Affordable Secondary Real Estate in KaunasReal estate near galleriescampuses and rivers

Why Secondary Real Estate in Kaunas Appeals to International Investors

Kaunas, Lithuania’s second city nestled at the meeting of the Nemunas and Neris rivers, has quietly built a thriving secondary market for English-speaking buyers seeking value and heritage charm. Resale Art Nouveau apartments in the Old Town, modern condominiums in the Žaliakalnis district, and spacious flats in the revitalized Šančiai quarter often sell at discounts of 10–20% compared to new builds. Investors gain immediate cash flow from tenants drawn by Kaunas University of Technology, corporate R&D centers, and growing cultural tourism, with title transfers facilitated by Lithuania’s transparent land registry. With low transaction costs, unrestricted foreign ownership, and gross yields driven by student housing and creative-industry demand, Kaunas offers both historic character and strong returns.

Heritage Flats & Boutique Living

Old Town Kaunas showcases elegant late–19th/early–20th-century tenement houses. Secondary apartments here—many featuring original moldings, parquet floors, and high ceilings—achieve gross yields of 4–5% when leased to visiting scholars, law-firm associates, and cultural-tour groups attending Kaunas Jazz Festival and European Capital of Culture events. Value-add buyers often negotiate seller credits for façade restoration and interior upgrades—like installing designer kitchens and energy-efficient windows—to secure nightly-rate premiums of up to 25% in Airbnb-style rentals.

Emerging Districts & Stable Tenancies

On the slopes of Žaliakalnis, tree-lined streets host mid-century apartment blocks and prewar villas. Turnkey resale flats here trade at discounts to new projects but yield 5–6% on year-long leases to faculty and students of Vytautas Magnus University, healthcare professionals at the Santaka Clinic, and executives at nearby business parks. Simple enhancements—adding in-unit laundry or modernizing bathrooms—can boost monthly rents by 15%, while proximity to Laisvės Alėja pedestrian boulevard sustains low vacancy.

Across the Šančiai bridge, historic workers’ quarters have given way to loft-style conversions in former textile mills and barracks. These resale units attract creative startups, co-working operators, and film crews drawn by the city’s burgeoning arts scene. Gross yields reach 6–7% on flexible short- and long-stay agreements, and investors who upgrade communal courtyards and add bicycle-parking facilities often command an additional 10% rent premium.

Lithuania’s streamlined legal framework ensures secondary real estate transactions in Kaunas proceed smoothly. Title searches at the Centre of Registers confirm clear ownership, and total closing costs—including stamp duty (0.5%) and notary fees (1–2%)—remain under 3% of sale price. Non-resident buyers can secure mortgages up to 75% LTV from SEB and Šiaulių Bankas at competitive rates (3–4% APR), and properties held longer than two years are exempt from capital-gains tax, favoring medium- to long-term investment strategies.

Kaunas’s evolving transport network further underpins its resale appeal. Proximity to new tram stops on the Nemunas riverside line and major bus interchanges yields a 5–7% premium for properties within 300 meters of key corridors. The upgrading of the intercity rail station and planned commuter-train links to Vilnius enhance Kaunas’s role as a regional hub, boosting demand for resale flats near the central station and Petrasiūnai district.