That depends if you are buying real estate from a company or person. There is no tax when you are buying real estate from a company if on the invoice is shown VAT (Croatian VAT is 25%). If you are buying real estate from person than you need to pay 3% tax to the city or local tax office. Buyer pays the tax, only once.

Croatia is an excellent country to live in, offering a warm Mediterranean climate and mild winters. With some of the highest numbers of sunny days in Europe—alongside Greece and Malta—it is ideal for those seeking pleasant weather and a welcoming community. Real estate investment is closely linked to tourism, with villas and luxury apartments often generating attractive returns of around 8% annually, making it a compelling opportunity for both lifestyle and financial growth.

Real estate prices in Dalmatia continue to rise due to strong demand and consistently successful tourist seasons (with the exception of 2020 during the COVID-19 pandemic). In recent years, property prices in coastal Croatia have recorded steady growth, averaging around 5% annually, with some prime locations experiencing even higher increases.

According to national statistics, Croatia has been among the fastest-growing real estate markets in the EU, driven by limited supply, strong international interest, and excellent rental potential—making Dalmatia a particularly attractive long-term investment.

Dalmatia is considered the region stretching from the city of Zadar to the city of Dubrovnik, including the Dalmatian hinterland, coastline, and islands. The most popular destinations within Dalmatia include Split, Dubrovnik, Hvar, Trogir, Zadar, and Korčula.

Yes—this is an excellent time to invest in Croatian real estate. Croatia is a full member of the European Union and part of the Schengen Area, which further strengthens its position within Europe and increases investor confidence. Demand for luxury properties along the Adriatic coast remains consistently strong, driven by limited supply, European integration, and Croatia’s growing reputation as a premium lifestyle destination.

Significant infrastructure investments, such as the Pelješac Bridge connecting southern and central Dalmatia, have improved accessibility and continue to positively impact property values. Combined with a stable market, strong rental potential, and long-term capital appreciation, Croatia offers reliable returns on investment.

With its exceptional climate, high level of safety, natural beauty, and welcoming culture, purchasing real estate in Croatia represents a secure and attractive opportunity—both in the short and long term.

We provide a comprehensive range of services related to your real estate investment. From the moment you decide to buy, and long after the purchase is complete, we will connect you with reliable and experienced property managers in your chosen area, ensuring your home is professionally maintained, managed, and cared for—whether for personal use or rental purposes.

All real estate transactions in Croatia are conducted in euros (EUR). Payments can be made from a bank account in any currency; however, your bank will convert the funds into euros, and standard conversion fees may apply.

Once you find your ideal villa, apartment, or land, the next step is signing a purchase contract with the seller. Your real estate agent will coordinate the entire process between you as the buyer, the seller, the lawyer, and, if required, a certified translator.

After the contract is signed, the purchase price is transferred from your bank account, completing the transaction. The lawyer then submits the contract to the competent court and local land registry to register the change of ownership.

Finally, a real estate transfer tax of 3% applies when purchasing from a private individual (please refer to Question No. 2 for details).

It is not mandatory to use a real estate agent or agency when purchasing property; however, it is highly recommended—especially when buying high-value real estate. A professional agent ensures the process is handled securely, efficiently, and in your best interest, from negotiations to legal coordination.

Commission is 3% + VAT.