The improvement in the financial and economic situation in the country has influenced the fact that housing prices in Croatia have increased significantly since mid-2014, but their growth is not an insurmountable obstacle to the implementation of plans for the future.
Cost of housing in Croatia: apartments and apartments
Conventionally, the territory of Croatia, which officially consists of 20 counties (regions) and the capital Zagreb, can be divided into two parts: the central part, which is not particularly popular among foreign home buyers, and the Adriatic coast – the tourist region of Croatia.
Zagreb can be considered a separate region, where, as in any capital of the world, prices are definitely inflated, and it accounts for only 3% of the total number of sales transactions.
Thus, the cost of housing in Croatia largely depends on its location. The most popular regions are Istria and Dalmatia, where there is a fairly wide selection of budget options starting from 1,100 euros per square meter.
Housing prices in Croatia start at about the same level in the city of Pula, which has its own international airport, although apartments in new buildings here can cost twice as much.
Budget apartments that do not require renovation and are located within walking distance from the clear Adriatic Sea can be found in cities such as Rovinj, Umag, Porec and Opatija at a price of 2500-3000 euros per square meter.
However, in Dubrovnik, which is considered the “tourist pearl” of the country, you have to navigate the amount from 3,500 euros per square meter, and apartments on the coast are even more expensive. Other Croatian cities where residential real estate is in high demand among foreigners include Zadar, Rijeka and Split, which is included in the UNESCO World Intangible Heritage of Humanity list.
Cost of housing in Croatia: houses and villas
For more discerning buyers in Croatia, detached houses and villas located near the coast are offered for sale. In the first case, the cost of a house with an area of 100 sq.m. starts from 150 thousand euros, and more affordable options mean there are no problems. Most often, these include the need for repairs, but without permission to redevelop and change the external appearance of the building.
In the outback you can often find objects under reconstruction, which need to be reconnected and other landscaping work must be done, so the low price is a serious reason for suspicion.
The cost of a villa in Croatia starts on average from 300 thousand for the same square footage, but the definition of “luxury real estate in Croatia” includes objects whose price is at least 500 thousand euros. At the same time, the average price of a villa fluctuates around one million euros, and the supply seems to be very limited due to the fact that most of these properties are of great interest to EU citizens and are bought up quite quickly.
Cost of land plots in Croatia
It is much more difficult to find inexpensive land for development in Croatia at a price of less than 100 euros per square meter. Local legislation prohibits foreigners from acquiring land on which agriculture is or may be carried out in the future, but allows the purchase of a plot of land in Croatia with the subsequent construction of a residential building on it.
The average price of most land plots is about 160-170 euros per square meter (and twice as expensive if we are talking about a picturesque location in close proximity to the coast), to which should be added the payment of all taxes, permits, including project approval, communications , the purchase of all necessary building materials and the costs of the construction process.
Ultimately, the cost of one square meter of a finished house with a garden plot can increase to the average price of housing in Croatia, depending on a particular region, so in some cases the rational solution is to purchase ready-made housing.
In addition, it should be borne in mind that most land plots for sale have an area of 5-8 thousand sq.m. and are intended for the construction of not just one house or villa, but an entire residential complex or hotel, and the price of such proposals starts from 600 thousand euros. Taking into account the significant increase in tourist flow to Croatia, this type of investment has already proven its profitability.