01/12/2023
Croatia’s housing market remains buoyant
Lalaine C. Delmendo
November 28, 2023
Croatia’s housing market remains fundamentally strong, supported by robust property demand. In Q2 2023, the nationwide house price index rose strongly by 13.73% from a year earlier, following y-o-y increases of 14% in Q1 2023, 17.33% in Q4 2022, 14.85% in Q3 2022, 13.6% in Q2 2022 and 13.46% in Q1 2022, according to figures from the Croatian Bureau of Statistics (CBS). However, in real terms, prices actually increased by a more modest 5.71% over the same period, amidst high inflation. https://www.globalpropertyguide.com/europe/croatia/price-history
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Residential construction continues to increase
During 2022, the total number of dwelling completions surged by 26.9% to 15,875 units from a year earlier, an acceleration from y-o-y growth of 4.7% in 2021 and 2% in 2020, based on figures from CBS. It was the sixth consecutive year of annual expansion.
Likewise, the total floor area of dwelling completions also increased by 23.2% y-o-y to 1,462,000 sq. m. over the same period.
By no. of rooms:
One-room dwellings: the number of dwellings completed for permanent residence surged 41.3% y-o-y to 1,795 units in 2022 while the total floor area increased 48.1% to 80,000 sq. m.
Two-room dwellings: the number and floor area of dwellings completed increased by 41.5% to 5,099 units in 2022 and by 47% to 316,000 sq. m., respectively.
Three-room dwellings: dwellings completed were up by 36.1% to 4,131 units while the total floor area rose by 45.4% to 346,000 sq. m.
Four-room dwellings: the number of dwelling completions increased by 14.5% to 3,050 units and the total floor area rose by 23% to 374,000 sq. m. last year
Five or more-rooms dwellings: the number of dwellings completed fell by 8% y-o-y to 1,738 units in 2022 while the total floor area declined by 8.1% to 340,000 sq. m.
The number of dwellings for which permits were issued also rose by 14% to 18,991 units during 2022, following an increase of 18.3% in 2021 and a decline of 8.4% in 2020, according to CBS. In the first three quarters of 2023, dwelling permits were almost unchanged at 13,645 units.
Croatia House Price Indices graph