I want to build a Villa

[Zero7]

As the title says,

I would liek to build a Villa in Croatia,sound straight forward but I bet you it will be frought with red tape, it's hard enough doing a self build in the UK, never mind abroad.

I will be visiting Croatia this September for a holiday and will want to view some plots.

Does anyone have any first hand expereince they can offer me on buying a plot, installing a project manager to look after the build and then a mgmt company to look after the lettings?

Cheers

Av.

P.S - What are the most picturesque area's around split with close sea views?

[Cindy]

You got to have money! I would love to do the same.

Good luck!

[yeslehc]

Hi I have bought land and had a house built on the island of solta, close to split I am also representing a croatian friend who is selling land with superb sea views , give me a call, perhaps i can help.01785-215164 mob [phone]

[Zero7]

Thanks for the replies so far,

Prior to me callign around people I really need to work out some figures before I embark on a potentially time consuming expercise,

whilst I do understand it is not goign to be easy I need some hard facts!

1. If I set up a company in croatia, is it possible to borrow money from a lender, if so at what rate, is it available for land, or building only.

2. Do most of the plots being sold have easy acess to water, gas and electric, if not then this could turn out to be a very expensive venture.

3. What are the building laws, restrictions, planning regultations.

4. if a house is built in the UK and you live in it for say 6 months and sell it on, it is not seen as a business venture, does the same apply to Croatia.

5. Where is a good place to buy at the moment, I'm looking ofr potensially a beech front access.

[kevster]

Qiute a short question or two there then....

[Zero7]

kevster said:

Qiute a short question or two there then....

another great reply.....

[san francisco guy]

Guest-zero7 said:

another great reply.....

you should actually search these forums.

50% available to borrow at 9% from croatian bank if you have company setup. building on island costs more as labor is harder to find and you might
also have delay due to ferry schedules.

buy martin's wellesly? book. its good.

[Anja]

Guest-san said:

you should actually search these forums.

50% available to borrow at 9% from croatian bank if you have company setup. building on island costs more as labor is harder to find and you might
also have delay due to ferry schedules.

buy martin's wellesly? book. its good.

I really admire this 'American' ability to summarise all most important details ;D out of all

[alsdoubles]

Guest-Zero7 said:

Thanks for the replies so far,

Prior to me callign around people I really need to work out some figures before I embark on a potentially time consuming expercise,

whilst I do understand it is not goign to be easy I need some hard facts!

1. If I set up a company in croatia, is it possible to borrow money from a lender, if so at what rate, is it available for land, or building only.

2. Do most of the plots being sold have easy acess to water, gas and electric, if not then this could turn out to be a very expensive venture.

3. What are the building laws, restrictions, planning regultations.

4. if a house is built in the UK and you live in it for say 6 months and sell it on, it is not seen as a business venture, does the same apply to Croatia.

5. Where is a good place to buy at the moment, I'm looking ofr potensially a beech front access.

Being the resident moaning cynic here, and I do actually live here in Croatia I would ask the question...why? Money. Profit. Fair enough. Good motive. Honest motive. Sounds amazingly comlicated though. (1)Does not any business not have to have one Croatia partner? (As an official traslator advised me, telling me of Germans who had just given up and left) (2) No gas...bottled. (3) Bungs....or used to be, backhanders. To everyone and his or her mother. (4) Wrong. They'll slap you hard with your trousers round your ankles.
But what do I know. Croatia is okay. But, wow, this question is hard to answer. My quest here in Croatia has been hard all of the way. And after five months, what have I achieved? Everything is in my Croatian wife's name. I own...nothing. Hazve no status here. Other than the 50/50 unwritten laws, but...It wouldn't be that way in the UK. But this isn't the UK.This is just a point of view. Nothing more.

[Karl]

1. If I set up a company in croatia, is it possible to borrow money from a lender, if so at what rate, is it available for land, or building only.

Your unlikely to get credit straight away as you will need a trading history

Setting up a company is not a problem you'll need 2500 Euros to deposit in a croatian bank, pay the solicitor between £700 & £1000 and make sure you get the business classification right or it will cost you to change.

Registared company address will be needed - do you have a home in Croatia? if not use the Solicitors if possible, but it will cost you to change in the future.

If you do manage to borrow money the rate will be 9%+ (current rate is 8.23% for consumer) - this can be used to purchase land or property dependant on your business plan. If your serious, think about using KPMG to develop the business plan and put it in front of some friendly banks.

2. Do most of the plots being sold have easy acess to water, gas and electric, if not then this could turn out to be a very expensive venture.

Only if they are next to an existing services plot - and with the current changes in Urbanisation planning, it may be wise to hold of buying land - unless planning permission has already been granted.

