In the first quarter of this year, property prices in the country rose by 14.3% year-on-year, while the number of transactions plummeted by 42.2% over the same period, reports International Investment.

Sales of new homes dropped by 50.9%, while pre-owned (secondary market) homes saw a 37.4% decline. Notably, price growth was least pronounced in Zagreb and along the Adriatic coast, with all other regions showing the highest increases. Total transaction value also declined—falling by 43.5% for new housing and 29.3% for pre-owned properties.

According to International Investment experts, the primary risk for Croatian real estate right now centers on liquidity. A 14.3% price hike paired with a 42.2% drop in transaction volume indicates that expensive properties are still finding buyers, but the buyer pool has shrunk significantly. As long as property owners are willing to wait, prices may remain high.