re an EU or EEA citizen you can buy a home in Finland just like a Finnish citizen.

You can purchase:

• An apartment in a housing cooperative

• A terraced or semi-detached house

• A detached house with land

The process is straightforward.

2. Non-EU Citizens buying a House in Finland

If you are a non-EU citizen, you can also buy a house in Finland – but there might be one extra step, depending on what you buy.

Since 2020, non-EU citizens must apply for a permission from the Finnish Ministry of Defence if buying an entire building (f.ex. a detached house on own land.

That means:

• No permission needed if you buy an apartment or a terraced house in a housing company (asunto-osakeyhtiö).

• Permission required if you buy a detached house or plot.

This rule mainly affects countryside homes or lakeside plots close to critical infrastructure, not typical urban properties.
The application process is simple, and most permits are approved without issues.

3. How Housing Cooperatives work in Finland

Most homes for sale in Finland – especially in cities – are part of a housing cooperative.
When you buy one, you actually buy shares in a company that owns the building.

This is a unique system that might feel confusing at first, but it makes buying a home in Finland as a foreigner easier:

• You don’t need a Ministry of Defence permit

• You don’t directly own land

• The process is standardized and well-regulated

However, it also means you’re responsible for part of the housing company’s finances – including shared loans and renovations.
Before buying, make sure to understand the financial statements and the situation around upcoming repairs!

4. Getting a Loan when buying a House in Finland

Yes, foreigners can get a loan in Finland just as Finnish citizens if the banks’ income criteria are met. I’ve worked with several clients from non-EU countries who were able to secure surprisingly high loan amounts, even with only a small down payment.

Your eligibility depends on:

• Income and employment in Finland

• Credit history and existing loans

• Down payment

Banks can differ widely in their loan offers, interest margins, and flexibility.
Negotiating your mortgage terms – or getting help to do so – can easily save you thousands of euros over time. Check this article as well.

Tip: Always compare several banks before accepting a loan offer. Even small differences in margins can matter.

5. Costs of buying a House in Finland

When buying a house in Finland, don’t forget about additional costs:

• Transfer tax (1.5% – 3% depending on property type).

• Digitization fee of the shares if they are not digitized yet (cost around 400 € if handled by your bank)

• Moving and renovation expenses

6. Summary: What to know before Buying a House in Finland

To recap:

• Foreigners can buy property in Finland – both apartments and houses.
• EU citizens have no restrictions.
• Non-EU citizens need a simple permit when buying land.
• Most urban homes are part of housing cooperatives, which simplifies ownership.
• You can apply for a Finnish mortgage, but terms vary – so compare banks carefully.