The position of foreigners in legal property transactions in the Republic of Croatia

As far as acquisition of real-estate in Croatia is concerned, we have to discern between two facts: whether the purchaser is a Croatian citizen or a foreigner. Croatian citizens are not limited in legal transactions relating to real-estate (exception is property of common good which is not intended for sale and purchase).The manner and possibilities to acquire real-estate in Croatia by foreign citizens, natural and legal persons, depend on their origin, i.e. whether they are from the EU or not.What is common for all foreign citizens, regardless of their country of origin, is that they cannot acquire:
  • Property on excluded locations in order to protect the interests of the Republic of Croatia
  • Agricultural plots
  • Protected parts of nature
  • Woods and woodland areas
Legal and natural persons originating from the EU member countries can acquire real-estate under the same conditions valid for the Croatian citizens and Croatian legal persons.Other natural and legal persons can acquire real-estate on the Croatian territory only if the reciprocity principle is met and if the Croatian Minister of Legal Affairs gives his approval for the act. If Croatia and the country of the purchaser’s origin possess the reciprocity agreement, meaning that the Croatian citizens can acquire property in that country, the Minister’s agreement is basically a formality.If, on the other hand, there is no such agreement between the two countries, the purchaser can establish a company with its seat in Croatia which can, subsequently, acquire real-estate in Croatia. The most common form of company in Croatia is the limited liability company which can be established by a single person, who can also be its sole member.In any case, when someone wishes to acquire real-estate in Croatia he/she is to do so by signing a special contract – contract on sale-purchase of real-estate. Depending on the agreement between the vendor and the purchaser, it is possible to sign a pre-contract preceding the actual sale-purchase contract by means of which the two parties agree on the key issues, the time-frame and the conditions to be met prior to the signing of the actual contract. It is common for the purchaser to make a down payment (10-20% of the real-estate value). The vendor has to have his signature validated by a notary public and, having received the total payment from the purchaser, has to authorize the latter to make an entry of his ownership into the Land Registry run by a competent municipal court.When all the necessary steps are taken by both sides, pursuant to the sale-purchase contract, the suggestion for transfer of ownership to the purchaser’s name is drafted and sent to the land registry run by a competent municipal court.These guidelines serve only as basic information for potential purchasers. Our Agency will turn to our legal team for all the detailed information and will be at our clients’ disposal. We offer complete service to our clients, from review of the property’s documentation, to entry of into the Land Register and transfer of ownership.Years of experience have given our professional team deep insight into the real-estate transactions, which is a guarantee of quality solution in every situation and in the shortest possible time.

(15) Comments

  1. JIM DENIS

    on   said 

    Hi,,I am a Canadian citizen,,(Retired Airline Captain),,,my Common Law Partner she is from Hercegovina,,,we decided to buy a small apartment some where arround Metkovich or in the sorrounding area,,,Is it possible for a Canadian to buy a property and Live Permenantly,,,,Awaiting your kind reply,,Thank You and Regards,,,Jim

    Reply
    • Dear Mr Denis,

      of course you can live here, regarding buying the property there is reciprocity between Croatia nad Canada, all depense from which state you are. There is reciprocity for: Ontario, British Colubia, Alberta, Quebec, Manitoba and Yukon and if you are from there you can buy property as fysical person, and if you are not you have to establish Croatian firm.
      I hope I helped.

      Regards,

      Marijana Dreznjak

      Reply
  2. hermann

    on   said 

    Maybe first check out at land register if the seller really owns the land. As the legalizacjia is not accomplished, you could buy not a land plot but a hill of problems. be aware.

    Reply
    • Dear Mr Hermann,

      I just saw your post, sorry we did not answer earlier. Of course, everything must be double checked.

      Thank you,

      Regards,

      Marijana Dreznjak

      Reply
  3. Kelly

    on   said 

    Just wondering… As a Canadian living in Ontario, I was under the impression that buying a property in Croatia as an individual takes a long time. As a result, I am opening a Croatian company. Is this accurate! I look forward to your reply . Kind regards. Kelly

    Reply
  4. Hilde Mork

    on   said 

    Hi, is it possible for a norwegian citizen to buy a apartment in Croatia? We hope to be able to buy an apartment in Crez. Are you selling apartment in Crez.
    Kind regards Hilde

    Reply
  5. Christian M Matschke

    on   said 

    I’m a citizen in the USA and hoping to purchase a house or flat within the next 5 years. I am aware of obtaining temporary residence. would that be needed before making the purchase? Cheers

    Reply
  6. MOHAMAD ALCHEIKH

    on   said 

    Hi Marijana,
    I am a Canadian Citozen of Alberta. I have just purchased an apartment in Rijeka, Croatia and I have already received the Permission of the Ministry of Justice and the Court Decision in Rijeka for trasnferring the propert title to my name. The Real Estate Agent told me to come to Rijeka and apply for Temporary Permit
    Followings are my questions:
    1. Can I apply for Temporary Residence at the Police Station in Rijeka or it has to be at the Croatian Embassy in Ottawa?
    2. How long the process time take and for how long the Temporary residence will be, only 6 months, 1 year or longer?
    3. For Healthcare purposes, how much fund is required for me and my wife? Does it have to be in Rijeka’s bank or Calgary bank?
    Thanks very much
    Mohamad

    Reply
  7. Marlena Budic

    on   said 

    Hi

    My father co-owns property with his family in Galizana. A total area of 34,288m2. He became an Australian citizen and lived in Australia until his death in 2014. Our family in Croatia now want to sell what the 8 cadastral parcels of which 3 are in construction area.

    They are unable to advise us how much these are worth and as we are located in Australia we are not sure how to go about selling this property.

    Any advise will be helpful
    Regards
    Marlena

    Reply
    • Hi Mrs Budic,

      thanks for your questions, for my point of view it is the best to ask some agency from that area. It is very hard for us to advise something that is not in our area.

      So, there are lot of agencies at Istria that can help you.

      Threre is list of licensed agencies:

      http://posredovanje.hgk.hr/posredovanje/

      I hope I helped.

      Marijana

      Reply

Leave a Reply

Your email address will not be published. Required fields are marked *