kimi
New Member
Posts: 6
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Post by kimi on Apr 16, 2011 10:54:50 GMT 1
I have a house of two apartments near trogir which I am thinking about selling as now renting (with d.o.o.) is no longer allowed.
Can anyone recommend a good/reputable estate agent for this region - I'm prepared to set a realistic price but want a realistic chance of selling...
Any advice would be much appreciated as I'm headed out to croatia in a couple of weeks and would like to get it on the market while I'm there.
Hvala!
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Post by crojoe on Apr 16, 2011 13:29:23 GMT 1
I have a house of two apartments near trogir which I am thinking about selling as now renting (with d.o.o.) is no longer allowed. Can anyone recommend a good/reputable estate agent for this region - I'm prepared to set a realistic price but want a realistic chance of selling... Any advice would be much appreciated as I'm headed out to croatia in a couple of weeks and would like to get it on the market while I'm there. Hvala! Right now it's bad time to sell, but guess it all depends on how much you want for your apartments. If you spent any good amount to buy them, then you should be willing to spend a little more to get them rentable. Otherwise, hold on a little longer and the laws will have to change to accommodate EU laws. Doubt they will be able to keep foreigners from renting their places much longer. But, there must be a way. Ask Madgolfer, Carol or anyone here who is or was in the real state business. They should be able to give you some sound advice, even if you have to pay something for it.
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Post by Carol on Apr 16, 2011 15:10:30 GMT 1
My agency, A Place in Dalmatia is still going and still selling property in the area. I would advise you the same thing that I would tell any would-be seller: right now there are a few buyers, more than last year but still very, very few and the only things that sell are the properties which the seller feels he is advertising at a very low price to start with and then he is willing to be flexible on the price when s/he gets an offer. Basically, people are not buying now unless they can get a bargain and they really want the property because there is just so much choice out there for buyers. So Crojoe is 100% right: its better to wait a year or two if you can.
If you would like to talk about this more, then please contact Danijela either by coming to our office in Kastela (or by email/ phone/ skype). You can get details from the website.
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Post by Madgolfer on Apr 17, 2011 22:53:44 GMT 1
They should be able to give you some sound advice, even if you have to pay something for it. Advice is always free, but we cant really help in this instance as its way off our patch. but Carols web address is: www.aplaceindalmatia.com
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Post by amatesic on Apr 20, 2011 16:07:48 GMT 1
I do not understand ..... as far as I know and I am a licensed real estate agent .... a doo or a person can rent apartments as a business .... what you cannot do is rent out apartments that are not legal .... meaning they are not registered for rental purposes ... to register they have to comply to some laws, must have a building or use permit ... this depends on when the house was built as to which permit is required ... first I have heard that a doo cannot rent ? anyone else with more information or a reference for where to check this information? I cannot find a reference in the croatian laws ...
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Post by crojoe on Apr 20, 2011 20:43:16 GMT 1
I do not understand ..... as far as I know and I am a licensed real estate agent .... a doo or a person can rent apartments as a business .... what you cannot do is rent out apartments that are not legal .... meaning they are not registered for rental purposes ... to register they have to comply to some laws, must have a building or use permit ... this depends on when the house was built as to which permit is required ... first I have heard that a doo cannot rent ? anyone else with more information or a reference for where to check this information? I cannot find a reference in the croatian laws ... I know this sound ironic, but being that the Croatian system is broke, they are reverting to implementing as many fines as possible on the people and businesses. There are no warnings, just fines. So, make sure your 100% sure about the facts of what you can and cannot do with your firm. If you company charter states you can dabble in real estate, and you have all the permits, then you should be within your rights to do so. So many of the laws of the land are open to interpretation (a major problem here), so you really have to watch your back. A little heads up... Anyone planning to open a d.o.o., should try and include as many different lines of business as possible in your company charter document that is submitted to the courts. If you want to do real estate, then also include promoting cultural awareness, tourism, rental activities, travel and just about anything that would fall under the category, plus more. Just gives you more room to expand or do other things.
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Post by upthevilla on Apr 20, 2011 22:18:25 GMT 1
( I am a licensed real estate agent )....
As a licensed real estate agent you should really know these laws. Are you Croatian by any chance ?
The laws can be found on the NN web site.
But you will know that allready i presume from when you took your real etsate exam
( what you cannot do is rent out apartments that are not legal .... )Correct
(meaning they are not registered for rental purposes ) Correct
(they have to comply to some laws,)Correct .and there are many of them, ALL property that is offered for rent to tourists must comply with the law and standards as is the case in most countries
( must have a building or use permit .) This is one of the requirements yes
(... this depends on when the house was built as to which permit is required ... ) NO it dosent, you are confusing it with property built before 1968.Newer properties have to be classified as commercial or touristical *unless a Croatian citizen,*
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Post by totalcroatia on Apr 21, 2011 7:49:29 GMT 1
upthevilla,
as one of the few people who seems to be completely on top of the regulations, can you give some advice to a friend of mine who has been caught by the change in regs since he bought.
he bought a house in 2006 which was built in 1972, so after the 68 ruling, but with all permits, inc usage permit. House was in a residential area and, as with pretty much all properties at the time, the purpose of usage was residential.
Having finished renovations last year, he applied for the licence, only to be told that he could not get one as the permit he holds is for residential only. He was told he had to change the purpose of the permit to residential/commercial - by applying for a new building permit.
