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Real estate law

Law firm Vaić & Dvorničić Ltd. > Real estate law
07 March
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Real estate investments after 1 January 2026: key changes under the new ZPU

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in Construction law, News, Real estate law

As of 1 January 2026, the new Spatial Planning Act applies, and the previous act has been repealed. Although at first glance it may seem like a technical statute for planners and public administration, the changes are very concrete for investors and landowners: faster and more digital procedures, clearer deadlines, a stricter regime on the coast and in tourism, and mechanisms that can unblock projects that have been stuck for years due to infrastructure. One of the biggest changes is a full shift towards digital planning. Spatial plans are prepared and adopted in the information system through ePlanove, and the decision...

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22 February
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New Building Act and Faster Permits

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in Construction law, News, Property law, Real estate law

As of 1 January 2026, the new Building Act is in force. In official announcements it has been emphasised that obtaining building permits should be significantly faster, with communication and monitoring of procedures through digital systems (eDozvola). In practice, for years the most time was lost not on design, but on waiting for various statements: special conditions and connection conditions (electricity, water and sewerage, transport, municipal infrastructure, etc.). The new Act is drafted so that this part of the procedure becomes predictable: it introduces deadlines, accountability and, most importantly, clear consequences when deadlines expire. The central novelty is in Article 48 of...

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30 June
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Liability for legal defects in contracts

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in Contract law, Real estate law

In addition to material defects under a contract of sale, the seller is also liable for legal defects. Legal defects are governed by Article 430 of the Civil Obligations Act and arise when a third party holds a right over the subject of the contract that excludes, reduces, or limits the buyer's right—provided that the buyer was not informed of this right and did not agree to accept the item encumbered by it. The seller guarantees that the right being transferred exists and that there are no legal obstacles to its fulfillment. 1) The transaction is made for consideration; 2) The defect existed...

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23 February
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Croatia and OECD membership: new property ownership regime

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in Property law, Real estate law

The Republic of Croatia is in the final phase of joining the Organisation for Economic Co-operation and Development (OECD), an international organization aimed at promoting economic development and global trade. Becoming a member of the OECD brings a series of reforms in various areas, including legislation related to property ownership. A key focus is on the rights of citizens from other OECD member states regarding property purchases in Croatia. Liberalization of the real estate market for OECD Citizens JOne of the key requirements for OECD membership is the further liberalization of the economic and legal system, including easier access to the real...

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06 February
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Real Estate Valuation

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in Construction law, Property law, Real estate law

The valuation of real estate in the Republic of Croatia is regulated by the Real Estate Valuation Act, which was enacted on July 3, 2015, and has been in force since July 25, 2015. The valuation of real estate must be conducted with the diligence of a competent expert, taking into account all available evidence to ensure that the result is sustainable upon verification. Real estate valuation is used in property transactions, determining the value of collateral objects, property insurance, dissolution of co-ownership communities, investment and property value enhancement matters, encumbrance and depreciation issues, land development procedures, urban land consolidation, expropriation, and...

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04 February
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Obligations of real estate lessors in Croatia

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in Real estate law, Tenancy law

Given the rich tourism industry, which represents 1/5 of Croatia’s GDP, the owners are making the most of their properties by putting them in profitable use by short term rentals to tourists during the season. This article aims to present the methods of registration, taxation and administration for getting the most from the tourist lease. The Law on the hospitality provides simplified requirements for small lessors, who can offer the following domestic hospitality services: rooms, apartments or vacation houses leasing services, with the capacity up to 20 beds; camp leasing services with the capacity up to 10 units, but no more than 30...

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23 January
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Real estate tax

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in Real estate law, Tax law

Croatia, with approximately 3.87 million inhabitants, has over 2.4 million housingunits, including 600,000 unoccupied ones and 231,000 holiday homes. These figuresand the issue of long-term housing availability have prompted the government todraft a new Real Estate Tax Act. The primary aim is to reduce the tax disparitybetween income earned through labor and rental income, as rental income has sofar been taxed more favorably. This act, part of a broader tax reform, focuses onencouraging investment in productive sectors rather than solely in real estate. Thegoal is for this tax to completely replace the holiday home tax. Key changes The first change involves the...

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25 July
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Civil division of co-ownership

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in Property law, Real estate law

Civil division represents one of the judicial methods of terminating co-ownership, which is applicable when physical or geometric division of co-ownership is not possible or permitted, or when it could not be carried out without significantly reducing the value of the property. It should be noted that the prohibition of the termination of co-ownership applies only to physical division, but not to civil division, unless it is explicitlyexcluded by law. If the subject of the dissolution is real estate, it will be sold at a publicauction according to the provisions of the Enforcement Act, which we will discuss in more...

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19 July
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Physical division of co-ownership

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in Property law, Real estate law

Each co-owner has the right to terminate co-ownership, if possible and permitted, and this right does not expire. Co-ownership can be terminated through an agreement (voluntary termination) or through the court (judicial termination). This is a non-litigation proceeding, and in the event of a dispute regarding the subject of the division, the scope of the joint property, the rights of individual co-owners or the size of their shares, the court will direct the party to a civil procedure. We will further elaborate two ways of co-ownership dissolution – physical partition and the establishment of condominium ownership. Physical division The court is not bound...

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10 July
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Enforcement – Real estate

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in Enforcement law, Property law, Real estate law

Real estate enforcement is a procedure in which a creditor requests the competent court to estimate and sell the debtor's real estate to satisfy their claims. According to the provisions of the Enforcement Act, which regulates the enforcement procedure in the Republic of Croatia, the subject of enforcement can only be real estate, determined by the rules governing ownership,other property law and land registry. If co-ownership (an ideal co-ownership part of the real estate) has beenestablished regarding the real estate, that part can independently be the subject of enforcement. The court determines the value of the real estate based of expert...

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