The entry of the Republic of Croatia into Schengen - what it means for buyers and sellers of real estate

The new year is approaching, and it is no longer news that the Republic of Croatia will enter the Eurozone and the Schengen area on January 1, 2023, that is, it will become a full member of the European Union, and thus the Euro will be introduced as the new official currency that will replace the Croatian kuna and become legal tender in our country.

The fact is that real estate prices in Croatia have risen significantly, and it is believed that the introduction of the euro will not significantly affect the new price increase. The real estate market in Croatia is already well acquainted with the euro as a currency, given that real estate prices have been communicated in euros for a long time, but a very important difference is that with Croatia's entry into Schengen, transactions will be much easier, given that there will no longer be exchange rate differences and problems due to conversions, which most often caused one of the biggest uncertainties when buying and selling real estate.

The abolition of border control at all border crossings on the internal border will follow, except in emergency situations, which will make it much easier for people to come to Croatia, and this should certainly increase the demand and interest of foreign citizens in buying real estate in the Republic of Croatia.

Another news is that from the middle of next year, that is, on June 30, 2023, the sale of agricultural land should open to all citizens within the European Union.

We can conclude that 2023 will be a year of great changes for us, the introduction of the euro as a currency will contribute to positive changes in our real estate market. The entry of the Republic of Croatia into the Eurozone will bring many economic and financial benefits, the flourishing of Croatian tourism and thus higher incomes and less exposure to crises, especially inflation, and we believe that then, in the middle of the year, the opening of the purchase of agricultural land to the citizens of the European Union will follow.

We have to wait and hope that everything will go in a positive direction, but in any case, our real estate market will be very lively next year!