The Number of Sold Properties Decreased Last Year, but Prices Continue to Rise Strongly

Despite the recent decline in the number of property transactions, in 2025 there were still significantly more than in 2015, confirming that the real estate market has recorded a long-term upward trend over the past decade with only occasional fluctuations.

Namely, according to data from the Tax Administration, in 2025, a total of 117,359 property transactions were realized in Croatia. There is a visible increase in the number of transactions in the second quarter compared to the beginning of the year, followed by a slight decline in the third quarter, while the last quarter records a renewed increase and the highest number of transactions in the year.

As stated in the real estate market analysis by Arvio, a company specialized in official property valuations, from 2015 to 2018, the market recorded strong growth, with the number of transactions increasing from 67,683 in 2015 to 108,914 in 2018, with a brief correction in 2017. This period marks the recovery and stabilization of the market after a crisis period, with a gradual strengthening of demand.

The years 2019 and 2020 brought stagnation and a slight decline in activity (102,779 transactions in 2020), partly due to disruptions caused by the pandemic, which slowed down transaction realizations and increased uncertainty in the market.

The period from 2021 to 2023 is marked by strong expansion, peaking in 2022 and 2023 (around 137,400 transactions), driven by high demand, favorable financing conditions, and increased investment activity.

After the peak, in 2024 and 2025, there is a gradual decrease in the number of transactions (117,359 in 2025).

Zagreb and the Adriatic Lead

Market activity in Croatia is highest in urban centers and coastal regions, while rural and less developed counties record significantly lower dynamics. The City of Zagreb leads with 15.36 percent of property transactions.

Following it are Zadar, Primorje-Gorski Kotar, Split-Dalmatia, and Zagreb counties, which together make up a significant portion of the total turnover and represent the most active regional centers outside the capital. The high share of Adriatic counties stands out, indicating stable demand driven by a combination of domestic buyers and the tourism-related market.

Continental counties of medium size, such as Varaždin and Osijek-Baranja, record a solid but smaller share of the total turnover, while smaller and Slavonian counties occupy lower shares, which is consistent with their demographic picture, economic strength, and lower demand for real estate.

Most Common Foreign Buyers are Slovenians

Foreign buyers make up a smaller but significant segment of the real estate market, with the highest demand coming from buyers from neighboring and Central European countries. According to data from the Tax Administration, in 2025, foreign nationals realized a total of 9,444 property transactions in the Republic of Croatia, accounting for 8.05 percent of all transactions.

The largest share among them is held by Slovenian citizens with 2,569 transactions (27.20 percent), followed by Germany with 1,963 transactions (20.79 percent). A significant number of transactions were also made by citizens of Austrian, Bosnia and Herzegovina, Czech Republic, Hungary, Poland, and Italy.

Continuation of Price Growth

In the fourth quarter of 2025, according to data from the State Bureau of Statistics, average prices of residential properties continued to rise. Compared to the third quarter of 2025, prices increased on average by 3.4 percent, while compared to the fourth quarter of 2024, they rose by 16.1 percent, and on an annual average by 14.1 percent.

Geographically, the growth was visible in all regions. In areas outside Zagreb and the Adriatic, prices increased by 5.2 percent quarterly and 23.3 percent annually. The City of Zagreb recorded a growth of 1.2 percent compared to the previous quarter and 14.9 percent on an annual basis, while the Adriatic shows a quarterly growth of 4.9 percent and an annual growth of 14.5 percent.

In the fourth quarter of 2025, prices of new and existing residential properties continued to rise, but at a more moderate pace than in earlier quarters. Compared to the third quarter of 2025, new construction became 3.5 percent more expensive, while on an annual basis, compared to the fourth quarter of 2024, the growth was 14.7 percent.

In the same period, existing residential properties increased quarterly by 3.4 percent and annually by 16.4 percent. These data show that there is still a favorable climate for investments in new construction, while the growth rate of existing properties is somewhat stronger, suggesting high demand and stable interest in the secondary market.

Croatia with the Fastest Growing Property Prices

According to data from the State Bureau of Statistics, the annual inflation rate in Croatia in February 2026 was 3.8 percent compared to the same month last year, indicating moderate growth in consumer goods and services prices compared to previous periods. The monthly growth in February compared to January was 0.3 percent.

For the real estate market, this inflation has multiple implications. First, the real cost of living and maintaining properties continues to rise, which may increase demand for rentals and further raise prices of existing apartments. Second, investors in new construction continue to experience a favorable climate, as the price growth of residential properties in many regions exceeds the inflation rate. For example, in the fourth quarter of 2025, new construction recorded an annual price growth of 14.7 percent, while existing residential properties grew by 16.4 percent, significantly exceeding the inflation rate and indicating strong demand pressure.

According to data from Eurostat for the last quarter of 2025, the average annual growth of the residential property price index in the EU is 5.5 percent, while in the eurozone, the growth is 5.2 percent. Among the countries with the fastest growth are Hungary (21.2 percent), Portugal (18.9 percent), and Croatia (16.1 percent). The only EU member with an annual decline in property prices is Finland (-3.1 percent).

No Indicators for Price Reduction

The Croatian real estate market in 2025 maintained a stable upward trend, despite the tightened lending conditions introduced by the Croatian National Bank in the middle of the year, analysts from Arvio assess.

– Prices of residential properties continued to rise in all regions, with an annual increase of 14.1 percent, significantly above the EU average, indicating the market’s resilience and continuous buyer interest despite limitations in financing availability. Foreign buyers continue to represent a significant segment of the market, which is not unusual, given that Croatian prices are still lower than those in Slovenia and Germany, making investments in real estate in Croatia relatively attractive, especially in coastal and tourist-attractive areas – analysts state.

They also add that fiscal incentives, such as tax refunds on the purchase of the first property, further support market stability and the availability of residential properties for domestic buyers. However, they are cautious with forecasts regarding future property price movements.

– In the context of global instability and changing macroeconomic conditions, it is very challenging to predict the state of the real estate market. Although fluctuations in the number of transactions and the pace of price growth cannot be ruled out in the short term, there are currently no indicators suggesting a major market crash. The current combination of high demand, stable purchasing power, and international attractiveness suggests that the market will continue to maintain resilience and liquidity, with key factors for further development being the availability of financing, fiscal incentives, and regional differences in demand – they conclude.