Frequently asked questions

Šwhat are earthšbooks?
Land registers are public books on the legal status of real estate relevant for legal transactions, and any interested party is authorized to look at them and request a land register extract.

Šis that real estate?
According to the principle of the unity of the real estate, the real estate is a particle of the earth's surface together with everything that is relatively permanently connected to it on the surface or below it, which means that by buying an apartment you are also buying an ideal part of the building and the land on on which the building was built, i.e. if you buy a cadastral plot, you also become the owner of everything that was built on it, regardless of whether it was registered, drawn and entered in the cadastral plans and land books.

How is the value of real estate determined?
The selling value of the real estate is determined by the seller, in accordance with market trends, i.e. the law of supply and demand, the market value of the real estate is determined by the tax administration according to its "tables", while the value of the real estate needed for the realization of a bank loan is determined exclusively by authorized appraisers.

Who can buy real estate in the Republic of Croatia?
There are no obstacles or sanctions for buying real estate in the Republic of Croatia, but for registration in the country's register, it is necessary to attach proof of Croatian citizenship or proof of citizenship of one of the EU members to the purchase agreement.

Can foreign citizens buy real estate in the Republic of Croatia?
Yes, in which case they must ask the Ministry of Justice for consent to the contract by which they purchase the property, in order to attach the same consent to the proposal for registration of ownership rights. Consent is issued with the condition of reciprocity. From 01.02.2009. EU citizens, in accordance with the provisions of the Stabilization and Association Agreement, are equal to Croatian citizens in the right to acquire real estate, except for agricultural land and areas protected by the Nature Protection Act.

Who can sell real estate in the Republic of Croatia?
Any owner who registered his property ownership in the land register, so that he could validly transfer the same to the buyer, but off-register owners can also sell the property, in which case the buyer acquires off-register ownership, and for valid registration in the land register ;new book in his name, he is obliged to prove the legal sequence.

What are the obligations of the buyer and seller in real estate transactions?
The buyer is obliged to pay the seller the entire amount of the agreed purchase price, and the seller is obliged to give possession of the property in question to the buyer and allow the transfer of ownership rights to the buyer.

How much down payment does the buyer pay to the seller?
According to the agreement, usually 10% of the total agreed purchase price, in accordance with the legal maximum.

Who and where certifies the sales contract?
The signature on the sales contract is notarized only by the seller, in the Republic of Croatia at a notary public, and abroad at the Croatian diplomatic mission or at a notary, in which case the same notarization must be apostilled or ratified by the competent court.

Šis that a tabular statement?
A statement by which the seller declares that he has received the entire amount of the agreed purchase price from the buyer, as a result of which he allows the same to be transferred to the country and in the books of ownership of the real estate that is the subject of the purchase agreement.

Š what is "fiduciary"?
Encumbrance of real estate in favor of the credit provider, which is expressed through the transfer of ownership rights, with the note that the same transfer was made to ensure the settlement of claims.

What taxes are paid on the acquisition or delivery of real estate?
- Real estate sales tax
- is calculated and paid for the acquisition of real estate ownership in the Republic of Croatia in the amount of 4%, when no VAT is paid on such acquisition.
- Value added tax (VAT) is calculated and paid by taxpayers (sellers) who are registered in the register of VAT payers when they deliver, donate, or otherwise transfer construction land and buildings, or parts of buildings (and the land on which they were built), if these buildings and their parts have been inhabited or used for less than 2 years.
- Property income tax based on real estate disposal is calculated and paid on the difference between the purchase and sale price of the property:
- if a natural person disposes of the property within 3 years from the date of its purchase
- if a natural person pro