Clients testimonials and press –  LuxuryCroatia.net team is focused in providing services at the best possible quality.

Constant customer care is our priority. We are doing our best in all situations.

CLIENTS  REVIEWS:

Dorota Piernatzka, Poland, house buyer: after 2 years of intensive search for second home in Croatia, finaly we were offered by LuxuryCroatia team the best properties, we bought sea front house near Makarska. We were so happy. LuxuryCroatia team helped us to find renovation company, and now we rent house with LuxuryCroatia travel agency and we have nice income from rental!

Oleg Dobrensky, Russia, villa buyer: I was intensively searching to buy villa on Brac island, on the seafront with pool and 4 bedrooms. I bought villa from Luxury Croatia offer, because they only had exclusive sale to this villa, which was off market sales. I needed confidential partner, and found it in Luxury Croatia team, and they manage my villa all year round and rent it while Im not using it. I appreciate your work LuxuryCroatia!

Andreas Gratentholm, Sweden, rental owner: I was pleased with work of Luxury Croatia team from the first day after I bought my beach front house in Dalmatia and made contract for property management and rental of my house. Luxury Croatia team cleans the house and meets guests, takes care of my house perfectly! They helped me with furnishing, gardening, implementing internet and cable tv. They take care of guests, I collect payments, this is soo good! Thanks to LuxuryCroatia team!

Mike Stothard, England, buyer of house, island of Silba: Thank you for help! Thank you for assistance and guidance through the buying process! Thanks for driving me hundreds of kilometers to my accommodation after you picked me up at the ferry port. You are reliable and very professional! Your information and advices were very helpful and whole process was so quick and simple thanks to you! We were very happy to purchase our Silba house through your agency, therefore we decided to continue our cooperation with you through the property management of our house.

Kali, Lynda Pearl, Mark McClure, Kyle Aduskevich and 40 more US navy officers from USS Aircraft carrier Harry Truman anchored in front of Split  for a week in December 2015:

The dinner was fantastic! It was an amazing time for the entire squadron and we greatly appreciate your suggestion and coordination. Everyone is very excited for the tour tomorrow (wine tasting and Trogir sightseeing). Thank you so much again for all the coordination, for organizing our stay in luxury apartments on the beach in Split and for organizing our trips and dinners in separated part of restaurant where we were able to have privacy, thanks for organizing our spa and wellness treatments!

If there is any way we can rate/recommend/pass on your information please let us know. Your suggestions and help have made this trip perfect and we are very grateful.

Inge Maria Wold Fabic, partner: Adriatic Traveller & Luxury Croatia Property offer a collection of the finest luxury villas with pool for tourists dreaming of their perfect holiday in Croatia. Spacious luxury villas where you can relax by the pool and enjoy your privacy, the company of your family, friends and business partners.

Director Marija Bojcic and her staff have the knowledge and experience, service mind and discretion to provide their clients with a wide array of services to make their dream holiday come true, and there is practically no limit for what they can do for you, from arranging pre-arrival shopping service, yacht and boat charters, to gourmet food and wine supply – and everything between. Marija Bojcic and Adriatic Traveller & Luxury Croatia Property have my warmest recommendations.

Beti Vidjak, partner: Finding a dream home, for the right price, in a great area is not a small thing, especially if you are a foreigner in a beautiful country. It is my opinion that Marija will be your best choice as an agent to find for you a dream house in Croatia. Her knowledge, professionalism, hard work and friendliness will be invaluable in getting you through the process of buying. As a business partner I’ve saw her ideas developing from scratch to a real business.

Where to find more about us:

Please find us active on Linkedin: LuxuryCroatia.net 

Our Facebook page: LuxuryCroatia.net on Facebook

Find us at Slideshare with this useful presentation: Croatia among top retirement destinations by Forbes magazine.

Our Twitter page: twitter.com/LuxuryCroatia

Our Pinterest page: https://www.pinterest.co.uk/luxurycroatia/

Press Interviews in local and international print and internet media:

We are listed on UK The Telegraph related to real estate market sales of luxury villas on top Croatian locations.

The most exclusive villas for rent in Croatia by LuxuryCroatia.net in Croatian magazine specialized in home and decor:  Dom and Design , in Croatian newspapers, section of Travel:  Jutarnji list printed daily newspapers, and on the Croatian internet lifestyle portal:  PortalOko

The most exclusive villas in Dubrovnik by LuxuryCroatia.net in Croatian local portal Dubrovacki Vjesnik.

