A New Era of Housing in Croatia: National Housing Policy Plan Until 2030

Croatia is facing rising real estate prices, which particularly affects young people and families who want to solve their housing issue. The National Housing Policy Plan brings concrete measures to make housing more affordable, sustainable, and better planned. Through this plan, the state wants to align with European standards and make use of all the opportunities offered by EU funds. If you are planning to buy or rent an apartment, now is the right time to inform yourself and prepare for new projects.

Croatia first in the EU to introduce an affordable housing plan

Affordable housing is not just an economic issue, but also a matter of social cohesion and quality of life. According to data from the European Commission, as many as 38% of young Europeans live with their parents because they cannot afford their own home. Croatia, as the first EU member to adopt the National Housing Policy Plan, wants to enable young people and families to access available, quality, and sustainable real estate. According to the latest data from Eurostat, young people in Croatia leave their parents' home the latest in the European Union, on average at 31.3 years old, while the European average is 26.2 years old.

Objectives of the National Housing Policy Plan

The plan is based on three key goals:

• Affordable housing – young people and families up to 45 years old can use incentives and state subsidies for the purchase of their first property.
• Sustainable housing – ecological standards and energy-efficient buildings reduce costs and environmental impact.
• Optimal use of space – construction and renovation of housing units takes place in a way that protects urban space and the environment.

A total of 2.02 billion euros has been secured by 2030 for the construction of 8,000 new housing units through POS programs, the renovation of 2,000 existing housing units, and the activation of 9,000 private units.

How new housing projects will be financed

Cooperation between the EU, the state, and local self-governments is crucial for the implementation of the plan. Programs include incentives for the purchase of the first property, tax and VAT refunds, as well as investments in infrastructure projects. The Ministry of Physical Planning has published details on procedures and conditions, and more information can be found here.

Sustainability and ecological standards

Systematic application of green building and ecological standards is becoming key in new projects. Croatia draws inspiration from European metropolises such as Vienna, Amsterdam, and London. The focus is not only on energy efficiency, but also on the quality of life of residents through design, functionality, and reducing utility costs.

Local challenges and regional differences

The plan is adapted to regional specifics. For example, urban areas like Zagreb have different requirements than smaller towns and rural areas. Deputy Prime Minister Branko Bačić emphasizes that the National Housing Policy Plan must address all segments of housing: affordability, sustainability, and spatial component, so that all citizens of Croatia have an equal chance for a quality home.

Incentives for young people up to 45 years old

Special attention is paid to young people and families up to 45 years old who are buying their first property. They can exercise the right to a tax refund or 50% VAT. The refund applies to apartments and family houses, with maximum areas prescribed by law, and the funds are calculated according to the actual or maximum permitted area. More about the conditions and procedures can be found here.


The National Housing Policy Plan certainly marks an important step for Croatia towards affordable and sustainable housing. It encourages the construction of new housing units, the renovation of existing ones, and more efficient use of space, with an emphasis on ecological standards and social equality.


If you are thinking about buying your first property, looking for incentives for buying your first property, or want to get a tax refund on the purchase of your first property, our team at the agency can help you. Take a look at our offer of residential properties, whether for sale or rent. We are at your disposal.