In short
- A flat in a series building is cheaper per m², so its gross yield is often higher.
- In a new build the rent is higher and there is less renovation, but the purchase price per m² is much higher.
- In a series building, budget for heating costs, the repair fund and a possible renovation payment.
- Compare the net yield of both options after all costs and tax.
New build versus series building
The table shows the main differences that decide how much you keep after all costs.
| New build | Series building | |
|---|---|---|
| Price per m² | Higher | Lower |
| Monthly rent per m² | Higher | Lower |
| Gross yield | Often lower | Often higher |
| Winter heating costs | Usually low | Higher if the building is not renovated |
| Renovation before letting | Often minimal | Often needed |
| Biggest risks | Paying extra for newness, construction defects | Renovation payments, worn-out pipes and wiring |
New build: higher rent, higher price
In a new build, tenants pay for low heating bills, a lift, parking and a modern layout. So the rent is higher and the flat often lets faster.
The price per m² of a new build is usually much higher, though, and in the first years part of it is simply for the flat being new. Check what similar flats sold for in the same project or in nearby buildings, and ask about the developer's warranty on defects.
Series building: cheaper to get in, more work
In a series building you can buy for less, and rent per m² is not always much lower. So the gross yield often looks better.
Costs can eat the difference. A renovation before letting is often needed, and high heating bills force you to ask a lower rent. If the building is planning a renovation, owners usually cover it from the repair fund or from a loan repaid through a monthly charge. Ask the building manager about plans before you buy.
How to compare properly
Gross yield does not show how much money you keep. To compare a new build and a series flat fairly, work out the net yield for both.
- Add up everything you invest: the price, buying costs and renovation before letting.
- Take at least one empty month off the annual rent.
- Subtract real estate tax (NĪN), insurance, a repair reserve and income tax.
- If the building is preparing for renovation, add your share of the payments.
- Divide what is left by the amount invested.
The formula and a worked example are in rental yield.
Before you invest in a flat
- Check that the price matches real deals in the same building or project
- Find out last winter's heating costs
- Ask the building manager about debts, the repair fund and renovation plans
- Judge how quickly similar flats nearby get let
- Plan a reserve for empty months and repairs
Common questions
Is it worth investing in a flat to let?
It depends on the net yield. If, after all costs and tax, it beats deposit interest and your loan rate, the investment can make sense.
Which is better to let: a new build or a series flat?
Series buildings often have a higher gross yield, but higher costs and risks too. New builds have higher rents and less work. Compare the net yield.
What costs do people forget when buying a flat to let?
Empty months, repairs between tenants, renovation payments, insurance and tax on the rental income.
Sources
- Metodiskais materiāls: Nodokļi no dzīvokļa izīrēšanas vai iznomāšanas ienākumiem (updated 21.07.2026) · Valsts ieņēmumu dienests
- Dzīvojamo telpu īres likums · Likumi.lv
This article is for information only and is not legal, financial or tax advice. It may contain mistakes or be out of date, so check it against official sources or with a specialist before you decide. m²cena accepts no liability for any loss or damage arising from the use of the information in this article.