Just a few years ago, people were talking about a boom in rural home sales. Now, though, the situation in Southern Estonia looks different. While plenty of rural homes are on the market — more than 160 in Võru County alone — few actually manage to find new owners.

"This may be due to the fact that people simply haven't recovered from last year's crash — high interest rates and banks not approving loans," said Christina Luhamets, a real estate broker at Uus Maa Eleven.

"And all of this has sparked fear, and it's almost like people are waiting for prices to start falling," she continued. "The reality is that prices are holding steady, and it kind of seems like prices could also drop since there are no buyers, but plenty of supply."

Buyers are carefully weighing whether it's worth purchasing a rural home located far from the nearest town or city — especially one that needs renovations and will demand year-round maintenance costs.

"Most of these rural homes are probably not in the best condition and do need some fixing up," acknowledged Joshua Viinalass, a senior broker at Arco Vara. "Which brings us back to financing, which people are still having some difficulty accessing. And buyers need to have some money left over to cover renovation work."

"Buying rural property would be too much of a luxury for most people, since it requires a significant investment," Luhamets said. "And banks aren't providing full financing, so the buyer's down payment has to cover a substantial portion of the price."

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