Guide to buying real estate in Croatia for foreign citizens

Guide for foreigners: how to become a property owner in Croatia

Croatia. Mild and pleasant climate. National parks and natural beauties. Crystal clear sea, numerous islands, mighty mountains, fertile plains… The capital city with a million inhabitants; not overcrowded, but full of content and life. A tourist destination, but not an unbearable influx of people. We don't need to list further why Croatia is a real gem among destinations for buying real estate. In addition to all of the above, there are no significant annual property taxes here (find out more about property taxes HERE).

If you are a foreign citizen and looking for a second home, a weekend house, an opportunity for permanent relocation, or just an investment, Croatia is an ideal location. An ideal location, a slightly less ideal bureaucracy. Buying real estate in the Republic of Croatia sometimes seems like a complicated process even for domestic buyers, and buyers from other countries can be particularly reserved. However, you can successfully and painlessly overcome this problem by choosing a reliable real estate agency. In order to successfully navigate the world of real estate sales in Croatia, it is essential to know the basics: what to pay attention to, what are the regulations, taxes, rights, and obligations of foreign buyers? Find out below.

When acquiring real estate in Croatia, the process for a foreign buyer, whether it is a natural or legal person, differs depending on whether they come from a member state of the European Union or not.

Citizens of the EU (+Republic of Iceland, Principality of Liechtenstein, Kingdom of Norway and Swiss Confederation)

If you are a citizen or a legal entity from a member state of the European Union (or one of the four European countries for which the same rules apply: the Republic of Iceland, the Principality of Liechtenstein, the Kingdom of Norway, and the Swiss Confederation), you acquire the right to own real estate in the Republic of Croatia under the same conditions that apply to citizens of the Republic of Croatia and legal entities with headquarters in the Republic of Croatia. You do not need the approval of the Ministry of Justice and Administration to acquire ownership. It is also new that citizens and legal entities from the European Union can acquire ownership of agricultural land, from June 30, 2023.

Foreign citizens outside the EU

Foreign citizens outside the EU need to obtain the consent of the Ministry of Justice and Administration to acquire ownership. Granting consent for the acquisition of ownership of real estate in the Republic of Croatia by foreign persons is decided in administrative proceedings. First, it is necessary to determine whether there is reciprocity between the country you come from and the Republic of Croatia.

Here check if there is reciprocity between the country you come from and the Republic of Croatia. If there is reciprocity, a written request is submitted. The foreign citizen submits a request physically in the registry office or sends it by post to the address:

Ministry of Justice and Administration of the Republic of Croatia
Directorate for Civil, Commercial and Administrative Law
Ulica grada Vukovara 49
10000 Zagreb

In addition to the written request, it is also necessary to attach the following documents:

• legal basis for acquiring ownership (purchase agreement, gift agreement, maintenance agreement, etc.) in the original or certified copy
• proof of ownership of the seller/transferor of the property in question, i.e. an excerpt from the land register
• certificate from the administrative body responsible for urban planning and spatial planning, according to the location of the property, on the legal status of the property (whether the property is located within the construction area provided for in the urban plan)
• proof of citizenship (certified copy of passport, etc.) or proof of legal entity status (excerpt from the court register), if you are a foreign legal entity
• if you are represented by an attorney, it is necessary to submit a power of attorney in the original or a certified copy
• if you have not appointed an attorney to represent you, and you are located abroad, you are obliged to appoint an attorney for the receipt of documents with residence in the Republic of Croatia.

If you come from countries that do not have reciprocity with the Republic of Croatia, the way to acquire real estate is through the establishment of a company in the Republic of Croatia and the purchase of real estate in the name of the newly established company.

What else should you know?

Regardless of whether the buyer is a citizen of EU countries or not, there are exceptions, i.e. ownership cannot be acquired on:

• forests and forest land
• real estate in excluded areas for the protection and interests of the Republic of Croatia
• protected parts of nature

Also, you should know that the real estate transfer tax is 3% of the real estate sales price and is usually borne by the buyer. Read a large guide on tax obligations in the Republic of Croatia related to real estate HERE.

In order to acquire ownership, foreign buyers must obtain an OIB (personal identification number). Find all information about the personal identification number for foreign citizens and how to obtain it HERE. We have thoroughly covered all the steps that need to be taken from the signing of the pre-contract to the conclusion of the sale process and registration in the land register in the article.

For all these steps, as well as the process of selecting and buying real estate itself, it is best to contact experts so that everything goes smoothly and as simply as possible.

Contact us and do everything in one place with the services we offer to foreign citizens:

• Market analysis
• Real estate search and selection
• Viewing properties with a licensed agent

* Translation and interpretation

• Administrative services
• Legal assistance
• Assistance in the process of obtaining the OIB, your personal identification number
• Currency conversion

See everything that Regent offers to foreign buyers HERE.