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Croatia: an Emerging European Real Estate Hotspot

Croatia is an Eastern European success story and a country quickly developing an incredibly exciting real estate market into which foreign investment is free flowing. Since Croatia achieved independence from the former federal independent communist state of Yugoslavia in 1991 its democratically elected government has worked tirelessly to prove to its own people and the outside world that it is committed to creating an independent and successful country. As a result, Croatia has joined the Partnership for Peace Program with NATO, the World Trade Organisation and the European Free Trade Association and is now on track for full European Union membership by 2007. All of these facts alone stand to prove the Croatian government’s commitment to creating a competitive country with a successful market economy, and all of these facts have resulted in many major multinational companies relocating European headquarters to competitive Croatia. Now add to this positive data the fact that Croatia is a stunningly beautiful country with 6,000 km of unspoilt coastline, a Mediterranean climate, mountains, lakes, forests and wildlife in abundance and a rapidly developing tourism industry, and hopefully you can begin to smell the potential! As a direct result of the foreign investment flowing into Croatia in both the business and tourism sectors the country is becoming more successful, more wealthy and more desirable as a place to live, work, invest and holiday. It is because of this perfect combination of factors that Croatia is emerging as a European real estate hotspot with demand from holiday makers for hotel and villa accommodation, demand from second home hunters looking for everything from apartments in the major towns and cities to rural retreats in the stunning Croatian countryside and demand from expatriates and international executives for houses and apartments to let.

A real estate investor looking for a secure emerging market with masses of potential for profit should consider Croatia. For property developers there are substantial opportunities available in the tourism sector with demand for hotel accommodation outstripping supply currently. For those hoping to profit from maximum short term capital gains on real estate there’s the potential to purchase off plan properties and flip upon completion by reselling to the waiting holiday and second home market. Alternatively for those hoping to derive an income from their overseas real estate investments there’s the chance to let out units to the tourism market, the local market and also the expatriate market. Croatia offers every real estate investor the potential they seek from their property investment.


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