Cross-border payments and remote closing in Croatia

A buyer in Warsaw, Berlin or Dubai can complete a Croatian purchase without spending a week in Croatia, but only if the order of steps, the documents and the payments line up. Croatia has used the euro since 2023, which removes a currency step for buyers in the euro area. This briefing sets out how a remote closing is usually run and where it goes wrong.

The order of steps

Agency and adviser guides describe the same path:

• A legal check of the documents and the ownership.
• A preliminary contract with a deposit, usually about ten percent.
• Ministry consent, where the buyer comes from outside the EU and the reciprocity rule applies.
• The main sales contract, signed before a notary.
• Payment of the real estate transfer tax.
• Registration of ownership in the land registry.
• Transfer of utilities and insurance.

See a local agency's description of the process. Put the consent step into the preliminary contract as a condition, so that a refused or delayed consent does not leave the buyer exposed.

Taxes and timing

Advisers describe the buyer's real estate transfer tax as three percent of the market value, payable within about thirty days of the sales contract. New buildings sold by developers are described as carrying VAT of 25 percent in the price and no transfer tax on top. Registration in the land registry is described as taking roughly fifteen to thirty days. These are summaries from agencies and advisers, such as the Freenance guide, and not the statutes; quote them to a client as estimates only and have a lawyer confirm them.

Remote signing with a power of attorney

A buyer abroad does not need to be present if a representative signs. The pieces:

• The power of attorney is signed before a notary where the buyer lives.
• Documents from non-EU countries need an apostille; documents from EU countries do not, under the EU rules on public documents.
• Foreign documents are translated into Croatian by a court interpreter.
• A lawyer can sign the contract in the buyer's name on the basis of the power.

See a summary of remote purchase rules. The practical rule: let the Croatian lawyer or notary approve the text and the form of the power of attorney before the buyer signs it, because a wrong form means signing again, and the buyer may already be home.

Money from abroad

Ask the buyer to pay the deposit and the balance by bank transfer from an account in their own name and to keep the record. A registered business in Croatia may not receive or make a cash payment of EUR 10,000 or more, including linked payments, so a client who suggests paying part of the price in cash must be told that this is not possible and that the suggestion is itself a reason for care; see the cash-payment rules. Payments from third parties need an explanation on file. A buyer's bank may question a large international transfer; warn them in advance so the deposit does not arrive late.

The OIB, again

No land registry entry without an OIB for both parties. A buyer who does not have one needs to get it before the main contract; foreigners can get it at the Tax Administration with a passport, and advisers say it is often assigned on the spot, see the official explanation. If the buyer is abroad, ask the lawyer whether a representative can obtain it.

What to tell a remote buyer

• The main contract is signed before a notary, in person or through a representative with a correct power of attorney.
• Expect weeks, not days, between the preliminary contract and registration.
• The tax and the registry fee are on top of the price; ask for a written estimate.
• Do not pay anyone you have not been introduced to in writing, and do not pay in cash.
• Ask for the land registry extract after the entry is made.

Typical delays

• A ministry consent that has not been requested early enough for a non-EU buyer.
• A power of attorney in the wrong form or without an apostille where one is needed.
• A translation by someone who is not a court interpreter.
• A missing OIB.
• A seller's own paperwork, such as an unresolved inheritance or an unregistered building.

Working with D.H. Realting

D.H. Realting is a trilingual (Russian, English, Polish) overseas-property platform. We introduce buyers, including expats who live in one country and look at property in another, and we support the process around the deal. Agencies that handle the transaction locally and would like to be introduced to such buyers can contact us through our partners page.

This briefing is informational only and is not legal, tax or investment advice. Figures and rules are indicative, come from the sources named, and change over time; confirm them with a local lawyer or notary before you rely on them.