Countries Where It is Most Difficult for a Foreigner to Buy Real Estate

In many countries, there are various levels of difficulty for foreigners trying to buy real estate there. Somewhere, it is not possible in principle for some foreigners; somewhere, a number of conditions must be met in order to buy; in some countries, there are certain areas where you cannot buy property; and so on. We collected a list of countries where there may be difficulties in buying an apartment or a house and outlined the important details in each case. 

Austria

To buy property in Austria, you must meet one of the following requirements:

• Have citizenship of one of the EU countries, Switzerland, Iceland, Norway, or Liechtenstein.
• Citizens of these countries will not need additional permits for the purchase.Have an Austrian residence permit.
• To buy with a residence permit, you will need to obtain permission from the local Land Commission.Make the purchase on a legal entity registered in the EU. 

Exceptions are possible, but they depend on the characteristics of a particular property. For example, in some federal states of Austria there are restrictions on the purchase of agricultural land by foreigners.

Hungary

Foreigners are required to obtain a permit from the local authorities to purchase real estate in Hungary. It is issued by the Land Committee and it is necessary to engage a lawyer to support the transaction. 

Permission is not required if the purchase is made through a company (legal entity) registered in Hungary or in the EU. However, in this case, additional documents may also be required, depending on the type of company and its activities.

Restrictions. Foreigners are forbidden to buy in Hungary: military and strategic objects, national monuments, and objects located in the reserves. Buying on the territory of resorts Balaton, Heviz will be under question—the authorities may not give permission.

Vietnam

Categories of foreigners who are allowed to purchase apartments in Vietnam:

• foreigners who have invested in the Vietnamese economy or hold executive positions in a company operating in the country;
• foreigners whose contribution has been recognized by the President or the Prime Minister of Vietnam;
• foreigners with higher education who work in the socio-economic field or who have special knowledge important to that particular country;
• foreigners who are married to Vietnamese nationals;foreign capital companies operating in Vietnam that are not real estate companies and need housing for their employees. 

Restrictions. Foreign individuals can own apartments for a maximum of 50 years; foreign companies — for the period specified in their investment certificate.

Also note that resident foreigners cannot sublet residential property purchased in Vietnam.

Greece

Foreigners who are not citizens of the EU and the EEA (European Economic Area) are not allowed to buy real estate in Greece near military bases and national boundaries, in particular in some regions of Northern Greece, Crete and Rhodes, the East Aegean Islands, and the Dodecanese Archipelago.

Denmark

A foreigner may buy property in Denmark only for their main place of residence or business.

But only if he meets one of the requirements:

• has previously lived in Denmark for at least five years;
• is a citizen of the EU and works in Denmark;
• is a citizen of a non-EU country with a valid permit to stay or do business.

For EU citizens, the process of buying real estate is greatly simplified.

Canada

Since Jan. 1, 2023, foreigners have been banned from buying real estate in Canada. It was extended until January 1, 2027, which means it will be in effect for four more years, not just two as originally planned.

But there are still exceptions. Buy housing in this country can foreigners who:

• have a work permit in Canada. However, you can buy no more than one residential property;
• buy vacant land for the purpose of residential and mixed development;
• buy homes for the purpose of development. This also applies to public companies established in Canada but controlled by foreigners.

Foreign students and some other categories of foreigners also have the right to purchase real estate under certain conditions, such as a long stay in the country.

Cyprus

Non-EU and EEA citizens who want to buy property in Cyprus will need official permission from the Council of Ministers of the country. It is usually readily granted for the purchase of a house or plot of land not exceeding 4014 square meters.  In some cases, permits may also be issued for larger lots, depending on the specific circumstances.

Restrictions. In addition, foreigners who are not citizens of the EU or EEA can only own one object. And commercial property can only be bought by a legal entity registered in Cyprus.

UAE

The right to buy property in full ownership anywhere in the UAE belongs to the citizens of this country as well as foreigners from the Middle East, such as Saudi Arabia, Oman, Bahrain, Kuwait, and Qatar. Companies registered in these states also have this opportunity.

A non-Arab foreigner can buy housing and commercial properties only in certain freehold areas of the UAE. Objects located in free zones are in full private ownership and can be sold, rented, donated, or passed on by inheritance.

