In short
- Find 5–10 similar rental listings nearby with the same number of rooms and a similar size.
- Compare the price per m² and adjust for renovation, furniture, floor and the state of the building.
- If similar listings hang around for weeks, their price is too high, and you don't need to copy it.
- One empty month a year costs more than a small discount for the whole year.
Find similar flats nearby
The best guide is the flats your tenant will choose between. Look for listings in the same neighbourhood, ideally within walking distance, with the same number of rooms and a size within 10 m² of yours.
Note down the price, size, floor, level of renovation and whether each one is furnished. Five to ten listings are enough to see the price range.
Remember that a listed price is what the landlord would like. It is a ceiling, and tenants often offer less, especially in winter or when a flat has been on the market for a while.
Adjust for the differences
Convert each similar flat to a price per m² and take the middle of the range. Then add or subtract for what is better or worse about your flat.
| Difference | Effect on price |
|---|---|
| Fully furnished with appliances | Higher |
| Fresh renovation | Higher |
| Renovated building, low heating bills | Higher |
| Top floor without a lift | Lower |
| Walk-through rooms | Lower |
| Parking space or storage | Higher |
How much rent to charge: starting price and testing it
Look at how long similar listings stay on the market. If a flat sits for weeks at a given price, that is a price nobody is paying. Listings that disappear within days show the real level.
List your flat in the middle of the range or slightly above it. If you get no calls or viewings in the first week, the price is too high. After a second week without serious interest, lower it.
For a good tenant who stays a year or longer, a small discount can be a deliberate choice. A calm tenant who pays on time and doesn't change every year means fewer empty months and less repair work.
- Good, bright photos of every room
- A clear note of what comes on top of the rent: building management, heating, electricity
- The security deposit amount and whether pets are allowed
- The date the flat is available from
Why an empty month costs more than a discount
Say the flat could rent for 550 euros. If you ask 570 euros and the flat stays empty one month longer, you lose 550 euros of rent and still pay building management and heating.
The extra 20 euros a month adds up to 240 euros a year. So even half a month without a tenant wipes out the whole gain. The numbers here are an example, and the logic works at any price.
The other costs that eat into your income are covered in letting costs, and rents by neighbourhood in rent prices in Riga.
Common questions
How much should I charge for renting out my flat?
What similar flats nearby rent for when they let within a few weeks. Compare the price per m² and adjust for renovation, furniture and floor.
Should utilities be included in the rent?
Usually the rent is stated separately and the tenant pays utilities by the bills. That way you don't carry the winter heating risk yourself.
When should I lower the rent?
If there is no serious interest within two weeks. An empty month costs more than a small discount for the whole year.
Sources
- Dzīvojamo telpu īres likums · Likumi.lv
- Pirmie soļi nekustamā īpašuma izīrētājam · Valsts ieņēmumu dienests
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.