What costs is the buyer required to pay when purchasing a property?

Here is an overview of all realistic costs a buyer in Croatia may have when purchasing real estate:

1️⃣ Purchase price

• The base amount you pay to the seller.
• Everything else comes on top of that.

2️⃣ Real estate transfer tax (3%)

• If you are buying an existing property from a private or legal entity, you pay: 3% real estate transfer tax – calculated on the purchase price (or assessed market value)
• If you are buying a new build from an investor who is in the VAT system, then no transfer tax is paid, as VAT is already included in the price.

3️⃣ Notary public

• Certification of signatures on the contract.
• Solemnization (if purchasing through a loan).
• The cost depends on the property value, as well as the complexity and value of the contract.

4️⃣ Ownership registration costs

• Court fee.
• Possible lawyer fees (if you use one).

5️⃣ Agency commission (if buying through an agency)

• Typically 2% – 3% + VAT.
• If you buy directly from an investor without an intermediary, this cost does not apply.

6️⃣ Property valuation cost (if using a loan)

• If you are purchasing through a bank – the bank requires a property valuation
• The valuation is carried out by a licensed appraiser.

7️⃣ Bank costs (if using a loan)

• Loan processing fee
• Solemnization of the contract
• Insurance policies (property, life)
• Mortgage registration cost
• Total: depends on the bank and the loan amount.

8️⃣ Deposit

• Not an additional cost, but part of the purchase price paid in advance.
• Most commonly 10% of the purchase price.

9️⃣ Renovation or furnishing – if buying an older or empty property

• renovation
• furniture
• kitchen
• flooring
• installations
• This can significantly increase the total budget.

How much should a buyer plan in total?

In practice, buyers should plan an additional 4% – 7% on top of the purchase price
(excluding renovation).

If you are buying with a loan, the percentage may be even higher.

Why is it important to know all costs in advance?

Because with major financial decisions, most stress comes from uncertainty.

A buyer who knows how much they are paying, to whom, and when – makes a more confident and calmer decision.

That’s why serious sellers and investors clearly communicate the cost structure upfront – without “fine print”.

This text has been translated with the support of AI tools to ensure clarity and accessibility. While every effort has been made to preserve a natural tone, slight nuances in expression may occur.