Finland is discussing the ban on the real estate purchase by the residents of Russia

21.02.2012

On the 17th of February 2012 the group of Finnish deputies proposed the initiative to ban the sale of real estate in Finland to the EU non-residents, including the citizens of the Russian Federation. This initiative was discussed at the plenary session of the Parliament. Continuation of discussions is scheduled for today 21 February 2012.

According to deputies’ opinion at the current moment the problem of relations with the real estate purchase and sale is "an unequal position of the parties", i.e. the Russian citizens can buy the real estate in Finland without restriction, while the residents of Finland are limited in the purchase of the Russian real estate: the Russian President Dmitriy Medvedev restricted the policy in the sphere of the real estate purchase by the foreigners in border areas of Russia. It should be noted that on the 9^th of January 2012 the Russian president signed a decree "On approval of the list of border areas in which foreign citizens, stateless persons and foreign legal entities may not have the right of ownership of land plots." This document concerns the Finnish party in the Leningrad Region and the Republic of Karelia.

The deputies of Finland named problematic moments in the sphere of real estate sale – that’s the purchase of these objects of civil rights by the Russian citizens near the Finnish strategic systems. The deputies also expressed the view that the Finnish real estate purchase by the residents of Russia can be an element of money laundering schemes.

Expert’s opinion

“Time passes and the officials from the "far abroad" because of the extension of contacts with people who lived in the former Soviet Union gain more experience. However as far as gaining experience - they fill their cones. So once again they instead of the prohibition to purchase the real estate by non-residents of Finland - want to ban the real estate purchase by only the EU non-residents. But non-residents of the EU are not only the citizens of the Russian Federation, Ukraine, Kazakhstan, etc. They are the United States, Canada, Australia and Japan. How will they react to the fact that they were forbidden to purchase the real estate in Finland? But even this is not the funniest thing! After all, Cyprus is a member of the EU and the United Kingdom is. What can prevent the citizens of Russia to purchase the real estate in Finland through Cyprus or British company with nominee service?

Surely, sooner or later, the Finnish parliament will see this loophole and close it down also. Then more and more. In the end, the legislation of Finland and the EU will look like the legislation of the Russian Federation. The same slender, clear and easy to carry! And no corruption! No, no! It's a civilized country!”

On the basis: http://yle.fi

Lomakin Yaroslav ( managing partner of Honest&Bright)