Change is good, but only if you accept it. This sums up all market analysis for Middle and Eastern Europe. World financial markets will most probably recover by the year 2011.
Withdrawal of credit lines has affected the real estate market and investments were cut up to 50% in some countries of the region. Many buyers will now wait for prices to hit rock bottom, but they may just wait long enough to miss their window of opportunity. For those who are bold and have enough money and courage, this could be an opportunity that presents itself once in a lifetime.
Some investors are already giving up their extra profits just to finish the projects they already started. This news, along with the fact that some more conservative financial institutions like insurance corporations and pension funds are already preparing funds for real estate investment in the region, is very good for buyers.

Downtrend in the construction sector in Croatia started already in the final quarter of 2008 with lower demand for property on the Croatian real estate market.
In fact, the number of building permits increased just 11.1% in December 2008 compared to the year before, with 16.1% more construction projects registered by the Croatian Statistics Office. In comparison, the number of issued permits almost doubled at the start of year 2009, evident in the annual increase of 96.8%.
Still, it seems that lower demand on the real estate market will further decelerate the construction activities this year, which is the forecast of most analysts. Also, unfavorable financial conditions presented by many banks are expected to limit the sources of funding for new projects and lower state investments. Downtrend in the final quarter of last year already cut capital investments which left a negative impact on Croatia and its economic development.
What is expected now is for the crisis to come to a stop and then the market will get fired up again. Many analysts also believe the fact that the crisis is responsible for the current situation is a good enough reason to start investing in Croatia, especially in these times when all construction almost stopped completely. There is a very real possibility that any new property built, in particularly business real estate, will have no problem with finding a buyer in a year or two.

Legal integrity certificate of a real estate (Cro. CPIN - Certifikat pravne ispravnosti nekretnine) is a legal document signed by an authorized person that verifies the legal status of a real estate. The cost of this document is 1200Kn + tax (about 200$ + tax) and it can be issued by a lawyer who has been authorized by the certificate rights owner. Legal integrity certificate could do a lot for the sleepy real estate market in Ctoatia. It could help with the process of getting loans from banks and it could also help the sellers cause they can guarantee the legal status of their real estate.

Real estate market in Croatia needs new offices and commercial buildings and every newly built building will probably find a buyer quickly.
Development of new business buildings has been halted due to strict bank policies regarding new loans. Specifically, this refers to terms which include a high input of owner’s capital of up to 40% and an obligation to find buyers or loan out up to 50% of office spaces in advance. These terms make things a bit difficult cause not many firms in Croatia are willing to agree to these demands. That is why there aren’t many new commercial properties in Croatia lately and it is a good enough reason to invest cause the market is stable and prices are good, which means there is a realistic chance for a good profit.
Alo, Croatia is soon going to enter the European Union and it will be a good opportunity for many foreign multinational companies to enter Croatia and establish their regional centers of business in the country.

The beauty of Croatia is becoming a favourite for holidaymakers. With its villages dotting the Adriatic coastline, forests and mountains within its interior, Croatia offers something special. Considering this, Croatia is becoming a rising star on real estate and tourism scenes. Croatia is one European destination that many investors are standing up and taking notice of. We highlight the reasons:

Government Stability

Although the government is a relatively new democracy, it has made incredible strides in a short time. With a strong programme backing involvement in European and global politics, Croatia is making a name for itself. Croatia is in the midst of a number of reform programmes to make the country more stable. The government’s stability and firm leadership are inspiring property investor confidence.

European Union Entry

The government has been working very hard to bring the country up to European Union standards. Ascension is anticipated sometime within the next few years. Croatia is a member of the UN, the World Trade Organization and a number of other organisations. Impending entry into the EU constitutes welcome and good news for investors.

Economy is strong

Croatia doesn’t have the biggest economy by any means, but it isn’t the most populated nation either and it is doing well. The country’s major industries include shipbuilding, chemicals, pharmaceuticals and tourism. This is very confidence inspiring for property investors who seek the comfort of an already established economic stability.

Croatia’s Natural Attraction

Much of the attraction of Croatia is in the fact that a wide expanse of the nation’s landscape remains untouched by development. This is appealing for tourists who want to get away from the concrete jungles. A Yale University survey completed ranked Croatia 12th in the world for preserved, unpolluted natural habitat. Croatia came in well above other European countries traditionally considered unspoilt such as Italy, Spain and Greece.

Diverse Geography

To say Croatia’s geography is diverse is an understatement. Within its 56,542 square km expanse you can find a little bit of something. Its geography boasts beach front property, rolling hills, mountains, plains, rocky outcroppings and more and includes more than 1,000 islands. The climate ranges from continental to Mediterranean. visit the beautiful Adriatic shores one week and then take in some incredible mountain vistas the next.

Growing Tourism Industry

With its incredible expanse of Adriatic Sea coastline, beautiful weather, unusual architecture and unspoilt landscapes, Croatia is very popular for tourists.

Accessibility and Infrastructure

As Croatia attracts the attention of investors, it is also enjoying a reworking of its infrastructure. Major infrastructure improvements designed to make travel within the country easier include a new highway between Zagreb and Split and a new roadway system for Dalmatia.

Low Cost of Living

The strong Venetian influences in Croatia are evident from the culture and food to the architecture. Although the Venetians only ruled for a short time in the Middle Ages, they left their mark. This styling blended with Eastern European flair is very attractive! The cost of living in Croatia may be high by Eastern European standards, but it is not for Westerners.