There are no buyers in the Croatian real estate market and prices have fallen significantly during the past year. Some of the agents feel that the prices will decrease even more in the next year, but most analysts agree, however, that now is the optimal time to buy.
Prices on the most attractive locations such as Istria or Dubrovnik are now a lot more realistic than before, while at the same time the influence of the financial crisis resulted in significant changes in demand for real estate from abroad, especially when it comes to buyers from the UK, which are now much less numerous than before. Beginning of this year brought a very bad situation and soon there was more than 10,000 unsold flats. Even the law of equalization of foreign buyers with residents of Croatia didn’t bring significant progress. Despite all the problems Croatia is still a very attractive tourist destination, which has so far this year recorded better results than other well known destinations such as France, Spain or Italy, even with the crisis raging all over the world, which makes it extremely interesting to all real estate investors. The beauty of the Croatian coast and small towns charms all visitors, but be warned on the necessity to employ a good lawyer and real estate agency. Many proprietary relations are still unsettled from the time of socialism, so one must be careful that the investment in a nice new home does not turn into a legal hell in Croatian courts, which are among the least efficient in the world.