Real Estate in Croatia
The Croatian real estate market is fairly well developed. Land and house prices are still very favourable, particularly on the islands where there are beautiful stone houses built in the traditional style. Also in the beautiful historic towns such as Dubrovnik, Hvar, Zadar or Korcula there are excellent opportunities to acquire prime location real estate at reasonable prices.
Although the purchase of real estate is straightforward, it is nevertheless advisable to make use of professional assistance. After the estate agent or attorney prepares the contract, the parties sign the contract and notary certifies the signatures. The notary's fees are very low since the notary only certifies the signatures. Following that, the estate agent or attorney requests the registration of the property on behalf of the buyer. EU citizens can freely purchase property in Croatia, except agricultural land and protected areas. Non EU citizens can purchase residential and commercial property in Croatia providing that they get an approval by the Ministry of Justice. The approval is issued if there is reciprocity, i.e. if Croatian persons can purchase real estate in the country of the purchaser. While such an approval can take up to 12 months, it can easily be avoided if the property is bought by a domestic company, which can be entirely owned and controlled by a foreign person. In that way, the transfer tax on real estate of 5% can also be avoided during each subsequent sale of the property.
To acquire real estate or to establish residence in Croatia will require securing relationships with key partners such as government officials, bankers and corporate professionals. You need experienced consultants to build a network of contacts and help you to become established in your new environment.
The specialised services of Henley & Partners are a resource and complement to major law and consulting firms. We can help other firms and their clients with the unique and specific details required by the acquisition of real estate or businesses, and related tax planning.
Through its well-established Croatian office in Split, on the Dalmatian coast, Henley & Partners assist foreign individuals and advise corporations and investors about all aspects of investing and doing business in Croatia. Please contact us for more information or to arrange for an initial personal consultation.