The real estate market in Pärnu is moving towards stability
The real estate market in Pärnu did not experience a sudden surge over the past year, but there were clear signs of movement towards recovery. Kuldar Kirikal, Development Manager at Miston Capital OÜ, noted that although the market did not rise rapidly, a gradual return of confidence could be felt. Interest in real estate increased and more buyers returned to the market, which is an important sign for the functioning of the property market.
At the same time, buyer behaviour has changed significantly. While in previous years emotion played a larger role, decisions are now primarily based on real needs. Homes are purchased or exchanged when there is a clear practical justification. There are many viewings, but decisions are made thoughtfully and at a calmer pace.
“Today, buyers analyse more, weigh their needs, and assess the market situation realistically,” Kirikal explained.
An important influence is also the improvement in the financial environment. Bank loan offers have become more competitive, and Euribor has stabilised at a level that is more manageable for buyers. This has given many the confidence needed to finally make their purchasing decision.
The secondary market is more active, while competition is intense in new developments
The secondary market has been more active, and transactions are completed there more quickly. Price negotiations are a natural part of the process.
“Clearly, it is currently a buyer’s market – prices are negotiable and sellers need to be realistic,” Kirikal explained.
At the same time, there are signs of oversupply in the new development market. Several projects are under construction or have just been completed, while some are yet to enter the market. In the current market situation, the annual demand for new development apartments in Pärnu is estimated to be around 80–100 units.
Kuldar Kirikal, Development Manager at Miston Capital OÜ
In Miston’s developments, the most in-demand apartments are three-room and larger units, indicating that buyers are looking for long-term and high-quality housing solutions. Over the past year, two buildings were completed in our developments – Vagabond Lofts and the first building of Vista Residences at Mai 79. In addition, the second phase of the Valgekivi Business Centre in Paide was completed. In total, we concluded 25 real rights contracts across our development projects.
Vagabond Lofts completed in 2025
The market is moving forward at a balanced pace
Looking ahead, a moderate increase in the number of transactions can be expected. The market is likely to become more active while maintaining its balanced nature.
In terms of price levels, stability is expected. Some price growth may be seen in the more affordable segment of the secondary market, where demand is stronger. Prices of new developments, however, are generally expected to remain at the same level, with project-based adjustments made if necessary in line with sales strategies.
For Miston, the year 2026 means the implementation of several development phases. The next two buildings of Vista Residences at addresses Mai 77 and 75 are nearing completion and are expected to be finished by summer. We are also continuing the development project at Staadioni tn 3 in Paikuse, where the detailed planning process is reaching its final stage. A total of eight apartment buildings, or nearly 320 new homes, are planned there.
In addition, the goal is to start the Ringi 58 development project, where the former boiler house of Sanatoorium Tervis is located, and to continue the detailed planning process for the former museum building in Pärnu (Aia 4).
These steps reflect confidence in the stable development of the market and a desire to create high-quality and well-thought-out real estate solutions even in changing conditions.
“A rapid price surge is neither visible nor necessary,” Kirikal concluded. More important are balance and stability. It is precisely in such an environment that the strongest projects and the most sensible real estate decisions are made.
