Housing Finance Policy

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    A. Legal and Regulatory Framework

    A.1 Legal and Regulatory Framework
    VariableEnd of 2018End of 2017End of 2016SourcesVar ID
    Basis of the legal system: Civil, Common, Islamic, Other? (Describe)CivilCivilCivil
    NYU Hauser Global Law
    		A.1.1
    Are there specific laws that deal with mortgages? YesYesYes
    Consumer Rights Protection Law
    		A.1.2
    Registration/Transfer of titles:A.1.3
    Does the law clearly define different types of property rights?YesYesYes
    Law On Residential Properties
    		A.1.3.1
    Typical number of days needed for the transfer of title16.516.516.5
    WDI
    		A.1.3.4
    Are there legal constraints on mortgage features?YesYesYes
    Research
    		A.1.6
    Loan-to-Value capYesYesYes
    Consumer Rights Protection Law
    		A.1.6.2
    Are there consumer rights for mortgage lending? YesYesYes
    Consumer Rights Protection Law
    		A.1.7
    Is there specialized legislation covering:A.1.9
    Issuance of covered mortgage bondsYesYesYes
    Law on Mortgage Bonds
    		A.1.9.1
    B. Housing Finance Subsidies
    B.1 Subsidies to Housing Finance Institutions
    VariableEnd of 2018End of 2017End of 2016SourcesVar ID
    Is the lending side of the housing finance system subsidized?YesYesYes
    Research
    		B.1.2
    Guarantees for mortgage loansYesYesYes
    ALTUM
    		B.1.2.2
    B.2 Subsidies to Households
    VariableEnd of 2018End of 2017End of 2016SourcesVar ID
    Are there subsidies to households on housing finance?YesYesYes
    Research
    		B.2.1
    Down-payment subsidies YesYesYes
    ALTUM
    		B.2.1.3
    OtherYesYesYes
    ALTUM
    		B.2.1.6
    Reach of subsidies in 2.1.1 to 2.1.4 ?B.2.2
    C. Taxation
    VariableEnd of 2018End of 2017End of 2016SourcesVar ID
    What taxes apply to Residential Real Estate?C.1
    Tax on property (home-owners) YesYesYes
    Ministry of Finance of the Republic of Latvia
    		C.1.1
    Property transaction taxes (purchase/selling)YesYesYesC.1.2
    Mortgage transaction taxesYes  C.1.3
    Tax on capital gains on property YesYesYesC.1.5
    back to top | Country Data:
    Notes: % of households
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    Notes: % of households
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    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households
    Notes: % of households with market rate rent
    Notes: % of households with market rate rent
    Notes: % of households with market rate rent
    Notes: % of households with market rate rent
    Notes: % of households with market rate rent
    Notes: % of households with market rate rent
    Notes: % of households with market rate rent
    Notes: % of households with market rate rent
    Notes: % of households with market rate rent
    Notes: % of households with market rate rent
    Notes: % of households with market rate rent
    Notes: % of households with market rate rent
    Notes: % of households with reduced or free rent
    Notes: % of households with reduced or free rent
    Notes: % of households with reduced or free rent
    Notes: % of households with reduced or free rent
    Notes: % of households with reduced or free rent
    Notes: % of households with reduced or free rent
    Notes: % of households with reduced or free rent
    Notes: % of households with reduced or free rent
    Notes: % of households with reduced or free rent
    Notes: % of households with reduced or free rent
    Notes: % of households with reduced or free rent
    Notes: % of households with reduced or free rent
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: 2010=100
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees of up to 80% of principal, up to 10 years
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees of up to 80% of principal, up to 10 years
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees of up to 80% of principal, up to 10 years
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees of up to 80% of principal, up to 10 years
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees of up to 80% of principal, up to 10 years
    Notes: ALTUM is a state-owned development finance institution that offers housing loan guarantees of up to 80% of principal, up to 10 years
    Notes: Bank of Latvia is on the Macroprudential Council
    Notes: Bank of Latvia is on the Macroprudential Council
    Notes: Bank of Latvia is on the Macroprudential Council
    Notes: Bank of Latvia is on the Macroprudential Council
    Notes: Bank of Latvia is on the Macroprudential Council
    Notes: Bank of Latvia is on the Macroprudential Council
    Notes: Capital gains tax of 15%
    Notes: Capital gains tax of 15%
    Notes: Capital gains tax of 15%
    Notes: Capital gains tax of 15%
    Notes: Capital gains tax of 15%
    Notes: Capital gains tax of 15%