Real estate market and how to buy in Croatia – interview in South Africa’s luxury Real Estate magazine.

Below are listed reviews of our buyers and our guests who rented holiday villas with our assistance.

We are thankful to serve such a great clients!

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Buying property in Croatia – cost and fees

Croatia – beautiful country to live or retire or just to enjoy holidays

Croatia has much to offer for the property buyer, including an enormous variety of landscapes, a wide choice of unique cities, towns and villages, a great climate, wonderful beaches and crystal clear sea.

Ease of access from the rest of Europe, the clear waters of the Adriatic and an ever-improving infrastructure are good reasons to visit Croatia. Croatia also officially became the 28th member state of the European Union in July, 2013. This is a result of the impressive progress made by the country as an independent state, and definitely helps to promote Croatia tourism-wise.

Is Croatia in EU?

Property market in Croatia became more open to European Union citizens after Croatia became member of European Union. EU citizens are now able to buy on the same terms as local Croats (except agricultural land and land in national parks). This burning of red tape in the buying process is not only speeding up the property buying procedure. It  also encourage more buyers to purchase in Croatia with confidence.

To read more about the beauties of Croatia, please visit our About Croatia Section.

Which way non-EU citizens buy property in Croatia ?

Property buying in Croatia for non-EU citizens  is governed by the principle of reciprocity. This means the right of an individual to buy property on the condition that Croatian nationals are permitted to buy property in the origin country of the purchaser. For EU citizens rule is that they buy in Croatia same way as Croatians, except agricultural land. If foreigner want to buy agricultural land, company has to be formed which will buy agricultural land.

As in all property transactions, the buyer should always use the services of an independent lawyer who acts solely for them. We are glad to recommend experienced and reliable solicitor. It is also essential that the lawyer should speak both Croatian and English fluently.

How to purchase property in Croatia ?

It is important for the lawyer to check that the property’s title is clean. Because Croatian families traditionally hand their properties down from father to son for several generations. In some cases the paperwork is either incorrect or non-existent. Our agency checks all property documents to be sure that status and title are clean and without risk for buyer to purchase it.

Survey is somewhat unusual in Croatia. The agency can recommend you civil engineer or architect who can do it. This service, with a proper translation, should cost somewhere around €500 should you require it.

There are two main routes for the purchase of property in Croatia – as a private individual or through a company structure that you set up yourself. There are advantages and disadvantages to both methods. The best solution will be different for each specific case. We are experienced and professional real estate agency and will advise you of the best solution for each individual circumstance.

More about buying process read in our Q&A.

What are Costs & Fees when Buying Property in Croatia?

• Estate agents charge  3 per cent of the property’s sale price.
• Lawyers charge from 0,5 to 1.5 per cent (according to our buyers’ experiences). This usually include the Land Registry ownership registration and the preparation of the purchase contract.
• Permission from the Ministry of Justice for a foreign national (who is not EU citizen) to acquire property costs around 70 kuna (approximately 10 EUR). We recommend to hire experienced lawyer to prepare application.
• The notary’s fee is about 200 kuna (30 EUR) and eventually the translator (if required)  approximately 500 kuna (around 70 EUR)
• The Land Registrar fee is about 250 kuna (approximately 35 EUR). Check with your lawyer whether this has been included in his or her fee.
• Property transfer tax is currently set at 3 per cent, as of the January 2019.  (when was reduced from 4%). Buyer pays this tax. The change of ownership happens usually within 30 days. The tax you pay only by bank transfer in Croatian kuna (HRK).
• Registering Croatian company (if buying through the company) – public notary fee is about 500 EUR. Founding capital at company registration is 2800 EUR which you can take out of the company after registration. Monthly fee for a bookkeeper is about 150 eur. Yearly company tax is about 150 eur. Another variant of registering Croatian company is j.d.o.o. (simple limited liability company) that has no founding capital, can be registered in two days.

What  is VAT rate in Croatia?

VAT (PDV in Croatia) is currently 25%. If you are buying new built apartment from the company, you will not pay any property transfer tax because company seller will pay VAT 25% therefore you don’t pay tax in this case. In all other cases buyer pays tax of 3% on purchase price.

VAT of 25% is also charged on the services provided by both real estate agents and legal advisers.

Are Croatian Banks approving Real Estate Mortgages for foreigners?

The finance industry in Croatia changed a lot since entrance of the EU. Unfortunately Croatian banks do not recognize foreigner buyers as perspective clients. Only few banks consider foreigner for approving bank loan to purchase property and with very difficult conditions to be fulfilled by the foreign buyer. We recommend for a foreign buyers to look for suitable bank loan in the native country. Number of our German buyers were approved loans from the German banks to purchase property in Croatia. Check this bank details about mortgages.

