Can foreigners buy a house in Faroe Islands? Is there any chance at all to buy real estate in Faroe Islands? In this article, we will explore the possibilities and discover all there is to know about purchasing property in Faroe Islands.
Getting to Know the Faroe Islands
A small house in a secluded seaside village far away from the crowds. It sounds tempting, doesn't it? With a surge in tourism in recent years, more and more travelers have been interested in buying property in the Nordic archipelago of Faroe Islands. However, the opportunity to do so is no longer available.
MPs in the Faroese Parliament, Føroya Løgting, recently voted in favor of a law that restricts foreigners from buying real estate in the country. Prior to this law, there were no rules preventing foreign nationals from owning or buying a home or land in Faroe Islands.
The Faroe Islands' Tourism Boom
Located between Scotland and Iceland, the Faroe Islands are home to only 54,500 people. This small volcanic archipelago, which consists of 18 islands, is a self-governed part of the Kingdom of Denmark. For a long time, the people of Faroe Islands were not accustomed to significant interest in their archipelago. However, with clever and award-winning campaigns by the official tourist board, the Faroe Islands have become a popular destination for adventurous travelers seeking the best hikes and unique experiences.
Exclusively for People within the Danish Realm
The decision to restrict foreign ownership of property in the Faroe Islands was brought to parliament by the Faroese Prime Minister, Bárður á Steig Nielsen. Local authorities had been calling for legislation to prevent foreign investors from purchasing properties in the country. As a result, the number of people allowed to buy property in the Faroe Islands has been restricted to those within the Danish Realm.
The remote village Saksun is among the most visited locations in the archipelago. Foreign nationals are not allowed to buy houses here or elsewhere in the Faroe Islands. Photo by Yuriy Shevchenko known as @yuriyshevchenko on Instagram.
The new law states that foreign nationals without affiliation to the Danish Kingdom cannot buy property in the Faroe Islands unless they have specific government permission and have resided within the Kingdom of Denmark for at least five years. This means that buying property in the island group is no longer possible for foreigners. However, they are still welcome to visit and explore the islands by renting a cabin or participating in tours and activities.
The Impact on Real Estate Agencies
Real estate agents in the Faroe Islands have witnessed a surge in demand for property in recent years, including during the pandemic. Foreign investors have shown keen interest in buying houses in quaint Faroese villages. However, with the new law in place, these opportunities are no longer available.
Mostly nestled along the coastline, houses in the Faroe Islands come with stunning views. Photo by Lucas de França.
Conclusion
While the possibility of buying property in the Faroe Islands is no longer accessible to foreigners, there are still numerous ways to enjoy the beauty and charm of this unspoiled archipelago. Renting a cabin and exploring the islands through tours and activities are great alternatives for visitors.
If you are interested in renting or buying property in Faroe Islands, you can reach out to the Guide to Faroe Islands team at [email protected]. They are experts in all things Faroe Islands and can provide you with the information and guidance you need to make the most of your experience.
So, while you may not be able to buy property in the Faroe Islands, you can still immerse yourself in the magic of this hidden gem in the North Atlantic.
