Croatia attracts with its islands, investment opportunities, and Mediterranean climate. According to Statista data, Croatia was the only EU country in which the travel and tourism sector not only recovered but also exceeded its pre-pandemic contribution to GDP in 2022 — accounting for nearly 26% of Croatia’s GDP.

Buying property in Croatia raises a host of practical questions: Can a foreign national purchase property in Croatia? A house? An apartment? Agricultural land? Are there any restrictions? What are the purchase costs? Are there any hidden costs? Is a lawyer or real estate agent required for the formalities? These are just a few of the questions that tend to arise when considering a property purchase in Croatia.

Who Can Buy Property in Croatia?

Citizens of EU/EFTA member states and legal entities registered in EU/EFTA member states may acquire property ownership on the same terms as Croatian citizens and Croatian-registered legal entities, without requiring the approval of the Ministry of Justice — though possession of an OIB (Croatian personal identification number) is required. Since July 2023, it has also been possible to purchase agricultural land not only as a company but also as a private individual holding citizenship of an EU member state.

What to Watch Out For

The first step when purchasing property should be to verify whether it has any outstanding debts and how many registered owners it has. This is particularly important because properties in Croatia have often been passed down through generations and may have multiple legal owners. Any obligation, dispute, debt, or liability associated with a property is recorded in the land registry.

The Purchase Process

A preliminary contract — or pre-contract — is a common step in property purchases and helps to avoid disputes, misunderstandings, or financial losses. It is worth noting that owners can sometimes enter into contracts with more than one buyer. The first buyer to register in the land registry (zemljišna knjiga) becomes the legal owner, even if others have already paid for the property — and resolving such a legal dispute can take years.

Ownership rights are not automatically granted upon purchase. The new owner must register the acquisition in the relevant registry. An application for registration as the property owner must be submitted to the appropriate municipal court maintaining the land registry within a specified period following the purchase.

Financing

There is no requirement to hold a Croatian bank account. In addition to the cost of the property itself, taking out a mortgage is an option worth considering. As EU citizens, foreign nationals may apply for a mortgage in Croatia — though this can be more difficult due to the lack of Croatian citizenship or having income sourced exclusively from outside Croatia. In such cases, the bank will conduct a property valuation, for which fees may apply.

Costs

• Certified court interpreter at the notary — a legal requirement to ensure you understand what you are signing.
• Real estate transfer tax (porez na promet nekretnina) — a mandatory tax for anyone acquiring property ownership, whether through purchase, inheritance, or gift. The rate is 3% of the market value of the property at the time of acquisition. Exemptions exist.
• Land registry entry (zemljišna knjiga) — mandatory registration confirming ownership rights.

Throughout this process, it is well worth engaging the assistance of a consultant, real estate agency, or lawyer familiar with the Croatian market who knows what to look out for during the purchase process. Save yourself time and get in touch — we can help you navigate this process efficiently and in full compliance with the law.