Where to Buy Property Abroad 2009

An Investors Guide

Croatia Flag

Property Investing in Croatia

Where or What to Buy

Map of Croatia

Steeped in centuries of colourful history, home to one of the world’s most well preserved fortified cities and blessed with an idyllic Adriatic coastline, Croatia’s appeal is extensive. Its borders brush the slopes of the Alps, plunge deep into the Pannonian Valley and overlook the Danube and Drava rivers. Its interior comprises verdant forests, deep gorges, a collection of magnificent lakes and rich vineyards as well as smatterings of quaint villages, romantic castles and stately manors. Named ‘the Pearl of the Adriatic’ by George Bernard Shaw, and enjoying a blend of Mediterranean, Southern European and Balkan cultures, Croatia is one of Europe’s best kept and most beautiful secrets. With 1185 islands lying just off its coastline, Croatia offers a host of secluded beaches and tranquil island living.

Travel and tourism now accounts for around 25% of the country’s GDP, 28.7% of its total employment and is expected to grow 6.4% in 2008 in line with the government’s plans to attract 11 million tourists by 2010. With further increases of 7.1% per annum in real terms expected over the next decade, it’s no surprise that Croatia sits in 9th position in the World Trade and Tourism Council’s ranking of the growth rates of 176 countries.

Before the dissolution of Yugoslavia, the Croatian Republic was one of its most prosperous and industrialised areas, with a per capita output around one third above the Yugoslav average. After a mild recession in 2000, the economy stabilised, and growth has averaged 4-6% for the last few years. This should be accelerated by the country’s expected accession to the EU, scheduled for 2010. Where foreign investment is concerned, the government has introduced several measures to make the climate more attractive, including the establishment of the Agency for Trade and Investment Promotion which has a mandate to assist potential investors in Croatia. Foreign investors have the same rights and status as domestic investors (providing a condition of reciprocity is satisfied with their country of residence) and may invest in nearly every sector of the economy, although it is necessary to seek permission from the Ministry of Foreign Affairs before making any property purchases.

Still in this Chapter

  • Is this is good place to Buy?

  • Which type of Property should you go for?

  • Hotspots

  • The Purchase Process

  • Mortgages

To read the rest of this chapter

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Investing Potential of Individual Countries

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