Why invest in real estate on the Adriatic?

Šime Unić
Why invest in real estate on the Adriatic?

Why not have your own home by the Adriatic Sea, where you can enjoy the Mediterranean climate all year round? It's not just about summer holidays, by buying an apartment by the sea you can enjoy the mild Mediterranean climate even in the coldest months. Staying by the sea helps us to completely separate ourselves from everyday worries, the smell of salt in the air awakens energy in us, and evening walks in nature, along the coast, are enchanting. Choose your corner by the sea, regardless of whether it is an apartment where you will escape to recharge your batteries or a property that you will occasionally rent. It is not difficult to find the option that is best for you.

Real estate is a very safe investment and ideal for those who do not like to take risks

Our country has always been interesting to foreign guests and tourists because of its natural beauty, beautiful sea and all the other benefits offered by living in a Mediterranean country and coastal area. Over the years, Croatia has become an increasingly popular tourist destination, and recently it has also proven to be a great place to live and vacation, so as a perfect destination for owning real estate for private or business reasons. It should be borne in mind that apartments, houses, apartments and building plots are more than a safe investment.

After several years of recession, following the mild recovery of the economy in the European Union, a new wave of demand for real estate is being felt in Croatia, especially by the sea and in the interior of Istria, which is not at all surprising. Thanks to the rich history, cultural heritage and geographical location, as well as the rich tourist and gastronomic offer, real estate in Istria and Dalmatia is very attractive and in demand today, especially since it is somewhat more affordable than in other countries of the European Union. Luxury apartments by the sea, houses by the sea, various inland properties are bought and sold - from indigenous old houses to villas with swimming pools, construction plots to business premises... Many foreign citizens prefer to invest in real estate instead of savings, shares, funds because it is a good form of investing money that will not be eaten up by inflation, and it is reasonable to expect that the price of real estate, especially along the Adriatic, will rise after Croatia's entry into Schengen and the Eurozone. Right now is the right time to buy real estate in Croatia.

An important advantage: the value of real estate increases over time

There are many reasons to invest in real estate. It is an investment that we know and understand, and it is an undeniable fact that the value of real estate increases over time. This is why real estate investments have an advantage over other investments. The average price per square meter of living space varies quite a bit, depending on the type of property, location, proximity to the sea, age of construction. But with your own apartment, flat, cottage or house in a nice location, you can ensure a constant source of income if the property is rented out. The income from tourist rentals also depends on many factors such as the location where the object is located, its area, interior capacity and decoration and additional facilities. When it comes to construction land, it should be kept in mind that it is not possible to open new construction areas in the protected coastal zone, so it will be difficult to find real estate with tourist potential on the Croatian coast later.

Buying real estate is increasingly interesting for foreigners, but also for Croatian citizens. Most buy a vacation home or an apartment for themselves, others see it as an opportunity for a good investment, and some want to earn extra money, so they often entrust an apartment, apartments or house for rent to an agency that takes care of rent and guests. Others decide to rent the property to tourists themselves with the help of rental platforms such as Booking, TripAdvisor or Airbnb. It is good to know that in Croatia, renters of small rooms and apartments pay a flat income tax, in addition to the residence tax and the tourist membership fee, so the taxation of real estate rentals to natural persons who are residents of the Republic of Croatia and EU citizens is very favorable.

Tourism growth in Croatia exceeded all expectations. The season has been significantly extended - especially along the coast and on the islands, the increase in accommodation and service prices has been reflected in a much higher tourist income not only due to inflation but also due to an unexpectedly high growth in demand. Namely, when the price of accommodation rises, the value of the property rises as a result.

Did you know that retirees often invest in the Adriatic?

It is interesting that among the foreign citizens who are increasingly buying real estate in Croatia, about 20 percent are elderly people who enjoy a pension in our country. They are attracted by the mild climate, good transport connections with the rest of Europe, favorable prices, and a rich gastronomic and oenological offer. The sea has its attraction even in winter, and the cities along the coast enchant with their magical atmosphere. Many foreigners who have to work for many more years until retirement also increasingly buy cottages, apartments, houses or land and during this period decide to rent their property and thus gradually achieve a return on their investment. In addition, it is very nice to have your own home in Dalmatia or Istria, where you can enjoy the mild climate all year round and always have your oasis of relaxation within reach.

You can find and buy real estate independently, but most people who want to have their own home by the sea turn to a real estate agency. Not so much because of the lack of time for research, but because of security and the need for professional guidance during the buying and selling process, because every major purchase must be thoroughly thought out. Our agency knows well the legal procedures, the state of the real estate market, which is very active, cooperates with clients transparently, and thanks to its expertise and knowledge can be your reliable partner.

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