|
|
Post by Sasha on Jan 24, 2008 12:37:26 GMT 1
Property in Croatia hots up
Thursday, 24 Jan 2008 11:05
Small Development Finance Non status, new build, refurb, land, auction, barn conversions.
Property in the eastern European nation of Croatia is emerging as an interesting investment opportunity for UK buyers.
That is the view of overseas venture experts Property Abroad, which says the country presents "exceptionally good value" for investors.
According to the company the market is beginning to develop at pace - with the possibility of EU membership on the horizon – making now a good time to make a purchase.
"It's not as developed a property market as those other countries such as Greece and Italy, but it's certainly one to look out for, for the investor who likes to get ahead of everybody else," said Les Calvert, director of Property Abroad.
According to the Croatian tourist board almost 11 million tourists – foreign and domestic – visited Croatia between January and November 2007, a rise of eight per cent from the same period in 2006.
And now investors are beginning to take notice of the country.
"Croatia's exceptionally good value for money. We've seen a large increase in online searches for property in Croatia in the last 12 months, so obviously people are starting to take more interest," continued Mr Calvert.
There is also tremendous variety available to investors in Croatia, according to Property Abroad.
"It is a bit of both, really – people are looking at cities, inland properties that they can pick up relatively cheaply. But also people are looking at new developments on the beaches," explained Mr Calvert.
"It really is a bit of everything."
However, buyers looking at the market are warned by the company Croatian property can require a great deal of paperwork to acquire.
|
|
|
|
Post by irac on Jan 24, 2008 13:08:20 GMT 1
Where is this sourced from Sasha?
|
|
|
|
Post by coolpal39 on Jan 24, 2008 18:20:51 GMT 1
Do they know about the changes that foreigners can only stay 6 months a year now?
CP
|
|
|
|
Post by Sasha on Jan 24, 2008 19:50:10 GMT 1
|
|
|
|
Post by irac on Jan 24, 2008 21:26:47 GMT 1
Thanks for that Sasha. It's a nice piece, sure to get a little more notice for the country, but is written for a reason - on behalf of a property agency. As coolpal mentions, not all things are laid bare, but then again, if anyhone wishes to stay more than 6mths there are ways. One odd thing is that on the website itself Croatia doesn't make it into the top 10 hotspots! |
|
|
|
Post by dundonald on Jan 24, 2008 23:37:16 GMT 1
|
|
|
|
Post by mambo on Jan 25, 2008 3:34:57 GMT 1
This article is what I call 'preaching for your own perish' and to me therefore without any value.
If this would be written by some independent source I would put some value to it, now not.
It is the same if I would write here that Croatia is about to turn into the biggest market for packaged ice and that everyone should get a bag before they are sold out.
|
|
|
|
Post by irac on Jan 25, 2008 21:07:15 GMT 1
You've been reading the plastic Paddy I take it! I loved his article yesterday, but this one takes the biscuit! But I've an issue with one Irish "forecaster", I think his crystal ball was on the blink as Knight Frank figure Ireland will grow by 7.5%. |
|
|
|
Post by mirabelle on Jan 26, 2008 10:17:36 GMT 1
I would say this year is probably a better time to buy than it had been in the last 2 years in Croatia. Property prices are flat at the moment (no estate agents will say this) and you will get a bargain if someone is serious about selling and not just testing the market. If you wait for HR to be in the EU it would be too late. If you have don't have to borrow to buy and look upon it as a long term investment to be enjoyed then now is just a good a time. Of course location must be of key importance in your decision. Near the sea, seaview, within the magic hour's drive to the airport, near to historical places of interest, etc and you wouldn't go wrong.
Properties which are in a bad location, badly built, may be cheap but hard to shift when it comes to selling and this is applicable to anywhere in the world. Location, location.
|
|
|
|
Post by Carol on Jan 26, 2008 11:46:10 GMT 1
i'm an estate agent and I'd say prices are flat and have been for the last year. It used to be that if something didn't sell in the first year of being offered that the seller would often contact us to put the price up the following spring. But there was very little of that in 2007. We've got 250 properties for sale now and I can only think of a small handful that did that.
More annoying is the people who put their asking price up at the moment you bring a buyer who is making all the right noises abuyt buying. its annoying because they have been wasting our time and money marketing their property.
I can honestly say that most of the owers of the cheaply built, badly constructed houses don't even begin to think of charging less for their house than the owners of the well constructed properties. I think what matters is location, price and size.
|
|
|
|
Post by capio on Jan 26, 2008 12:47:22 GMT 1
I've just bought a property in Bulgaria. It was very easy and the lawyer fees were not 10% of what I paid in Croatia. The only thing I did find odd is that it was much cheaper for the property to be part of a co-owned business. Hey that's the Balkans!
|
|
|
|
Post by rijekafan on Jan 26, 2008 13:28:27 GMT 1
I think the market is not the same around Croatia. Rijeka is still healthy but the major price growth seems to have gone out of it. I will be selling an apartment in Mali Losinj 40m from the town sq later on this year so that will be interesting. The thing is the most likely buyers are locals.
The thing is, if you have to buy through the company route eventually you may work out its not worth it. I bought at 65k in RJK and sold at 100k, still I would have been much better to stay in Australia. I have had enough of all the bull regulations with their attendent hassles and costs. Im not buying anything else, the crap is just not worth it. The costs have gouged all my profit margin
|
|
|
|
Post by mambo on Jan 26, 2008 15:45:26 GMT 1
The locals who inherited their houses or whose houses have been fully paid for will never drop the price. They have no need to sell, they don't need to move, they can wait and when their neighbor or a friend claims he got 5000 euro/m2 they will wait to get the same amount of money.
The ones who are speculating, who are building apartments with the objective to sell and make a profit, will get into a tight squeeze. Some bank loans require payback within 2 years and this will put pressure on the sellers. They are the ones who are more likely to drop the profit. When you built the property for 600 or 750 euro/m2 and intend to sell it for 2000 to 2500 euro/m2 there is enough room to drop. If not..............the bank will simply come in and take it away.
One thing I don't understand is why everyone keeps believing that the prices will go through the roof once Croatia will join the EU. There is no proof for it, there is no reason behind it, if you can't buy now you won't be able to buy later, simple as that.
In fact, many Dutch were selling their houses in France, Spain etc when the EU started to cooperate on registration of house ownership. People who bought their house with 'black money', who did not report it to the Tax office in Holland, ended up in massive problems and were forced to sell.
For those people Croatia is still a haven, the registration is such a mess that nobody in Holland will ever find out if they have no 'lead' about the house.
|
|
