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Tallinn is one of the most interesting medieval cities in Europe and the capital city of Estonia. The city benefits from being located on the Baltic coast and it acts as a gateway to Scandinavia.

The booming Estonian economy has contributed to reinvigorating the property market with Tallinn currently leading the way with annual price increases of 12% not uncommon.

The old town area of Tallinn is the highlight of the city architecturally and has a history dating back to the 13th century. Walking through the old town you will be met with quaint cobbled streets and onion shaped towers, which add to the idiosyncratic charm of the city.

There are a number of developments in the old town, which consist of older buildings in need of repair being refurbished into new apartments, and these can be rented out successfully to foreign workers typically.

Usually Estonians will prefer to buy rather than rent, however, therefore, it would be most prudent to target foreign workers rather than native Estonians if you sought to rent out property in the capital. Nonetheless, it is still possible to achieve a 10% rental yield in a well situated Tallinn property

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