Municipalities Rebut State Audit on Property Records; Drone Threats Deter Buyers in Border Areas
A State Audit found that Latvian municipalities lack complete information on their properties and only about half are registered in the land registry. Municipalities dispute the findings, citing an unfinished land reform and drone threats near the border that reduce buyer interest.
The State Audit office has revealed that Latvian municipalities do not have full data on all their properties, and only about half of the over 200,000 properties are registered in the land registry. Municipalities, however, argue that the situation is not as dire as portrayed.
Ērika Teirumnieka, executive director of Rēzekne municipality, states that all properties are accounted for, but registration in the land registry is often postponed until a sale is planned. Similarly, in Krāslava municipality, executive director Viktors Aišpurs notes that drone threats along the border have significantly reduced buyer interest – there is no guarantee that a property will sell after registration.
Several municipalities point to the incomplete land reform as a major obstacle. Rēzekne municipality has nearly a thousand land lease agreements with individuals who have preemption rights but lack funds to purchase the land. Augšdaugava municipality has over 1,500 such agreements. Its chairman, Vitālijs Aizbalts, stresses that the Finance Ministry and the Justice Ministry share responsibility for failing to enact necessary legislative changes.
The audit also criticized property auctions – in Gulbene municipality, oral auctions may not always achieve the highest price. The municipality explains that this method allows seniors without internet access to participate, and all properties are professionally appraised before sale.
Although municipalities do not agree with all audit conclusions, they acknowledge that the review helped identify shortcomings that can be addressed. However, they emphasize that some issues cannot be resolved without state involvement.