Can a foreigner buy a house in Dubai? Yes, between 2006 and 2008, regulations were passed that approved a list of free zones in Dubai, Umm Al Kuwait, Ras Al Khaimah, and Ajman. In 2019, freehold ownership became available to foreigners in Abu Dhabi as well. In Dubai, for example, there are currently more than 60 freehold areas.

In the United Arab Emirates, there are also freehold areas where the property is sold as a long-term lease (with a maximum term of 99 years). At the end of this period, the tenant must return the property to the owner, but it is possible to extend the contract for a similar period for yourself or a relative. It is also possible to sell the property before the lease expires by transferring the remaining lease time to the buyer. This type of property is available only to citizens of Arab countries.

Malta

To buy property in Malta, a foreigner must:

• Obtain official permission from the authorities — Acquisition of Immovable Property Act (AIP Permit). An AIP permit is required to buy property in any area except Special Designated Areas. EU citizens who have lived on the island for the past five years, as well as their spouses who do not have European citizenship, will not need a permit, and these benefits also apply to EU citizens who acquire real estate for business or services.
• Acquire an object worth more than a certain minimum set by the National Bureau of Statistics (€150,000 for apartments and €250,000 for other objects). This amount is often revised.
• Foreigners can buy in Malta no more than one object per family (except for special areas).

Mexico

As a foreigner, you are not allowed to buy property within 62 miles (100 km) of the international border or 31 miles (about 50 km) of the coast. However, these restrictions can be circumvented legally, either by purchasing the property through a Mexican land trust (fideicomiso) or through a Mexican corporation.

Another point: ejido (land granted by the government to the indigenous peoples of Mexico) cannot belong to foreigners.

Poland

Conditions. To buy a house with a plot, foreigners who are not EU or EEA citizens must obtain a permit from the Ministry of the Interior. Such a permit is obtained by those who can prove a connection with Poland: it can be a temporary or permanent residence permit, Polish descent, or marriage to a citizen of the country. You do not need a permit for the purchase of an apartment.

A permit is also required for the purchase of real estate located in the border area.

Saudi Arabia

A foreigner may own one property in Saudi Arabia without the right to resell it.

The country has also introduced the Premium Residency program, which provides extended rights to foreign investors.

There are two options to participate in it: 

(a) As a real estate investor:

• Requires the purchase of a completed home worth 4 million Saudi riyals or more (about $1 million).
• The purchase must be done without the use of mortgage loans.
• Validation of the value of the property by accredited appraisers is required.

b) As a privileged resident:

• Proof of financial solvency is required.
• Fee payment: — Up to 5 years: 100,000 Saudi riyals (about $26,500). — Unlimited term: 800,000 Saudi riyals (about $212,000).

Restrictions. Foreigners are not allowed to purchase housing in the cities of Mecca and Medina; it can only be inherited.

For foreigners, there are also restrictions on the right to dispose of property. For example, the sale of acquired property is possible only after five years.

It is worth noting that the Kingdom is developing a new law to support foreign investment, which should come into force in 2025.

Slovenia

Citizens of Slovenia, the European Union, and OECD (Organization for Economic Cooperation and Development) countries have the right to freely buy real estate in the country. Citizens of other countries have a different procedure: they need to register a legal entity in the country.

The procedure for opening a company includes obtaining a work permit. This requires fulfillment of one of the following conditions:

1. Investment of at least 50,000 euros immediately after company registration.
2. Proof of monthly company income of at least EUR 10,000 for the first six months of operation.

Foreign nationals can purchase various types of real estate, including apartments, houses and plots of land, in most regions of Slovenia. Special requirements may apply only for the purchase of agricultural land.

Singapore

Foreigners are free to buy apartments in apartment buildings and condominiums in Singapore without special permission.

To buy a separate house with a plot of land, a foreigner needs a special permit from the government of this country. It is quite difficult to obtain it.

Also, foreigners are completely prohibited from buying Housing and Development Board (HDB) apartments — these are affordable apartments subsidized by the government. And they make up the bulk of the country's housing stock.

Since 2011, foreigners have to pay Additional Buyer's Stamp Duty (ABSD) when buying residential properties. The rate of this duty changes periodically.

However, citizens of some countries (e.g., Norway, Switzerland, Liechtenstein) have the same rights to buy real estate as citizens of Singapore.

