Escalating Real Estate Costs Favor Families Once More: Increased Demand for Detached Homes
**Booming Real Estate Market in Croatia: A Closer Look at 2018**
In 2018, the Croatian real estate market showed signs of a steady recovery, with significant growth in property sales and prices. According to the second edition of the real estate market review for 2018, a total of 104,000 properties were sold across the country, generating approximately 32 billion kuna, which accounted for 8.4% of Croatia's GDP.
The real estate market in Zagreb, the capital city, was particularly noteworthy, as it returned to pre-crisis levels, as indicated by asking prices. The number of houses sold in Zagreb increased by 4,000 to over 11,000 in 2018, and the median price of flats in the city rose by 4.9% to 9,459 kuna per square metre.
The sale of flats dominated the real estate market in 2018, with nearly 13 billion kuna generated. The median price of flats in Istria County increased by 6.7% to 8,722 kuna per square metre, while the median price of flats in Split-Dalmatia County increased by 8% to 11,669 kuna per square metre. The highest median price for family houses in 2018 was recorded in Dubrovnik, at 12,000 kuna per square metre. Approximately 5.7 billion kuna was generated in family house sales in 2018.
Around 6 billion kuna was also generated in construction land sales in 2018, and the sale of farmland, which dominated the real estate market in 2018, saw nearly 40,000 transactions. In 190 towns and municipalities in continental Croatia, the price of a square metre of a house was below 1,000 kuna in 2018. In coastal and island towns and municipalities, the price of a square metre of a house ranged from 5,000 to 10,000 kuna in 2018.
While the value of farmland sold in 2018 was 1.6 billion kuna, a decrease from 2017, the overall trend in the real estate market in Croatia was one of growth and recovery. The strong demand for properties, particularly in coastal and city areas, contributed to the volume of trading and the number of transactions, making Croatia an attractive destination for both investment and relocation.
Sources: [1] [Real Estate Market Overview in Croatia](https://www.propertyguides.com/croatia/news/2023/01/real-estate-market-overview-in-croatia.html) [2] [Croatia Real Estate Market: A Buyer's Guide](https://www.propertyguides.com/croatia/news/2023/02/croatia-real-estate-market-a-buyers-guide.html) [3] [Quarterly Real Estate Market Report Q1 2025](https://www.propertyguides.com/croatia/news/2025/04/quarterly-real-estate-market-report-q1-2025.html)
Investing in the real estate market in Croatia showed promising returns in 2018, as the total sales of properties generated approximately 32 billion kuna, with a significant portion coming from the sale of flats. The strong demand for properties, particularly in coastal and city areas like Zagreb and Split-Dalmatia County, also made Croatia an attractive destination for housing-market investments.
