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Realtor forum hears situation in Croatia poor

ZAGREB, Nov 11 (Hina) - The situation with real estate in Croatia has been poor for the past two years and nothing has changed, trading continues to fall about 10% each year and it is hard to expect any improvement without new government measures or economic recovery, the president of the Association of Realtors with the Croatian Chamber of Commerce, Dubravko Ranilovic, said on Friday at the 18th Realtor Forum.

The forum attracted almost 400 participants wishing to hear about a bill on the fiscalisation of cash transactions, the problem of illegally constructed buildings and opportunities to utilise European Union funds.

Property sales have declined over the past three years, often caused by difficulties in obtaining loans from banks, which indicates that there is a problem with the properties in question rather than the actual market, said Ranilovic.

He does not expect much to change in legislation which has been in place for three or four years because it is being aligned with EU regulations and mostly concerned with regulating the status of foreign real estate agents.

Ranilovic added that he did not expect any great "boom" in real estate trading once Croatia joins the EU as foreigners who wanted to could have bought properties in Croatia.

Asked to comment the introduction of a new property tax, he said that more harm was caused by rumors about this bill than the actual bill, but hoped that the association would be given insight into and an opportunity to comment on the bill.

The eventual law will not impact prices as these are formed by demand and the price of new quality apartments will grow as there is a great demand for them but the offer is limited.

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