Rovinj?

[Marie Canada]

My Croatian friend told me that real estate in Rovinj, Istria is the most expensive in Croatia, up to 5 or 6K per sq. meter. Why is that so?

[Mala]

You were misled. Rovinj (Istria) is expensive but as much as quoted by your friend. CRO newspaper say Rovinj is under 3,000 euros per sq/m. More like 2,000 euros.

[Alan]

That's absolutely correct. The only place which is so expensive is Dubrovnik. The Kvarner region is the most reasonable, around Opatija.

[robert]

Actually, something really weird is going on in Rovinj (and elsewhere – but Rovinj in particular.)

Last year’s Croatian press wrongly reported that an apartment has been sold at 5,000 Euros per m2 in the Rovinj old town area. I actually know the agent that dealt with the property and the price was more like 3,000 – but for an absolutely amazing place sporting large terrace with unrivalled views and finished to a highest specification. (The apartment was not sold at the time and the property is in the centre of a four-way dispute, even involving famous Croatian columnist.)

This, however, didn’t stop locals from demanding (and getting!!!) similar amounts for properties that are much inferior. Which only served to escalate prices further.

Newest asking prices are boldly in the 3,500 – 4,000 Euros territory for the old town (or anything on the waterfront), while square meter for the older residential blocks is firmly starting at 1,500 E – from the last year’s 1,000.

Is this sustainable, I don’t know. But I now that having seaside holiday home was once achievable dream of ordinary factory workers in Croatia. In the future, it would seem, it will be only the privilege of foreigners and minority super-rich Croats. The average monthly salary there is still around £300.

Robert

[Nicola]

Yes I agree that purchasing around Rovinj has gone mad. I think us foreigners are falsely fuelling property price increases and a lot of this has to do with the agents. I know of one property company/agent ( I won't name them) who automatically add E20k to quoted prices when they know a Brit is involved (they cover Rovinj but are not based there). They had obviously done a lot of homework on our economy because they were telling me their current 'targets' are the Brits who they believe are willy nilly borrowing vast amounts against their homes in the Uk to buy in Croatia and I presume they therefore believe we are all budding millionaires! Is it me - or does E350k sound a lot of money for a (small) holiday home!!!