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Azure Waters of the Croatian Adriatic

10 Ways to Recognize Illegal Croatian Real Estate Agencies

Dear clients and guests!

We feel that it is our obligation to warn you about illegal agents still operating on Croatian real estate (both sale and rental) market, as well as some unprofessional agencies that will try to put pressure on you to buy property without checking and securing the property situation.

In our effort to help you filter through these false advertisers and agencies, we have prepared some additional information for you. Also, feel free to contact us with any future questions or reports of illegal activities.

Also, to find out more about the services Luxury Croatia Real Estate brand offers, check out our real estate services blog category.

10 Hints on How to Recognize  Illegal & Unprofessional Agents/Agencies:

1. ask them to give you agent/agency licence registration number which you can check at Croatian Chamber of Commerce (or we can check it for you), if that agency is not listed, it means that agency works illegally, without licence, without permission on Croatian market. For you this means 100% risk of fraud and abuse. Few Russian agencies are reported to work illegally on Croatian market. Actually only agencies that are registered in Croatia and listed on the list of Croatian Chamber of Commerce have licence do do real estate broker services inside Croatia. here is link to the list of registered and licensed Croatian agencies in the Croatian Chamber of Commerce.
2. ask them their company registration number: OIB,
3. ask them their registered office address and check if it exist or not,
4. ask them to show you their business risk insurance policy,
5. google or ask around for the average commission percentage in this market and compare it with what you were told by that agency/agent;
6. check what internet says about them; find testimonials of their clients if such exist;
7. if they provide misleading or hide correct information, you’re probably dealing with an illegal or non-registered agent/agency;
8. some of agencies advertise lower prices than provided by owners, those prices are false and are formed as trap to attract buyers;
9. some agencies advertise properties for sale without having direct (or any) contact with the owner, or providing false pictures of advertised properties, or advertising properties which are not for sale aiming to attract buyers this way;
10. if agent/agency put pressure on you to decide quickly about buying property, beware of possible fraud or criminal acts.

We strongly recommend that you hire an experienced lawyer/solicitor who will check the agent/agency. In Luxury Croatia, we  (with the help of our lawyer)  personally check every property, title deeds and make sure that all the information and documentation received from our real estate owners and prepared for our potential buyers is clean and registered in land registry court.

PROPERTY FOR SALE IN CROATIA

LUXURY CROATIA and it’s travel/rental serviecs brand: ADRIATIC TRAVELLER offer the finest selection of luxury villas for sale and rent: sea front houses, apartments, islands, secluded beach front stone houses, plots of land with gorgeous panoramic sea views, old ruins at low prices on the best locations, large plots in residential zones for building, hotels and resorts for sale, apartment houses for sale and etc.

We are focused on sales of residential properties in the coastal regions of Croatia, Dalmatian islands of Hvar, Brac, Korcula, Vis, Solta, Mljet, Drvenik, Peljesac peninsula, Silba, Dugi otok, Ugljan, Kornati archipelago and others on Zadar area, Sibenik area, Split, Makarska, Dubrovnik, Istria, Umag, Pula… We also manage properties, take care of everything from construction, furnishing, gardening, to renting, cleaning, meeting guests, bookings… we have complete pre-sales and post-sales service for our clients.

We have a team of experts in construction and building: architects, engineers, project managers, interior designer, landscape architects, construction companies, who are able to make your dream property come true.

Our goal is to deliver quality and long lasting relation with our clients.

Welcome and bring your smile with you!

Your LuxuryCroatia.net Team

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Good news for buyers! Property transfer tax is reduced to 3% as of January 1st 2019. This relates to all buyers, natural persons or buyers who buy through company.

Exempt from paying property transfer tax are buyers who buy from company a new built apartment which was not yet used. In this case seller who is company is obliged to pay VAT, therefore to avoid double taxation, buyer is not paying property transfer tax.

Foreign buyers who buy property  in Croatia and who are natural physical persons with citizenship of the country that is member of the European Union,  can buy real estate in Croatia which is only inside building zone. This could be land inside building zone or ruin, house, villa or project in development. If foreign buyer, with EU country citizenship, want to buy house which is inside agricultural zone, this buyer is not allowed to buy as natural person, but can register Croatian company, and company buys house on the agricultural land. More about registering Croatian company you can read in other articles which I posted under Questions and Answers, or contact me by email for your specific questions.