Thailand

Foreign nationals can acquire full ownership of apartments only in condominiums, where each apartment has its own owner but the common area is shared ownership. If an apartment building is not registered as condominium, foreign nationals can only purchase apartments on the basis of a long-term lease (leasehold).

When buying a villa with a plot of land, foreign nationals can only acquire full ownership of the house. The plot of land can only be leased by a foreign individual on a long-term lease, usually for a period of 90 years. It is also possible to set up a Thai company: a foreigner can own 49% of the company that buys the land.

Turkey

Non-residents may purchase real estate in Turkey, the total area of which does not exceed 25,000 square meters. The total area of land a foreigner can own is limited to 30 hectares per person.

Restrictions:

• Beginning July 1, 2022, a foreign national who acquires property in one of the 1,169 closed regions cannot register and reside in the property. Consequently, he or she will not be able to obtain an initial residence permit and officially stay in the country. The same rule applies to rent. However, this innovation will not affect foreign nationals who already had a residence permit in these closed regions.
• The Turkish government prohibits foreign nationals from buying property in border and military areas. Besides, each foreign citizen is allowed to own up to 10 percent of the real estate in a certain place or city.
• Buying real estate in Turkey is prohibited for foreign foundations and associations, and citizens of Armenia, Yemen, Cuba, Nigeria, Syria, and North Korea cannot register real estate in the country as individuals.

Lithuania

EU/EEA citizens have the same rights to purchase real estate as Lithuanian citizens without additional restrictions.

Non-EU/EEA citizens are free to buy real estate, but there are restrictions on the purchase of agricultural land.

Restrictions. In late March 2023, the Lithuanian Parliament approved the first reading of the bill to introduce a ban on the purchase of real estate by citizens of Russia and Belarus. A little later, it was softened a little. As a result, now the situation regarding real estate is as follows:

• The ban on buying real estate in Lithuania will only affect those Russians who do not have a residence permit or permanent residence permit in Lithuania. Also, non-residents will not be able to take real estate as an inheritance.
• For citizens of Belarus, restrictions on real estate were canceled — the Belarusians are able to buy real estate. But additional inspections and paperwork are apparently inevitable.

New Zealand

You cannot buy or build a house in New Zealand if you are a foreigner with a temporary or transit visa (e.g., a student, work, or visitor's visa) or a foreigner without a visa.

Conditions. New Zealand citizens and permanent residents who meet the requirements of “ordinary residents” can buy property without restrictions.

If you have a resident class visa but are not yet a “normal resident,” you can buy or build a home to live in if you get approval from the Office of Overseas Investment before the purchase.

To qualify for New Zealand residency status to buy a residential property, you must meet all four criteria:

• have a resident visa;
• have lived in New Zealand for at least the past 12 months;
• be physically present in the country for at least 183 days in the last 12 months;
• be a tax resident of New Zealand.

If you are a citizen or permanent resident of Australia or Singapore, you will receive a resident visa when you arrive in New Zealand.

Finland

Buyers of real estate in Finland from outside the European Union and the European Economic Area (EEA) must obtain a purchase permit from the Ministry of Defense of this country. It will not be needed if the apartment is owned by a housing company.

Restrictions. Foreigners are not allowed to buy property in Åland. This is only possible with the right of residence in Åland, to which only the children of the original inhabitants of the archipelago and Finnish citizens may apply.

Switzerland

Buying real estate in Switzerland is limited to:

• Swiss citizens.
• EU citizens who have a residence permit in categories B and C.
• Natives of other countries with a residence permit of category C (or B, but it depends on whether the bank will approve).
• Foreigners need a permit to buy a vacation home.

Restrictions:

• Non-residents can only buy one property for personal use per family, and the property cannot exceed 200 square feet of living space.
• Foreigners are not allowed to buy a holiday home in all cantons, and only if they have quotas. But they can live there for no longer than a certain period of time defined by the municipality.
• Foreign companies are not allowed to buy property in Switzerland, but you can buy it through a company that is listed on the Swiss stock exchange. In this case, a non-resident is allowed to own no more than 33% of the share capital of the company.

Montenegro

Restrictions. Foreigners can not buy property less than one kilometer from the state border, as well as facilities on islands and objects of strategic importance.

Estonia

Restrictions. Aliens are not allowed to buy property in the border areas.

Only citizens of Estonia, the EU, and the EEA, as well as legal persons, can do it, and only with the permission of the government.