Invest in Real Estate in Tallinn

Tallinn property investment can be a worthwhile venture if you are selective with the areas you choose to invest in. If not, you could find that your investment suffers due to low rental yields, dwindling demand, and slow property price growth in many parts of Tallinn .
Search Map of Tallinn Investment Real Estate
Tallinn is the most populous and capital city of Estonia. Situated on a bay in north Estonia, on the shore of the Gulf of Finland of the Baltic Sea, Tallinn has a population of 437,811 (as of 2022) and administratively lies in the Harju maakond (county). Tallinn is the main financial, industrial, and cultural centre of Estonia. It is located 187 km (116 mi) northwest of the country’s second largest city Tartu, however only 80 km (50 mi) south of Helsinki, Finland, also 320 km (200 mi) west of Saint Petersburg, Russia, 300 km (190 mi) north of Riga, Latvia, and 380 km (240 mi) east of Stockholm, Sweden. From the 13th century until the first half of the 20th century, Tallinn was known in most of the world by variants of its other historical name Reval.
Tallinn received Lübeck city rights in 1248, however the earliest evidence of human population in the area dates back nearly 5,000 years. The medieval indigenous population of what is now Tallinn and northern Estonia was one of the last “pagan” civilisations in Europe to adopt Christianity following the Papal-sanctioned Livonian Crusade in the 13th century. The first recorded claim over the place was laid by Denmark after a successful raid in 1219 led by King Valdemar II, followed by a period of alternating Scandinavian and Teutonic rulers. Due to the strategic location by the sea, its medieval port became a significant trade hub, especially in the 14–16th centuries, when Tallinn grew in importance as the northernmost member city of the Hanseatic League. Tallinn Old Town is one of the best-preserved medieval cities in Europe and is listed as a UNESCO World Heritage Site.
Tallinn has the highest number of startup companies per person among all capitals and larger cities in Europe and is the birthplace of many international high-technology companies, including Skype, Bolt and Wise. The city is home to the headquarters of the European Union’s IT agency, and to the NATO Cyber Defence Centre of Excellence.
In 2007, Tallinn was listed among the top-10 digital cities in the world, and in 2022, Tallinn was listed among the top-10 “medium-sized European cities of the future”.
The financial stability of Tallinn has translated into a real estate market that rewards forward planning and a willingness to look beyond areas of traditional affluence.
Buy to Rent in Tallinn
Renting out your Tallinn buy-to-rent investment property can grow wealth and income.
Whatever your goals with investment property in Tallinn are – preparation is key.
With our expert guidance, investing in Tallinn provides the secure knowledge that your money is working harder than it would in a local Tallinn bank and that future generations of your family will be left with substantial capital growth assets.
We are always happy to advise on buying investment property in Tallinn, where we have been established for over 35+ years. Physis Realty has been a firm fixture in the Tallinn property market through good times and bad. Our experts have seen it all and our portfolios continue to outperform.
Flipping Investment Property in Tallinn
Flipping property in Tallinn
Flipping property is when we advise clients to buy a Tallinn property below market value, renovate it and then make a profit by selling it at a higher price, all within a few months, and often before the Tallinn market has a time to react to the renovation.
The Flipping Strategy in Tallinn
Investment property flipping in Tallinn is a simple strategy. You find a property that is in need of renovation from our list and purchase it for a low price. These type of Tallinn real estate investments are sometimes referred to by professionals as ‘distressed’ Tallinn real estate.
What is distressed Tallinn property:
- Tallinn property in need of renovation
- Tallinn real estate with a change of purpose and use
- Oversold Tallinn property
- Bank repossessions in Tallinn
Put simply, long term investors in Tallinn purchase the property, renovate it and make it a lot more attractive to potential buyers.
Calculate profit that you make from Tallinn investment property flipping:
Final Selling Price less Cost of Purchase less Costs = Profit
Here is an example:
Tallinn property purchase price: $220,000
Renovation costs: $20,000
Other costs: $25,000
Property sale price: $400,000
Profit: $135,000
Experienced property developers in Tallinn use a minimum profit value of 22% when looking at potential Tallinn projects.
The reason for this is because there are lots that can go wrong in Tallinn property flipping and working on a potential margin of 22% should still leave a good margin of error.
Invest through a Fund in Tallinn
Property Secured Investments is a Private Equity fund that invests in Tallinn and many other towns and cities across Europe. The fund is only available to Sophisticated Investors and closed to United States Citizens. While this is not an offer or promotion of the fund, more information can be found at the website
Luxury Property in Tallinn
For luxury property investors hoping to add a superb property in Tallinn to their luxury real estate investment portfolio, Physis Realty is a trusted partner.
A world leader in luxury real estate with a portfolio comprising some of the most sought-after real estate in Tallinn, Physis Realty caters particularly to high net-worth individuals and families. A luxury real estate investment in Tallinn should be entrusted to only the highest-quality agency.