Water, Electric and Telephone connection - about 3000 Euros typically

3. What are the building laws, restrictions, planning regultations.

Changing at the moment dependant on the area your looking at. Make sure you engage a good solicitor for upto date advice

4. if a house is built in the UK and you live in it for say 6 months and sell it on, it is not seen as a business venture, does the same apply to Croatia.

Do not know. Current legislation states that if a PRIVATE individual owns a house for 3 years and sells it then no CGT is payable. Get a good accountant to discuss the various Tax breaks

5. Where is a good place to buy at the moment, I'm looking for potensially a beech front access.

Down to personnel choice and the reasons for investment, all croatia is good.

if you need further assistance with lawyers, accountants, builders, company reg etc drop me a mail. I am going through a similar exercise at the moment and will finally be living in croatia from Mid Sept - cannot wait!

Karl

[Guest101]

I believe the initial question,was asking for individuals experiences in relation to the costs involved in (1) buying sites (2) building costs and (3) management fee.

Also what rental income could one expect over the coarse of a year.

I recognise that it will vary by region,

Details of such experiences would be appreciated.

Potential Buyer

[guy]

karl, you seem to know a bit about things in croatia. i know a little bit as i bought a house on the peljesac with my brother, where he is now living, and i am looking at buying another place.

is it you who has a property consultancy/building company in croatia, or am i mistaking you for another member? i hope it's you, as the place i have in mind requires knocking down and rebuilding! anyway, i am also interested in the pros and cons of starting a croatian company - i don't expect you to provide all the answers, but perhaps some and maybe you can also point to a good online research source? one thing: do you automatically get a residency visa with your work visa after setting up a company. it would seem illogical if not. additionally, any good recommendations re an accountant? cheers.

[alsdoubles]

This is probably one of the most interesting posts on this site. And yet I have seen few solid answers.
Let's put it this way. I put 1/2 a million Kunas in a Croatian (Austrian) bank and ...I have no cheque book, no bank statements, no card to withdraw.....What do I have.....Well, I really dont know. Does everyone in Croatia have that much, floating?
I shelved a business on the Internet, still running, but found not a lot to with it in this Country, as things were so different. But, people earn here. People make money here. Many people I've met moan about how hard it is but, they all inherited propeties, vineyards, earn a poor wage, compared to, say the UK. And they all have a second house...somewhere. And they all have a stethoscope and heart monitor in their bottom draw.
It's a puzzler this Croatia.
Land. I would have thought it was dead cheap. Other than on the islands. Forget the island. Go for the coast.
Building a property, well they're all concrete holes, now matter how well they're thrown together. I live in one. It's okay. I would hate to have to maintain it 20 years from now.
After seven, going on eight months, I have no answers. But what I do know is, I like Croatia. It is worth the effort...and there is a lot of effort required. October the 1st, windows open. I probably wont get mugged or robbed tonight...I was in the UK. Robbed many times. Armed robberies. I ran a shop there....
Come on. How long do you intend to live. This place is well okay. Despite the lack of curries.
The business angle....for an outsider. I just can't get a straight answer to this one. Easier? I just don't know.
I, personally, NEED to get to grips with the language, so I can 'really' communicate with these characters. My Croatian wife can't handle it at all.
Croats will, as will everyone else on this planet, have you, if you let them. You really do need to communicate! Seriously.
Post Script. There is a property 10 yards from me. 45,000 Euros, Empty. No plaster on the walls. Tweo rooms. The garden, is across the street, with a community wheelie bin on it. The property is totally ed, but has a roof. The owner lives. somewhere. The property is...worth, something, but nothing right now. Zero! Also, just down the road, a centuries old Arch, fantastically historic...Someone lives in part of it. Someone lives in another part where rubbled filled walls, three feet thick, have fallen off and have layed in the road for...FIVE years. The view from this place is....seven sunken ships. Some from the recent war...The owner lives, somewhere. They, the county, need the permission of the owner to...rebuild this amazingly historic fortified wall and gate.
Anywhwere else in the world, a Lottery commission would put up 1/2 a million pounds. But not here, right now in Croatia.
I illustrate these things just for anyone who may be interested. Croatia is worth the effort. One day the effort will pay off...if you're young and fit enough!

[elsanddee]

great thread,
i understand as an individual you have to pay the 35 pct tax on profit if you sell withinh three years but alothough as a company this you would not have to pay this tax but would need to pay corporate profit tax?

anyone clarify this? and what are annual charges for holding a company, ie compulsary annual tax return etc?

[Lucy]

Zero 7, Are you in croatia already? Would you considor having your experiance/ quest to building your Croatian home turned into a TV series. If so please call me on call 020 7434 6870 or email [e-mail]
Thanks Lucy