Buying Real Estate in Croatia: Costs, Documents, and Key Tips

It's in our nature to avoid anything that seems like a hassle. But once we make a firm decision, we’ll

take all the necessary steps to make it happen. The same goes for the process of buying property – there

are unavoidable steps that may initially seem daunting, but with the right support, the process is easier

than you might think.

Preparing to Buy Property

To speed up the process and narrow down your options, it’s important to first define the location,

desired square footage, and budget. Whether it’s a commercial or residential space, carefully consider

the purpose for which you’ll use it. You can start by browsing listings on real estate platforms to get a

clearer picture of the market. Mojkey is a great place to start, as it allows you to search by map and

apply filters based on your specific needs.

Research and Support

With the help of the internet and AI, you can learn a lot about the buying process, but in practice, the

safest option is to choose a real estate agency. Agencies have experienced teams of professionals who

can quickly identify potential issues with documentation or the property itself. They are also familiar

with the market and will know where to look based on your criteria. You can also discover real estate

agencies and their agents directly through listings or blog articles on Mojkey, helping you make a more

informed choice.

Required Documents

Once you’ve found your ideal home, the next step is to review all the necessary documentation. The

required documents are generally the same for both new builds and previously owned properties.

Land Registry Extract

A land registry extract is proof of ownership or other legal rights that may be recorded in the land

registry. You can request it from the land registry office of the municipal court or online. It contains all

relevant data about the property, its ownership, and any encumbrances (e.g. mortgage). When

purchasing an apartment, check for condominium ownership as it includes a share of the common

areas.

Building Permit

Depending on the year the property was built ([more info available here]), a building permit or other

equivalent legal act confirms that the property meets fundamental construction requirements. If you are

buying a property that is under construction, ask the seller to provide a valid or legally effective

building permit or other appropriate construction document. It’s also useful to review the main design

project, which is part of the building permit.

Occupancy Permit

An occupancy permit can only be issued if the construction was carried out according to the building

permit or other legal act. It is issued after the building is completed and passes technical inspection.

Energy Certificate

The energy certificate is a document that includes general data about the building, such as its energy

class, energy usage, and efficiency measures. It is valid for 10 years from the date of issue, and the

developer is required to obtain it before the occupancy permit is issued. This document is especially

important when buying new builds.

Signing a Preliminary Agreement

A preliminary agreement is not mandatory, but it is recommended as it protects both the buyer and the

seller when the conditions for final purchase have not yet been met – particularly when buying property

that is mortgaged or financed through a loan. The preliminary agreement must include all relevant

details about the property, the agreed price, the date for signing the final agreement, and a deposit

amount. The deposit acts as a withdrawal clause – if the buyer backs out, the seller keeps the deposit. If

the seller backs out, they must pay the buyer double the deposit amount. The usual deposit is 10% of

the property value. The preliminary agreement must be notarized.

Signing the Final Agreement

In the final purchase agreement, in addition to everything stated in the preliminary agreement, the date

of property handover and the seller's guarantee that no third-party rights exist on the property must be

included. Depending on the type of transaction, the agreement could also be a gift contract or a life-

care agreement. A separate document or part of the agreement must include the tabular statement,

through which the seller authorizes the transfer of ownership to the buyer via registration in the land

registry. The agreement must be notarized, and the notary then submits the application for registration

in the land registry.

Costs to Expect

Real estate transfer tax is 3% of the market value of the property at the time the tax obligation arises.

After the property is purchased, the notary notifies the Tax Administration, which then sends the tax

assessment to the buyer’s address. This obligation does not apply if the property is subject to VAT.

Agency commission is not defined by law and depends on the agency. It typically ranges from 2% to

4% + VAT.

The commission is paid after the final purchase agreement is signed and notarized. While it

may seem like a high cost, agents greatly simplify the process and their expertise ensures the buyer is

protected.

Notary fees depend on the payment method. If you’re using a loan, there’s an additional fee for

solemnization of the contract, along with costs for signature certification, ownership transfer, and court

fees. These costs rarely exceed €200.