If you are looking to earn some decent rental income, then Croatia is the ideal place to invest your money in and buy real estate properties at economical prices.
The real estate properties in Croatia are available for both investment and renting out purposes and will give you a good return on your investment.
Before you invest in real estate Croatia, you need to be mindful of the following tips to avoid any adverse purchasing experience.
- Deal Only with Licensed Agents
The best way to invest in the Croatian realty market is through licensed agents. So, deal only with fully licensed realty agents who offer you clean titles at competitive prices to avoid any unwanted experience after buying a property. The realty market in Croatia is now fully regulated and all the agencies and the dealers are now required to comply with the newly introduced realty code of conduct.
- Consult Legal Opinion Before Investing
Investing in the Croatian realty market is a very complex affair and hence, you should look to engage with a good lawyer before investing your hard-earned money. Before purchasing, make sure the property has clean ownership, plot number and other required details ready. Carefully go through all the property documents and make sure the property is mortgage-free from any bank. If the property is clean and free of any loans, then it will be noted as “Tereta Nema”.
If the property documents failed to clear all your doubts, then your lawyer can help you asses the likelihood of the purchase. Also, confirm there are no nightclubs or café bars are scheduled to open nearby as they can depreciate the value of your property and would be tough to put it on for rent.
- Check the Segregation of Your Apartment
For most realty buyers in Croatia, apartments are the preferred choice of property. Apartments are easier to maintain and rent out. It also offers good value for your investment. However, the major drawback of the Croatian apartments is most of them are not sub-divided.
Most apartment segments in Croatia are not legally sub-divided and are not full-fledged apartments. Hence, most buyers of the apartment end up with a share in the building rather than a proper full-fledged apartment.
That’s why it is important to check all the property documents carefully before purchasing a property and hire only authorized property dealers in the country to remain safe from such instances.
- Obtain the Required Property Permits
The real estate properties in Croatia usually come with three permits. These are – location permit, building permit, and usage permit. You might face difficulties while renting out your property if you do not have these permits.
If you are looking to purchase a land property in Croatia, then you need to be extremely cautious and patient as permits to build take some time and are not granted straight away.
You need to obtain a permit to rent out your property, which is again not granted straight away.
Buying a real estate in Croatia is not straight forward and can take some time depending on the type of property. It is recommended to deal only with authorized brokers and hire a legal counsel for your property dealings. Because once you have made your purchase, no other country can give you the ROI that Croatia offers.