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Post by Tone on Oct 1, 2003 9:47:42 GMT 1
Just back from Croatia and according to CRO newspapers, propery along the Adriatic has almost double in the last year. But, there are still some bargains to be had, if you look carefully.
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Post by AngeloZ on Oct 1, 2003 10:22:07 GMT 1
Property Booming.... (from a SA newspaper)
VIR ISLAND - Gaudy facades and lion statues sprout everywhere, anything goes and the island's Mediterranean scenery is being devoured by concrete at a high pace to meet the demand of Croatia's booming property market opening to foreign buyers.
In 2003, real estate prices rocketed on Croatia's more than 1,000 kilometre (600 mile) long Adriatic coast which is again figuring among Europe's top tourist destinations.
Renaissance villas in the most famous resort of Dubrovnik, traditional stone houses on the islands, but also hastily built apartments on less attractive spots, are selling like hot cakes to rich buyers from both western Europe, notably from Germany, and post-communist countries.
According to official figures a total of 482 permits to buy a property in Croatia were granted from January 2002 until September 2003. But the number of requests is far higher since decisions on many are still pending.
However, the island of Vir, off the central Adriatic coast, testifies the flip side of the construction boom — a town planning nightmare with dozens of new tacky buildings being built just a few feet from the sea without an adequate infrastructure.
"If the island is not soon furnished with sewers we would be facing an ecological disaster," said Endre Meszaros, the Hungarian owner of the Via Vindicta real estate agency, showing the streets crammed with new houses without space between them.
Vir, which has a population of around 2,000, during the summer season hosts some 70,000 guests.
"The sea is very clean for now, but if this continues we would have no more tourists," added Meszaros, who set up his business on Vir three years ago bringing in the first buyers from Hungary.
"Vir was the island closest to Hungary," he explains simply adding that some 300 properties have been sold to his fellow-countrymen so far.
Vir, connected with the mainland with a bridge and also partly with the capital of Zagreb by a highway which is to be completed by 2005, is an ideal location for buyers from the neighbouring Hungary.
Also, a middle class Hungarian family still can afford the relatively low prices per square metre, ranging from 700 to 1,500 euros (800 to 1,700 dollars).
The Croatian tourism ministry has been repeatedly warning of a problem of uncontrolled building of apartments by private firms in areas reserved for construction of exclusively tourist facilities which started after the country's 1991-95 war of independence from the former Yugoslavia and the gradual recovery of Croatia's valuable tourist industry.
AFP
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Post by AngeloZ on Oct 2, 2003 9:30:58 GMT 1
I would second Peter: if purchasing property in Croatia, please make it double sure that all documentation is in order. This is crucial to avoid any problems later on.
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Post by Martin Westby on Oct 2, 2003 13:26:52 GMT 1
Having attended the Overseas property show last weekend at Earls Court and seen the permanent scrum around the sole Croatian exhibitor whilst the rest of the stands were deserted I would agree there is an enormous demand for properties in Croatia. The point Peter makes is critical-many properties may be for sale -but in reality they may not have clean documentation.So purchasers can, in the best case scenario, waste time trying to buy a property that turns out not to be clean.Or in the worst case actually pay 10% or the asking price for a property whilst title is unclear. So if you assume that only reputable agents are offering clean title properties and that the supply of those properties may be in short supply you would have a classic case of demand outstripping supply and prices increasing. As the property market becomes more mature and property valuations become the norm rather than the exception then house prices may become more of an exact science until then it a question of deciding how much a property is worth to you and whether in comparison with similar properties in other countries like Spain France, it looks good value. Making sure always of course that the documentation is clean! Martin Westby www.Croatia-HolidayandHome.co.uk |
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Post by matthew on Oct 2, 2003 16:35:06 GMT 1
hi Martin
How can you be absolutely certain that the property is 'clean' and all paperwork in order.
Could you briefly outline what we should look/ask for to ensure that all is in order? Which particular documents etc...
I'm sure many of us would find that really useful!
Cheers
Matthew
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Post by Martin Westby on Oct 2, 2003 19:37:34 GMT 1
Ah the $64,000 question!!! ;D No magic answers i'm afraid. The critical factor is to start with a reputable agent/lawyer that has a track record of selling to foreigners.If they have - ask for a phone number to get a testimonial. There is no centralised property registry as we would understand it-so ask the lawyer about the deeds.He will be able to check up on local documents.You would hope that this has already been done before the property is advertised-back to using a reputable agent/lawyer.If you are been shown deeds and remain unsure ask for full translations and explanations. Sometimes with some agents the only way to get the full picture is to make a verbal offer-this concentrates the mind and they speak to the vendor-at this point you may receive further information. Do not pay deposits or asking prices until you are absolutley sure about the title.I am aware of cases where a 10% pre contract has been signed and it is then discovered there is say an outstanding charge against the property-you are then in a limbo whilst wheels slowly turn. On our website we produce a free weekly newsletter that you can subscribe to called Property Purchase service.I only allow agents to advertise in that who I have dealt with or I have received positive feedback about. Martin Westby www.croatia-holidayandhome.co.uk |
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Croat
New Member
Posts: 7
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Post by Croat on May 18, 2004 21:46:16 GMT 1
As usual  ....fishy...,but tactful answer....buy it from the locals or a local estate agent is the best answer.!! |
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Post by Conlucey on May 20, 2004 1:50:22 GMT 1
Hi All,
I'm going to Dubrovnik in early june to have a look see if real investment opportunities still exist.My area of interest is Cavtat.Any info on what to buy ,where, at what price,and if anyone knows anyone in Cavtat would be appreciated.By the way I have not as yet booked accomodation.Cheap clean room or apartment preferably with an english speaking family.Any help
Con
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....fishy...,but tactful answer....buy it from the locals or a local estate agent is the best answer.!!