Croatia Property Market Overview

Croatia is right on the border of the EU yet it is expected it will still take a number of years before it joins the club, though it is expected that it will at some stage.

By the time the country meets the conditions for EU entry the economy should be in a much stronger position than it is today. Though so far it has not managed to attract significant amounts of FDI and reforms are still needed.

Prices are not low throughout Croatia and mortgage finance is currently not possible for foreigners making it a cash buyer market only.

With land title issues still remaining and less solid economic foundations than many EU member states the property market is just not exciting enough for many investors.

That said, Croatia’s dramatic Adriatic coastline has attracted many wealthy people to buy a second home there, but it is not a market driven by solid enough fundamentals to drive a healthy rental and resale market.

Lack of finance, economic underdevelopment, lack of EU entry and high property prices mean for many property investors there are better investment opportunities else where at the moment.