Apart from the cost of the new process, there is the huge time delay, as things work slowly here. I assume his case is far from unique, and you have probably come across this before with some of your clients?
Any advice greatly appreciated.
Cheers Paul
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Post by upthevilla on Apr 21, 2011 8:57:10 GMT 1
Paul, thats basically all he can do, there is no other way, They have to re submit the papers and try and get it re classified again. Since the law changed a few years ago a few clients have tried doing it , employed lawyers, spent a fortune and nothing has happened. Me personally , i wouldnt bother. They will need a deep pocket and be just caught up in red tape for many years.
At this moment in time there really is nothing anyone can do.If anything changes, and dont hold your breath,I will post on here.
Two weeks ago, i heard of a house being closed down near Pula, English owners, no catagorisation, incorrect build permits. Has been renting for 3 years. Now faces huge fines .
My advice as always is DO NOT RENT WITHOUT THE LICENCE.
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Post by amatesic on Apr 21, 2011 9:13:59 GMT 1
(... this depends on when the house was built as to which permit is required ... ) NO it dosent, you are confusing it with property built before 1968.Newer properties have to be classified as commercial or touristical *unless a Croatian citizen,* Read more: visitcroatia.proboards.com/index.cgi?board=property&action=display&thread=8381#ixzz1K8pamDhnI know that newer properties have to be classifed as commercial or tourist ... however it is not clear what you mean by *unless a Croatian citizen* I was not thinking about the pre 1968 law ... I was inferring to the fact that building legalization requirements changed from time to time ... now for instance one does not need a building permit for a house under 400m2 instead one gets a location permit yadda yadda yaddy ... whereas up to the change in this requirement changed one applied for a building permit. So during different periods the legal requirements to build varied ... and the regulations to have a legal apartment to rent changed accordingly. Fom my understanding from an experience ..... I had a case ... a doo purchased a house with one categorised apartment and a apartment for owner use ... they wanted to get a categorization for the apartment that did not have a permit ... the laws that were applied to get it legalized for tourist rental depended on when it was built ... if it was built today a use permit is required ... however the rule that the inspector applied was the rules in place when the house was built and since a use permit was not a requirement back in the 1980's the apartment was legalized for rental without a hitch. So, isn't it more a case of .... not that a doo cannot rent out a legal property ... its more a matter of what is determined to be legal on a case by case basis depending on the all the variables of the past and present laws. Thanks in advance for your clarification. P.S. As you know the real estate exam does not cover every possible aspect of the past and present laws and one learns on the job day to day through experience. We offer the services of a house inspection to buyers before purchasing ... each house inspection being specific to the buyer's requirements and questions .... and we get experts to provide answers as needed.
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Post by upthevilla on Apr 21, 2011 9:37:30 GMT 1
If you are a Croatian private citizen then you can gain categorisation for a residential building as a private owner NOT as a d.o.o. Regardless of nationality of the owners of the d.o.o the d.o.o can only apply if it is commercial or touristical
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Post by zvekov on Apr 21, 2011 13:34:47 GMT 1
as a foreigner, resident in croatia will they be able to get the same rights to do this(get categorisation for residential) .... before(now) and post euro?
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Post by crojoe on Apr 21, 2011 13:56:44 GMT 1
as a foreigner, resident in croatia will they be able to get the same rights to do this(get categorisation for residential) .... before(now) and post euro? It should if your an EU citizen.
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Post by totalcroatia on Apr 21, 2011 14:15:34 GMT 1
Upthevilla,
Many thanks for that, as I feared. Which leaves the option, rather drastic, of putting the property in private Croatian name - possible, but expensive at 5% RETT
Again, forgive my ignorance as I never got into the rental game, but my only experience of locals having licences is my mother-in-law, who has been renting for years.
If it was in local name, is the process the same re getting the permit (fireproof ashtrays etc), or is being a Croat enough? Or somewhere in between? And the Croat rules SHOULD apply to a foreigner with permanent residency, but I guess don't?
If the 5% RETT transfer could be swallowed, how long should it take to get a licence in Croat name, and would the new owner have to be physically in the books, or would a contract suffice for the application?
Lots of questions, sorry.
Cheers Paul
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Post by upthevilla on Apr 21, 2011 15:58:19 GMT 1
as a foreigner, resident in croatia will they be able to get the same rights to do this(get categorisation for residential) .... before(now) and post euro? Things will no doubt change when and IF and its big IF Croatia get into Europe. All you can do is speculate . At this moment in time you cannot. If it was in local name, is the process the same re getting the permit (fireproof ashtrays etc), or is being a Croat enough? Or somewhere in between? And the Croat rules SHOULD apply to a foreigner with permanent residency, but I guess don't? If the 5% RETT transfer could be swallowed, how long should it take to get a licence in Croat name, and would the new owner have to be physically in the books, or would a contract suffice for the application? Croatian owner = Yes will get licence. Yes they will still need to be catagorised. No.being a foreigner with permanent residency does not apply Getting a licence takes about 3 months, you will need proof of ownership,building permission,have a medical, get a goverment certified company to come out and inspect the property and issue you with fire exstinguishers, medical boxes and escape plan. You will also need to have the property furnished with certain obligatory items, ( 4 paged worth ) Yes the new owner would have to be the one who applies and gets the licence and they must be Croatian
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