With regard to each immovable or a set of immovables the starting price has been determined and no offers lower than that are accepted at the public auction. To take part in a written auction, guarantee cover must be paid not later than by the term of submission of the application. The amount and method of payment of the guarantee cover are specified in the notice of auction. In case of the winner of the auction the guarantee cover shall be included in the purchase amount while in case of other participants the guarantee cover is returned to them. If the contract of sale is not entered into due to reasons arising from the winner, the guarantee cover shall not be returned.
A written offer must include an application (the recommended form of the application is available on the website of the Land Board), a copy of a payment order certifying the payment of the guarantee cover and, in case of the representation of a natural person, a document certifying the representative’s authorities. All offers must be submitted to the Land Board in writing in a closed envelope by hand delivery against signature or sent by express delivery by the time and to the address specified in the notice of auction.
All persons submitting offers or, in case of any authorisations, their representatives may be present at the opening of written offers. An offerer need not be present at the opening of offers. The minutes of auctions are delivered to all participants in the auction within one working day to the address specified in the application.
Generally, the whole purchase amount must have been credited to the bank account specified by the seller or to the notary public’s account not later than by the day of entry into a notarised contract of sale. The notary fee and the state fee shall be paid by the purchaser. If, pursuant to the Commercial Code, the consent of the supervisory board is required for the conduct of transactions, the consent must be presented upon the entry into the contract of purchase and sale.
Upon sales of immovables including forest land and belonging to the state, pursuant to the State Assets Act the owner of a bordering immovable, whose immovable includes a forest land parcel shall have the right of preemption for the acquisition of state land. A person using state land on a legal basis shall also have the right of preemption for the purchasing of state land used by it if the state transfers the land at auction. Upon the sales of state land by the right of preemption, in accordance with the legal provisions applicable at the moment at first a contract of sale under the law of obligations shall be concluded with the winner of the auction.
Entitled persons shall be notified of the content of the contract of sale at their address registered in the population register. Entitled persons shall have the right to make a notarised application for the exercise of the right of preemption within 2 months. By making an application for the right of preemption the entitled person shall assume a liability to purchase state land at the highest price offered at the auction and pay all the costs of entry into the contract of sale and real rights contract. Upon the sales of immovable by the right of preemption, the whole purchase amount must be paid to the bank account specified by the seller or to the notary public’s deposit account by the day of entry into the real rights contract.
After the transfer of the land ownership the new owner shall be obliged to pay land tax. Land tax is a tax based on the taxable value of land, which is established by a local government differentially in terms of the land value zones and/or the types of intended purposes of the cadastral unit. If the ownership is transferred before 1 July of the current year, the obligation of the new owner of land to pay land tax arises as of 1 July of the same year and upon the acquisition of land after 1 July, the obligation of the new owner of land arises as of 1 January of the year following the year in which the land was acquired.
Notices of auction shall be published at the addresses www.ametlikudteadaanded.ee and www.maaamet.ee not later than two weeks before the auction. Notices of auction shall also be published in newspapers. Further information about auctions can be obtained from specialists of the Land Board by calling 675 0101, 675 0199, 675 0829 and 675 0158 (in Russian).