CROATIA ECONOMY AND REAL ESTATE INVESTMENT OVERVIEW

Developing

Foreigners' interest in buying property in Croatia is not something new. Before the war in the nineties many tourists showed interest in buying property in Croatia. At that time, they were not allowed. With the Croatian independency from Yugoslavia the thing changed and particularly, from 2000 the market started to emerge.

Germans and Austrians, who have a long history of tourism and commerce in Croatia were the first ones to buy property. British interests started around the end of 2002. Italians for example cannot buy property in Croatia because of reciprocity.

Reciprocity works in the following way: if a Croatian national does not have any restrictions to buy property in an x country then the nationals of that country will have no problem in purchasing property in Croatia. Great Britain, Ireland, Australia, USA, and many other Europeans countries have reciprocity with Croatia.

The advance in developing became quite notorious by 2001. Nevertheless, the Croatian authorities saw what was done with Southern Spain and immediate legislation was implemented to protect the landscape and especially the coast. We do not have to forget that tourism plays a major part in Croatia's economy, with 46.4% of the workforce involved in the service sector.

The building standards in Croatia are really good indeed. Most of the builders, now big developers, previously worked in Germany, when times in Croatia were harder. The quality is spot a first sight by many people who look for property in Croatia and helps them to decide for this country, where development is limited and there is good quality for value.

BROKER, real estate agency team.