Foreign buyers who are non EU citizens, there are two ways to buy property in Croatia, but there is same condition as for EU citizenship buyers, obligation to buy only inside building zones. Foreign buyer who is non EU citizen and wish to buy as natural person, firstly depend on the reciprocity rule between Croatia and buyer’s country of residence. If reciprocity rule exist (I can check in Croatian Foreign Affairs Ministry website) then buyer can buy as natural person but after finished purchase, must apply to the Ministry of Justice to get their approval for the purchase. After approval granted, buyer will be registered as new owner in the title deed of the purchased property. Ministry of Justice takes one or two months usually to issue the approval. Application to the Ministry of Justice can prepare your solicitor.

Foregin buyers non EU citizen who do not want to get into this process of waiting for approval of Ministry of Justice, can skip this and register Croatian company in few days (or one week time) and buyer’s company becomes owner of the property instantly, no need for applying to Ministry or any other body. There are some specific requirements regarding foreigner non EU citizen registering Croatian company, which your lawyer/solicitor will present to you. Those specific rules depend on the contracts signed between your country and Croatia. These info you get from your solicitor. I can recommend reliable and experienced solicitor who is dealing with these situations frequently.

Real estate Croatia buyers 

For real estate Croatia buyers we prepared many beautiful seafront or beach front houses for sale, such as this one on the picture, which price is reduced to 290 thousand EUR.  More seafront houses for sale in Croatia check in our offer on this website.

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The Buying Procedure in Croatia:

To further help you understand the specifics of the real estate buying procedure in Croatia we have prepared this Questions and Answers section for you.

It is equally aimed for all types of potential buyers as it answers some of the most common questions found while buying Croatia property.

Whether you are interested to buy a holiday house in Croatia for your summer vacations, retire in Croatia or simply invest in a Croatian real estate for profit gaining, you will find these frequently asked questions useful.

Can I Have Building Surveys Carried Out?

Building surveys are not that common in Croatia and formal building surveyors as such don’t exist. Having said that, a qualified civil engineer can carry out a survey – as can an architect. The cost of a survey usually depends on the property’s size and location and is likely to cost from €500 upwards. If you wish to have a survey carried out, we would be happy to recommend an independent and qualified Croatian civil engineer, with experience of carrying out surveys in Croatia.

What Choice of Solicitors Do I Have?

Find a Croatian solicitor you are comfortable dealing with. All of the solicitors are listed by the Croatian Bar Association. It will then be up to you to contact solicitors from that list, make your choice and agree fees. However, LuxuryCroatia.net will gladly recommend solicitors experienced in real estate legal matters with whom our buyers have successfully completed their buying procedures. 

 What is a Pre-Contract? 

 A Pre-Contract is similar to the exchange of contracts stage (in the UK), but there are differences. The Pre-Contract is a legally binding document that defines the terms of the property purchase – in particular it effectively fixes the purchase price; it specifies the schedule of payments, including (usually) a 10% deposit payable to the vendor on signing the Pre-Contract; and it fixes the Final Contract settlement date as well as the penalties should either party withdraw from the transaction after signing the Pre-Contract. In Croatia these penalties usually specify that should the vendor withdraw from the transaction after signing the Pre-Contract, they are obliged to return double the deposit to the buyer. If the buyer withdraws from the transaction after signing the Pre-Contract, they will lose their deposit. In the Pre-Contract are also settled all tasks that needs to be resolved, done, finished before the final Contract signed. For example: buyer  want to buy property through his Croatian company, which he needs to register after Pre-Contract signed and before main Contract, where in the main Contract this company will be listed as buyer.

 Can I Skip the Pre-Contract and Go Directly to the Final Contract?

 Yes, it is possible to skip the Pre-Contract and go directly to the Final Contract stage, which depends on the real estate status and things to be settled before concluding the main contract. If buying process is simple (no extra tasks to be executed before main Contract) and buyer prepared for the transaction of the funds, then there is no need to do Precontract. One of the reasons why Pre-contract is useful is to prevent  the property to be sold to another buyer whilst the Final Contract is being drawn-up, Pre-contract is a good way for buyer and seller to oblige each other to buy/sell the property.  The Croatian system therefore effectively stops possible gazumping once the Pre-Contract has been signed, by making the Pre-Contract legally binding. Also, as the Pre-Contract fixes the final purchase price, there is no room for a vendor to change the asking price at the last minute without having to think seriously about the financial penalties built into the Pre-Contract.

 Who Drafts the Pre-Contact and the Final Contract? 

