The chronic housing shortage observed in major cities in Sweden leaves its mark on prices and the procedure for conducting real estate transactions. Buyers have to fight for vacant properties at auctions.
Citizens of any country have the right to purchase real estate in Sweden, registering the property in the name of an individual or legal entity. There are restrictions only on the purchase of agricultural land and land in nature conservation areas. Otherwise, the choice is wide – from residential real estate to commercial space, including land for development.
It is worth keeping in mind that Sweden uses several forms of property ownership.
Private property. As a rule, detached houses with land plots and townhouses are registered as private property. In this case, you own the building, the land underneath it and bear full responsibility for them. In 2009, a law was passed allowing an apartment in a multi-story building to be registered as private property, but there are still few such properties on the market.
Cooperative property. Most apartments in Sweden are cooperative. When you buy a share in a housing association, you receive the right to use the property, while all public areas remain the common property of the cooperative members, who decide at a meeting how to use the property. The cooperative charter may contain restrictions, for example, on renting out. Therefore, before the transaction, it is recommended to familiarize yourself with the rules of living in the cooperative, as well as the financial documents of the association.
Foreigners in Sweden, regardless of their citizenship and tax residency, along with the rights to real estate, also receive obligations to maintain the property and pay annual taxes. Also, if you rent out Swedish housing, you also pay income tax to the Swedish treasury.
Tax residents of the Russian Federation, in turn, must notify Russian tax authorities about opening accounts in foreign banks or creating legal entities. And this may be required during the transaction. Read more about the rules for buying real estate abroad for Russian citizens.
Owning real estate in Sweden does not give the right to obtain a residence permit or citizenship. If your goal is immigration, then buying an apartment, regardless of its cost, will not solve the problem. According to statistics from the Migration Service, most often people from post-Soviet countries receive a residence permit in Sweden on the basis of family reunification or employment. Another popular option is to open your own business in Sweden.