You will find that plenty of the real estate Croatia opportunities are located in the overcrowded cities. And, if you have done some initial research on real estate investment opportunities, you will most definitely have heard of Njuškalo, the main and most known portal in Croatia.
This month, Njuškalo held a conference in Zagreb which the subjects approached were tourism, being the main industry in the country, combined with real estate investing. Together they have created a market with huge potential and definitely worthy of investing in.
During the conference, Robert Pakrovac, from Estre, one of the top banks in Croatia, said “ We’re an open book on which other sectors such as tourism, and ultimately the retirement of people in Croatia, lean on”
It is common to find real estate prices in overcrowded areas higher than in other locations. Due to the simple fact that there is more demand for these real estates. This is because many of these areas are popular destinations for both tourists and first time buyers who are less knowledgeable on Croatia and the real estate market.
However, recently more and more tourist and first time buyers are looking away from these popular areas and are in search for authenticity, privacy and unique experiences. These can be found in the lesser known regions of Croatia.
Davis Cup – originally known as International Lawn Tennis Challenge Trophy -, is the main and biggest international tennis tournament in the sports scene. It attracts tennis players from all over the globe, giving them the unique opportunity to represent and play for their homeland.
How did the tournament start?
With Davis Dwight, born in 1879, as well as serving as Secretary of War was also an incredible athlete. In 1899, Davis, in partnership with others, proposed the idea of an international tennis competition.
In 1900, he then bought a trophy dedicated to the winner of the first contest, the international championship was then founded. The first contest worth the trophy was a match between USA and British Isles, that took place in the Longwood Cricket Club in Boston.
One of the best investments one could do is property investing, but it can also be very difficult decision requiring research on the area the property is located and on the property itself, apart from a lot of budgeting or financing for most people. For that reason, It can be really a decision for life if that is the case as if you decide to finance you will have a couple of year of mortgage awaiting for you.
How then to make the most of your money and depending on the area even an income?
To make an income it is important to decide on a property that is located in a very attractive area or country. This way you guarantee there will be away interest from tourists to stay in your house if you decide to rent it. That is the core of buying an investment property as well as in an area. Buying an investment property has to both ways, for the investor and for the guests.
To make this comparison simpler we selected a few countries and the prices for a house in comparison to Croatia. So, here is a brief list of properties in Europe. There are requirements you can stick to when looking for an investment property abroad, on the list below the requirements were either price or number of rooms.
If you wonder where to stay in Croatia, first you have to ask yourself what are you looking for and what you expect from your holidays in the country. If you would like to have a classy, refined and relaxing holiday, with quality stay and experiences one place you should definitely aim to Istria.
With a very extended coast comes a large amount of Croatian islands. 1,800 kilometres of coastline in the entire country and nearly a third of this coast, including islands and islets, is Istrian!
The location of your villa in Marčana is central, giving you a favourable position you to explore the surrounding paradises.
Let’s start near
The closest island and National Park to your luscious investment property is called Brijuni and it is formed by 14 islands and islets.
According to the Istrian legend, God created Istria as an extension of Heaven. The devil then, out of jealousy, scattered stones around the peninsula. Angels then gathered the pieces of Heaven remaining among the scattered rocks and protected them by the sea waves. And created Brijuni.
The island was owned by an Austrian who had the intention of turning it into a resort. The eccentric taste, brought some exotic fauna and flora to Croatia.
In the early 80’s the Island was considered a National Park. Nowadays, everyone can easily reach this piece of heaven by ferry. To get from your villa to this beauty, you can drive towards to Fažana port, only 25 minutes away, and catch a ferry from the port to the island. After that, all you need to do is enjoy your day!
Croatia holidays are defined by stunning nature, magnificent weather and superb food
For excellent dishes you need top quality ingredients and products. The fresher the better. And for sure the locally grown products in Croatia meet these requirements.
The really sunny and pleasant weather makes the Istrian soil perfect for agriculture. Many tourists come to the region to taste and discover the richness of Croatia’s gastronomy.
The soil in Croatia is red (terra rossa). This type of soil is typically present in Mediterranean countries due to karstic nature. It has good drainage and neutral Ph. Together with warm and moist temperatures, makes Croatia a perfect country for growing fruits and vegetables.
Imagine you invest and become an owner of a luxury villa holidays in Croatia, which doesn’t have the Candy Brick Full Management Guarantee.
The villa is in an attractive location in the south of Istria. In fact, the region is attracting many tourists every year and offers plenty of reasons for people to come over and visit, such as short distance from Pula and Rovinj, the sea, astonishing nature, healthy outdoor lifestyle and active lifestyle and last but definitely not least, the gastronomy.
But between so many accommodation options, how do you make your villa attractive for tourists and make them chose your villa amongst the others?
The answer to this question is not only having high-quality holiday villa, but also providing excellent and efficient service for the guests and no stress for the owner of this property.
So, what options are left when it comes to managing your holiday home?
1.) Option 1: do-it-yourself:
Advertising your house online, this step can be simple, with research on where to advertise the property it is possible to know how and where to place your advertisement.