 Your solicitor will draft the contract after details of the purchase are agreed through the agency with seller. Drafting the contract can take day or two, and is finished when both parties agree on all details.

 What is a Notary Public and What Do They Do? 

 The Notary Public is a qualified solicitor appointed by and working for the Croatian Government. Their role is to ensure that all the documents involved in the property transaction are valid, legal and binding. Specifically, it is a requirement within Croatian Property law that the Notary Public witnesses the signatures on the Final Contract – without this witnessing stage the Final Contract is not legally binding. Also, the Notary Public will certify that any documents that have been translated from a foreign language to Croatian have been prepared by a registered court translator or the solicitor personally – thereby guaranteeing that the translated documents are true and valid. Notary Public will also  provide Escrow Services if required. Notary Public notarize signatures of the sellers on the contracts, and is not registering you as new owner in land registry court books.

 How Does the Financial Part of the Property Buying Process Take Place? 

 Usually the funds are transferred to the vendor’s account after purchase Contract signed and notarized; the Final Contract is signed; and the Seller signs a confirmation that they have received the funds. This confirmation has to be also notarized (usually at the same time when main Contract, and Seller holds this confirmation in hand until he receives full amount of the price). Most people quite understandably are uncomfortable with the thought of sending money to someone in a foreign country with no apparent guarantees – in which case an Escrow Service can be used, or other ways of fund transfers which we can explain in due time by mail.

 Are Escrow Services Available?

 Yes, they are available and provided by  solicitors and most Notary Publics and by banks. Fees vary – for instance a typical cost chargeable by a Notary Public is 4000 Croatian Kunas (approx EUR 550) to hold EUR 75,000 in Escrow for up to a year. It may be that an independent solicitor you appoint can provide this service for no additional cost, so it would be a good idea to ask any solicitor you are thinking of appointing whether they can offer Escrow Services or not, and whether they charge extra for the service, or you can use in some cases bank escrow account to execute transfer of the funds in the moment when you are registered as new owner of the property in the land registry books/court.

 How Do I Open a Bank Account in Croatia? 

 Opening a bank account in Croatia is a fairly straight forward process but you will be required to do it in person and you will need your passport to prove your identity and OIB number that every person in Croatia must have (Personal identity tax  number), which your solicitor will issue for you at local Tax Administration Office. We suggest that you open a foreign currency account to handle the transfer of payments for the property transaction as well as a local Kuna account which you will need for smaller expenses once the transaction has completed. Usually price is listed in EUR but inside Croatia kuna is official currency.

 You Can Buy a Croatian Property Either Through a Croatian Company You Set Up, or as a Private Individual. Which Route Should You Take? 

 Each route has its advantages and disadvantages and there are differences in costs, the time it takes to register the property in your name and your future plans for the property.

Main advantages of buying as a private individual

• Cheaper and more simple than buying through a company as there won’t be any company set-up costs or on-going company running costs involved. This way of buying  is possible for EU citizens (except buying of agricultural land) and non EU citizens which can buy upon reciprocity rule, but have to get approval of the purchase from the Croatian Ministry of Justice (which can take several months).

• If you keep the property for at least 3 years before selling, then when you sell you won’t be liable for any Croatian Capital Gains Tax.

Advantages of buying through a company

• You don’t have to apply for Ministry of Justice permission to own the property (farmland and forest land) if you are non EU citizen. If you want to rent your property to tourists, to gain income,  buy through a company is better way.

• Its quicker to get registered title deeds in the Land Registry if you purchase through a company, however you will obviously have to factor in the time to form the company (two weeks time needed to form a company) and the associated costs involved in setting up a company (2800 EUR for founding capital which you can take out of the company after registration, and 500 EUR of the public notary fee for registration of the company, about 150 EUR per year for a company tax, about 150 eur per month for the bookkeeper).

• If buying a new build from a developer then you can subsequently reclaim the PDV (Value Added Tax) of 25%.
• If you are buying the property which is owned by the company, and you overtake also the company, this way there is no property transfer tax (at the moment)!

There are other advantages which you should discuss with your solicitor before making any decisions, or with the accountant (bookkeeper company) which we will gladly recommend.

 Why Do I Need Ministry of Justice Approval to Own the Property if I’m Buying as a Private Individual? 

 Only approved nationalities are currently allowed to own property in Croatia and only certain types of property can be owned by a non-Croatian. The MoJ ensures that these criteria are fulfilled and that’s why you have to get their permission. Non-allowable purchases are those on forest land and farmland. Other properties that will be scrutinised are those which may be of historical and cultural importance.

