6 steps in selling and buying land in Croatia

Key steps in the purchase and sale of land in Croatia

Selling or buying land in Croatia can be a complex and demanding process. However, with the right approach and patience, it can become a profitable experience. In this article, we will explore in detail the key steps needed to successfully sell or purchase land in Split and its vicinity.

It’s crucial to note that the sale or purchase of building land involves specific steps before initiating the transaction, and it fundamentally differs from selling residential properties. Firstly, it’s important to define building land, which includes land within the boundaries of the building area and land outside the building area that is covered by a building plot.

Sale of building land vs sale of a building

While residential properties allow buyers to see exactly what they are purchasing, buying building land requires envisioning the future construction. Depending on the defined purpose in the spatial plans, a residential, business, or industrial building may be constructed on the land. Typically, buyers of such properties are investors, construction companies, or individuals looking to build their own homes. The sale process for building land often takes longer due to various influencing factors. To expedite and streamline the sales process, consider the following steps:

1. Importance of the legal aspect of building land

Before selling or purchasing land, it is essential to ensure all legal aspects are fully regulated. The first step is to verify ownership and any potential encumbrances on the property. Ideally, the property should be free of legal impediments such as mortgages, liens, or other charges. Ensuring the land’s “legal cleanliness” builds greater trust with potential buyers and facilitates a quicker transaction.

2. Location information and verification of spatial plans

Location information is crucial for the sale of building land as it outlines the designated purpose of the area according to spatial plans. Additionally, this information confirms whether the building plot falls within a zone that requires a special regime for space use or if an urban planning plan is needed.

3. Valuation and building capability

Accurate property valuation is fundamental to a successful sale. The property’s value is influenced by factors such as location, size, shape, orientation, purpose, availability of utilities, road access, and overall market conditions. A significant factor is the land’s building capability, including the minimum plot size, distance from adjacent plots, road distance, building surface area, and construction coefficients. Engaging a valuer or researching local real estate market prices for similar land can provide useful insights.

4. Marketing and advertising

Once you’ve set the price and determined the building possibilities, the next step is to market your property effectively. A well-crafted marketing plan can significantly enhance your property’s visibility and attract potential buyers. Hiring a real estate agency can be particularly beneficial. Our agency will ensure your building plot is professionally advertised with all vital details, including price, size, location, construction description, land use, and high-quality photographs. Quality advertising that highlights your property’s advantages will attract a larger number of potential buyers.

5. Communication and negotiation with prospective customers

Clear communication with potential buyers is crucial for a successful sale. Provide all necessary information and remain open to negotiations. Negotiations often involve price adjustments and possible changes in terms, which can be challenging, but with patience, a mutually satisfactory agreement can be reached. Legal support can be valuable in protecting both parties’ interests. It’s important to consider all offers and be willing to compromise.

6.Conclusion of selling and buying land in Croatia

After agreeing on the price and terms with the buyer, the next step is finalizing the sale and formally transferring ownership. This process includes signing the sales contract, paying real estate sales tax, and transferring ownership to the new owner. Given the complexity of this process, our team of legal experts will ensure that the sales contract is clearly written and includes all agreed terms such as price, payment method, deadlines, and any special conditions. Once the legalities are settled, our agents will handle the ownership transfer in the cadastre and land registry.

Designed by Freepik