Croatian real estate fever subsides: investors are looking for new targets

Is the Croatian real estate dream coming to an end?

Buying holiday properties on the Croatian coast was previously extremely popular among Czechs. The main reason for this was the favorable price-performance ratio and the possibility that these properties can be rented out well for a short period outside the season. However, a sharp turn has occurred recently.

“Croatia has been among the four most popular destination countries for the first time in twenty years,” Jan Rejcha, head of the Rellox real estate agency, told the novinky.cz portal. According to Rejcha, the Croatian market is no longer a place for the masses: it is visited by selective, picky buyers, while previously regular buyers – including many Czechs – are turning to other destination countries.

The decline is not only due to soaring property prices, but also to the general increase in the cost of living. Rejcha believes that Czechs will probably never buy property in Croatia in the same proportion as before.

New favorites: Spain, Austria – and Albania

Spain and Austria remain popular among Czech buyers, with almost half of those looking for foreign property buying in these countries. At the same time, new destinations are also attracting more and more interest.

One such emerging region is Albania. According to the Century 21 real estate agency, properties for sale in coastal Albanian cities can be found for under 2,000 euros per square meter – a rarity even in European comparisons. According to Tomáš Jelínek, the company’s director, the prices make the investment accessible to buyers who would otherwise be excluded from the market.

Albania can therefore be a stepping stone for those who want to acquire property abroad for the first time – primarily for investment purposes.