 How Long Do I Have to Wait for the MoJ Approval? 

 Approval period is from 15 days to 1 month, but could take few months sometimes. As soon as the land registry court receive application for your ownership registration, it will make note (“charge”) about it which will be visible on the ownership certificate (title deed).

 At What Point Can I Register My Property Ownership in the Land Registry Books? 

 If you are buying as a private individual and EU citizen, you can expect to be registered as new owner in the land registry books within 15 days to 1-2 months, depending on the documents which registration court needs to register you as new owner. For those who are non-EU citizens, and need to wait for the Ministry of Justice approval, once Ministry of Justice (MoJ) permission has been granted, you can register your ownership with the Land Registry, which again can take 10 days or 1  month. If you are buying your property through the formation of a Croatian company, then the MoJ’s permission is not required and you can register ownership as soon as you form your company and the company purchase completes.

 What Guarantee Do I Have that the Property Won’t be “Sold” Again or that the Final Contract Doesn’t become Invalidated While I’m Waiting for the MoJ Approval? 

 There are two steps your solicitor should take to ensure against this. Firstly, the Final Contract should be registered with the Land Registry as a “charge” against the property. This “charge” would then show up in any subsequent searches made on the property and would therefore deter any other buyer, as the property title would not be declared “clean”. Secondly, your solicitor should ensure that the vendor signs a “Clausula Intabulandi” (in Croatian: “Tabularna Izjava”). This is a document that states you, the buyer, have fulfilled all contractual obligations with regards to the property purchase and that you do not need any further permission or involvement from the vendor to register the property in your name with the Land Registry (once Ministry of Justice permission has been granted). The “Clausula Intabulandi” must be signed by the vendor and witnessed by a Notary Public.

 When Can I Take Possession of My Property? 

 This is dependent on the terms written into the Final Contract. Usually the buyer can take possession of the property as soon as the sale has completed, ie, the Final Contract has been signed by the buyer and the seller; the full purchase price has been paid; and the “Clausula Intabulandi“ (see above) and Power of Attorney over the property have been signed. As long as these steps have been completed and you have a Power  of Attorney signed, you can take possession even if you have to wait for Ministry of Justice approval before registering your ownership with the Land Registry.

 How Do the Utility Bills Get Transferred to My Name? 

 Transfer of utility bills will be organised either by your solicitor or our agency after completion. In some cases, the utilities cannot be transferred to the buyer until buyer has been registered as the rightful owner with the Land Registry. This is only an issue if buying through the private route and waiting for Ministry of Justice (MoJ) approval. In most cases, transfer of the utility bills to the buyer’s name is possible with copy of the purchase contract. In some cases, utility companies ask the buyer to come personally to sign transfer of utilities to his name. There are a few ways of ensuring that utilities are not disconnected whilst waiting for MoJ approval. One method is to create an agreement with the vendor that allows utilities to remain in the vendor’s name, but payment of bills are debited directly from the buyer’s Croatian bank account. The other method is to arrange for all utility bills to be sent to our agency, which can then organise payment of the bills – for an additional fee.

 Can I Start Restoration and Building Work on the Property While Still Waiting for the MoJ Permission? 

 Yes, the property can be restored and improved within the existing plot’s footprint. Note, however, that building permission will not be issued until your name has been registred in the Land Registry. Before starting any building work, you should carefully consider the fact that any improvements you make may increase the eventual Real Estate Transfer Tax (RETT) which is payable after the Ministry of Justice (MoJ) grants their approval. After you get MoJ approval, local government (council) officials will inspect your property and take a decision on whether the price you paid for it was a fair one for its condition at the time of the sale. They will then base the final RETT fee on this estimate. If have made alterations in the interim, they could value your property at a higher market price than that which you paid, in which case you could end up facing a higher RETT than you had anticipated. One tip to bear in mind therefore is to take plenty of photographs of your property immediately after the purchase and before any house improvements have been carried out. In this way, when you do pay the RETT you can demonstrate to the taxman that the price you paid was a fair price for the property in its original condition.

If you have any more questions you would like answered and couldn’t find them in this article, feel free to contact us for a quick and extensive answer.

For more useful information about the buying procedures, visit our How To Buy blog section, especially the interesting and specific articles from the Previous Customers’ Case Studies. If you’d like to find out more about our services, visit the Luxury Croatia Services section, and, to learn more about Croatia in general, read through our About Croatia blog category or contact us by mail or phone for any info.

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