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Euro monetary union rate
    Notes: Financial and Capital Market Commission and Ministry of Finance also form the Macroprudential Council
    Notes: Financial and Capital Market Commission and Ministry of Finance also form the Macroprudential Council
    Notes: Financial and Capital Market Commission and Ministry of Finance also form the Macroprudential Council
    Notes: Financial and Capital Market Commission and Ministry of Finance also form the Macroprudential Council
    Notes: Financial and Capital Market Commission and Ministry of Finance also form the Macroprudential Council
    Notes: Financial and Capital Market Commission and Ministry of Finance also form the Macroprudential Council
    Notes: Kreditinformacijas Birojs became the first licensed credit bureau in Latvia in September 2015
    Notes: Loan guarantee fees are subsidized for families with dependent children
    Notes: Loan guarantee fees are subsidized for families with dependent children
    Notes: Loan guarantee fees are subsidized for families with dependent children
    Notes: Loan guarantee fees are subsidized for families with dependent children
    Notes: Max 95% LTV with state guarantee
    Notes: Max 95% LTV with state guarantee
    Notes: Max 95% LTV with state guarantee
    Notes: Max 95% LTV with state guarantee
    Notes: Max 95% LTV with state guarantee
    Notes: Max 95% LTV with state guarantee
    Notes: Max 95% LTV with state guarantee
    Notes: Max 95% LTV with state guarantee
    Notes: Max 95% LTV with state guarantee
    Notes: Max 95% LTV with state guarantee
    Notes: Max 95% LTV with state guarantee
    Notes: Maximum tenure for top 3 mortgage lenders in Latvia
    Notes: Maximum tenure for top 3 mortgage lenders in Latvia
    Notes: Maximum tenure for top 3 mortgage lenders in Latvia
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank
    Notes: Mortgage and Land Bank became development finance institution ALTUM in 2014. It no longer offers mortgage loans.
    Notes: Mortgage and Land Bank became development finance institution ALTUM in 2014. It no longer offers mortgage loans.
    Notes: Residential property tax ranges from 0.2-0.6%
    Notes: SEB is the second largest bank in Latvia and offers mortgage loans at 40 years maturity rate, the highest observed in Latvia.
    Notes: SEB is the second largest bank in Latvia and offers mortgage loans at 40 years maturity rate, the highest observed in Latvia.
    Notes: SEB is the second largest bank in Latvia and offers mortgage loans at 40 years maturity rate, the highest observed in Latvia.
    Notes: Stamp duty is levied on mortgage registration
    Notes: Stamp duty of 2% on property registration
    Notes: Stamp duty of 2% on property registration
    Notes: Stamp duty of 2% on property registration
    Notes: Stamp duty of 2% on property registration
    Notes: Stamp duty of 2% on property registration
    Notes: Stamp duty of 2% on property registration
    Notes: State guarantees loans to families with children granted by credit institutions for house purchase or construction. The guarantee covers 10%-20% of the loan depending on the number of minor children in the family, thus allowing to reduce the first down payment accordingly.
    Notes: State guarantees loans to families with children granted by credit institutions for house purchase or construction. The guarantee covers 10%-20% of the loan depending on the number of minor children in the family, thus allowing to reduce the first down payment accordingly.
    Notes: State guarantees loans to families with children granted by credit institutions for house purchase or construction. The guarantee covers 10%-20% of the loan depending on the number of minor children in the family, thus allowing to reduce the first down payment accordingly.
    Notes: State guarantees loans to families with children granted by credit institutions for house purchase or construction. The guarantee covers 10%-20% of the loan depending on the number of minor children in the family, thus allowing to reduce the first down payment accordingly.
    Notes: State-guaranteed mortgage loan program covers 10-20% of the loan depending on the number of children in family
    Notes: State-guaranteed mortgage loan program covers 10-20% of the loan depending on the number of children in family
    Notes: State-guaranteed mortgage loan program covers 10-20% of the loan depending on the number of children in family
    Notes: State-guaranteed mortgage loan program covers 10-20% of the loan depending on the number of children in family
    Notes: Swedbank offers a Home Small Loan with amount b/t EUR5,000-20,000 (~USD5,725-23,000)
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Third quintile of mean disposable household income
    Notes: Voluntary foreclosure takes 3-4 months; Involuntary foreclose takes 6-12 months