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Arguments Used for Restricting International Real Property Transactions: Case Study of Latvia

Abstract There is a wide range of factors - political, economic, legal, etc., which either limit or promote international real property transactions. It is considered that real property alienation to foreigners enhances foreign investment and economic development, however, some countries tend to limit such transactions. The current research provides a scientific view to reveal the reasons why certain countries impose different kinds of restrictions on international real property transactions. The objectives of this publication are: 1) to find out and analyse the existing arguments and reasons for limiting international real property transactions; 2) to determine the number and volume of international real property transactions in Latvia; 3) to identify the main argumentation for the current step and significant decline of international real property transactions in Latvia. Empirical analysis based on the review of scientific publications, statistical and comparative analysis of real property transactions are the main methods employed for this research.