However, making the villa available online is a whole different step. It means you would have to organise and manage the booking requests, making sure there is no double booking or overlapping days and as a busy person, you would want to avoid that.
Nowadays people, in general, are extremely busy, the last thing anyone needs is one more chore to fit in their schedule, especially if this task is another full-time job.
The goal of a smart investor is to automatise the profit, keeping his time to do what is a priority and make the capital work for itself.
2.) Option II: giving this responsibility to an agency
This solution sounds great at first, but considering it more carefully, tourist agencies may not be able to represent and show the assets of your holiday villa in the correct way. Because of their extended list of properties to manage, they might not give your property the attention it requires and deserves.
For example, if your property is worth 1.5 mln euros, it is very likely it has plenty of refined rooms, a beautiful garden, a gym, a lot of gadgets, infinity pool and to top it up, a really polished design that tourists would be willing to pay more for.
Those are the selling points to rent your property out. But unfortunately, if the agency is managing hundreds of other properties, they might not be aware of and take all the features mentioned above for granted.
As a result, they can end up following the standard procedure of taking a couple of photographs of the most common rooms. Misrepresentation can lead to a shortage of bookings, as the villa won’t be appealing for the tourists amongst the other rental properties and the rental income can decrease if the features are not displayed and justified on the rental price.
Commissions can be quite high in those agencies, amounts around 30%-40% of your income for the service. This service usually does not include cleaning, welcoming guests, an available hotline for unexpected issues, gardening and etc. You would more than likely have to pay another company to look after those tasks.
The options above are not ideal for a busy investor that wishes to maximise their financial return and doesn’t have time to dedicate on property management, it also might be the case it is not in their interest to dedicate time for this task anyway
Candy Brick Full Management Service
The Candy Brick Full Management Guarantee is amongst the other guarantees offered to investors, protecting their interest and maximising their financial return.
With the Candy Brick, Full Management Guarantee you have trusted and professional staff taking care of your holiday villa and of your guests. The services the Full Management Guarantee includes are:
- Marketing your villa holidays
- Managing bookings
- Welcoming the guests
- Cleaning the villa and doing the laundry
- Gardening and pool cleaning
- Hosting the guests
- Also, a hotline always available for the guests to call any time to solve any problem
And what is even better is that the charge is only 20% of your income, which is much less compared to other agencies, and all the services in relation to rental management are included in the price.
As a result of this service, you get the best return on your investment without the need to worry about anything or having to deal with different companies.
A professional and reliable management service is key for your investment, so the staff maintaining the villa is local and well qualified. With this guarantee, all you have to do is sit back and enjoy your €30,000 rental income every year.
Your Candy Brick investment villa is not only a luscious and high quality property but it is also self-sufficient
Considering that Croatia has around 300 sunny days per year, the potential for solar energy generation here is massive. That’s why your Candy Brick villa comes pre-installed with photovoltaics and solar thermal water heating. So your villa will generate enough energy to cover it’s electricity need.
You can classify the types of solar energy in two systems:
- Photovoltaic (PV)
- Solar thermal
PV technologies produce electricity directly from sunlight by converting solar energy into electricity. Many PV cells are linked together to make up a PV solar panel. Instead, solar thermal technologies use the solar energy to produce heat. Electricity is then generated from the heat collected.
Both systems generate direct current (DC) energy and then convert it to usable alternating current (AC) energy with the help of a power inverter. AC energy then flows through the home’s electricity panel, distributing energy accordingly.
What will these system supply electricity to?
Well, apart from providing the electricity to charge your phone, laptop, or maybe even your Rimac Concept One electric car. The solar energy systems on your investment villa will also provide the heating for your water. As a result the underlay of pipes of water placed below the flooring will provide you with spectacular underfloor heating.
These systems will also supply energy to other applications implemented in your investment villa:
- Heating and cooling for the swimming pool;
- Air conditioning for the whole property;
- Hot water for showers and general use;
Zero electricity bills maximise even more the financial return of your investment villa
The cost of electricity bills coming from old and polluting sources can be quite a burden on the pocket, as well as for the environment. Opting for an innovative and clean way to generate energy is the only way to reduce or even extinguish this cost completely.
So, thanks to these innovative systems producing enough energy for your investment villa to be completely self-sufficient, you will get the best return on your investment.
Can this get any better? Yes, it can!
Any excess electricity your solar systems produce that is not used, can be sold back to the grid to make you an extra income. Consider, in particular, the times when you will not be enjoying your investment villa or it is not rented out to guest. It will be generating you an extra income. This could be between €3-4 a day! In the future, your income could increase up to 10x should the government reintroduce feed-in-tariffs
Why is the choice of the terrain important for your villa in Croatia?
The location and ground dictates how the architecture and the project of your villa in Croatia will take shape. Your project can suffer if the choice of the terrain is poor, affecting the project’s plan and vision.
Location and terrain
The region of Marcana in Istria is constantly increasing in tourism, which is extremely beneficial for your rental income.
Some of terrains on which Candy Brick villas are being built, have a very interesting and favourable anatomy for the construction of a modern and unique villa in Croatia.
Candy Brick construction keeps showing great progress, and in only a month. As a result, each house is visibly progressed and the structure of three villas is near to be finished.
For your villa in Croatia choose Candy Brick who uses right materials.
When you invest in a property, maybe the first thought is financial return generated by an income.
But what might not come to your mind straight away, and is also extremely important, is the quality of materials that will ensure durability.
As a result of this durability, when deciding to monetise your villa in Croatia, your property will still be in exceptional conditions.
The materials also impact the performance of your property.
For example, if the works are done with poor quality materials, the heating systems will be affected making them not as efficient as they should be, resulting in more consumption.
Candy Brick not only builds high quality structure, but also implements high performance, low consumption and sustainable heating systems.
For that reason trucks arrive constantly in Matelici, filled with wood, insulation, tiles and concrete of the best quality for your villa in Croatia.
Croatia has a variety of wood eating insects that could damage your foundations, and that is why Candy Brick takes all the precautions, focusing on high quality and long term durability.
Every wood used on your villa in Croatia, is treated with special products against insects. Those products must be applied using high pressured air, making sure it covers and penetrates every wood vein and wholes.
The ground concrete slab of all properties in Matelici are completed. You can find more information about the concrete and how the weather can affect it on the link below.
The very first property you see when entering the terrain in Matelici, is property number 1
First of all, the anatomy of the first house is divided by 2 floors, ground and first.
Due to the terrain, the ground floor is divided by two levels. Lower, having the living room and kitchen and the upper having 2 bedrooms with bathrooms and storage room.
The walls for the lower ground floor and upper are completed. Windows and wholes are placed and, the next step is reinforcing the frames and passages with concrete slabs.
The floor can receives two different types of insulation:
- Hydro (bitumenized paper) prevents the passage of steam from the ground.
- Thermal, stops the water to pass and reach the concrete slab and allows any steam to evaporate, this kind of insulation also prevents noise propagation.
- Around the floor by the walls, 1cm of stiropor prevents contact between tiles and walls, this is called floating floors.
As a result the more layers of insulation materials the floor receives, the less it propagates the noise.
Heat energy is lost from buildings through their roofs, windows, walls, floors and through gaps, if the insulation is not made properly.
Having heating systems, is not enough if the insulation is done wrong.
Candy Brick foundations for the chimney on the second and first house are in place. Next step is building the first floor concrete slab and progress with the construction of the master bedroom.
Property number 2
The anatomy of the second house is similar to the previous one (lower and upper) with the similar characteristics of the first one.
Construction is progressing to the first floor leading to the top concrete slab where the master bedroom is. The master bedroom of your Candy Brick villa has a really spacious L shape terrace.
Last but definitely not least, there is house number 3
The anatomy of this property is a little particular, consequently, this property has 5 different roof levels. The three concrete slabs are completed and the roofing process already started on the lower roof.
Candy Brick is already making the next steps and contacting water and electricity companies, in order to move forward from the structure, to the next stage of the villas construction.
Candy Brick is already making the next steps and contacting water and electricity companies, in order to move forward from the structure, to the next stage of the villas construction.
The Istrian Y motorway is responsible for the connection of Istria with international motorways.
Istria attracts a great amount of tourists that decide to visit the country. Investments in Croatia and improvements easing the access to the region, are extremely important for the overall picture.
The extension of the concession to Bina-Istra until 2032 was notified by Croatia to European Commission in March this year.
On the 14th of June 2018, EC released:
“The European Commission has approved under EU State aid rules a Croatian plan to prolong the Istrian Y motorway concession agreement between Croatia and the company Bina-Istra.
This will allow €165 million of new investments to go ahead, while limiting distortions of competition.”
Commissioner Margrethe Vestager, said:
“The prolongation of the Croatian Y motorway concession will promote regional growth and investment, as well as enhancing citizens’ safety and reducing congestion.
Our decision will ensure that the motorway extension can be built, while limiting any potential distortions of competition.”
The project meets EU State requirements of infrastructure investments to stimulate regional economic growth, and facilitates the traffic, not only for locals but for tourists that are willing to visit the peninsula.
This concession will permit Bina-Istra to finance the works of a 28 km long, second carriageway on the north-eastern side of the motorway.
Investments in Croatia and especially in the Istrian region are always very welcome.
The improvement of the motorway eases the access for tourists to reach, affecting the infrastructure developments in the peninsula.
Since 2000 the increase of traffic in the region has been notable. As guests are mainly arriving by car, this change will directly benefit them.
Better roads and easier access, motivates and attracts more people to come back to visit the region, and spend money in the area.
Bina-Istra has also interest on financing local roads for the towns of Višnjan, Vodnjan, Pula and Pomer, encouraging companies to relocate, base their factories and their businesses from the capital to Istria.
How does it affect your investment in Croatia?
The infrastructure developments on the surroundings, only increases the value of your investment property in Croatia.
This kind of investment improves not only the access. With the access more traffic comes along, meaning more tourists spending their holidays in the region.
The construction of the extension is expected to begin in the autumn