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Everything you need to know before buying real estate is included in our Croatia Property Pack
Getting a mortgage in Croatia as a foreigner is possible, but the process varies significantly depending on your citizenship status and residency.
EU citizens enjoy easier access to Croatian mortgages with terms similar to local buyers, while non-EU citizens face stricter requirements including higher deposits and mandatory residency permits. Croatian banks typically require 20-30% deposits for EU citizens and up to 50% for non-EU applicants, with interest rates ranging from 2.5-3.5% for EU citizens to 4-5% for others as of September 2025.
If you want to go deeper, you can check our pack of documents related to the real estate market in Croatia, based on reliable facts and data, not opinions or rumors.
Foreigners can obtain mortgages in Croatia with EU citizens having easier access and better terms than non-EU buyers.
Croatian banks require substantial deposits (20-50%) and proof of regular income, with most preferring borrowers who have Croatian residency.
| Criteria | EU/EEA Citizens | Non-EU Citizens |
|---|---|---|
| Deposit Required | 20-30% | 30-50% |
| Interest Rates | 2.5-3.5% | 4-5% |
| Residency Requirement | Preferred but not always mandatory | Usually required |
| Property Types Allowed | Residential, commercial, land | Residential only (with ministry approval) |
| Maximum Loan Term | 20-30 years | 20-30 years |
| Income Documentation | 3-6 months proof | 3-6 months proof + additional verification |
| Loan-to-Value Ratio | 70-80% | 50-70% |
Fact-checked and reviewed by our local expert
Nikki Grey 🇬🇧
CEO & Director, Europe Properties
Can a foreigner actually qualify for a mortgage in Croatia?
Yes, foreigners can qualify for a mortgage in Croatia, but the process depends heavily on your citizenship and residency status.
EU and EEA citizens are treated almost the same as Croatian citizens and can obtain mortgages for both residential and investment properties with minimal additional restrictions. Non-EU citizens face significantly stricter requirements and typically need special approval from the Croatian Ministry of Justice.
Most Croatian banks require foreign borrowers to have a valid Croatian residence permit and demonstrate regular legal income within Croatia. Some banks may consider non-resident applications, but these come with much stricter terms including higher deposits and interest rates.
It's something we develop in our Croatia property pack.
What types of properties in Croatia can you get a mortgage for?
Croatian banks offer mortgages for various property types, with EU citizens having broader access than non-EU buyers.
Residential properties including apartments, houses, second homes, city flats, and coastal villas are eligible for mortgage financing. Foreigners can also secure mortgages for land intended for residential construction, though they cannot buy agricultural land as private individuals.
Commercial properties are available for mortgage financing but face stricter assessment criteria and collateral requirements. Non-EU citizens are typically restricted to residential property purchases only and usually need to operate through a Croatian company for rental income generation.
How much deposit do Croatian banks usually require?
Croatian banks typically require deposits of 20-30% for EU citizens and up to 50% for non-EU citizens as of September 2025.
The loan-to-value ratio usually ranges from 70-80% of the property's appraised value for standard applicants. For many foreigners, especially non-EU citizens, banks often require higher deposits due to perceived higher risk profiles.
Bank appraisals can further reduce loan amounts if a property is valued lower than the market price, effectively increasing your required deposit. Some banks may offer more favorable terms to borrowers with strong financial profiles or existing banking relationships in Croatia.
What is the typical interest rate on mortgages in Croatia right now?
As of September 2025, Croatian mortgage interest rates vary significantly based on your citizenship and residency status.
EU and EEA citizens typically receive floating rates averaging 2.5-3.5%, similar to rates offered to Croatian citizens. Non-EU citizens and non-residents face higher rates, usually around 4-5%, depending on the specific bank and individual risk assessment.
Interest rates depend on factors including your creditworthiness, deposit amount, loan term, and the bank's assessment of your risk profile. Banks may offer slightly better rates for larger deposits or shorter loan terms.
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How long are the repayment terms Croatian banks usually offer?
Croatian banks typically offer mortgage terms ranging from 20 to 30 years for both Croatian citizens and foreign borrowers.
The maximum loan term is subject to age restrictions, with most banks requiring the mortgage to be fully repaid before the borrower reaches 60 years of age. This age limit can significantly impact the available loan term for older applicants.
Some banks may offer flexibility in repayment schedules, including options for early repayment with varying penalty structures. The specific terms depend on your individual circumstances and the bank's lending policies.
What documents do you need to apply for a mortgage in Croatia?
Croatian mortgage applications require extensive documentation, particularly for foreign applicants.
- Proof of identity (passport or national ID card)
- Croatian tax identification number (OIB) and Croatian bank account
- Proof of income including employment contract and salary statements for the last 3-6 months
- Preliminary or formal purchase agreement for the property
- Land registry excerpt and building use permit for the property
- Residency permit (if applicable)
- Tax returns and credit reports
- Collateral property information and notary-certified statements on prior ownership
Additional documentation may be required depending on your specific situation and the bank's requirements. It's advisable to prepare all documents in advance and have them translated into Croatian if necessary.
Do Croatian banks lend to people without Croatian residency or citizenship?
Croatian banks can lend to non-residents, but the conditions are significantly more restrictive than for residents.
Non-residents face tighter lending conditions including higher required deposits, stricter income verification, and often must demonstrate local Croatian ties or income sources. Most banks prefer applicants who can show Croatian income rather than foreign income sources.
EU and EEA residents with local Croatian income typically qualify under more standard terms compared to non-EU non-residents. Some banks may reject non-resident applications entirely, while others have specialized programs for international clients.
It's something we develop in our Croatia property pack.
How much income do you need to show to get approved for a mortgage in Croatia?
Croatian banks generally require that monthly mortgage payments do not exceed one-third of your regular monthly income.
Applicants must demonstrate several months of stable, legal income with proper documentation including employment contracts and recent pay statements. The minimum income threshold varies depending on the loan size and your overall financial profile.
Banks assess not just income level but also income stability, employment history, and existing financial obligations. Your credit history and overall financial standing play major roles in determining approval and terms.
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Are there restrictions on how much of the property value a bank in Croatia will finance?
Croatian banks typically finance up to 70-80% of a property's appraised value, though this can be lower for foreign applicants.
The loan-to-value ratio is determined by professional property appraisals conducted by bank-approved assessors. If there's a significant gap between the market price and the property's appraised value, banks may reduce the loan amount accordingly.
Foreign applicants, particularly non-EU citizens, often face lower maximum financing ratios of 50-70% due to perceived higher risk. Banks may offer better financing ratios for properties in prime locations or for borrowers with strong financial profiles.
What extra fees, taxes, and notary costs should you expect when getting a mortgage in Croatia?
Property purchases in Croatia involve several mandatory fees and taxes that buyers must budget for beyond the mortgage itself.
| Fee Type | Cost | Notes |
|---|---|---|
| Transfer Tax | 3% of property value | Mandatory government tax |
| Notary Fees | 0.5-1% of property value | Capped at approximately €2,700 plus VAT |
| Agency Fees | 3% of property value | If using real estate agent |
| Legal Fees | 1-1.5% of property value | For legal representation |
| Registration Fees | Under €200 | For property registration |
| Property Valuation | Approximately €275 | Required by bank |
| Insurance Premiums | Varies | Property and mortgage insurance |
Which banks in Croatia are most open to lending to foreigners?
Several Croatian banks have established programs specifically for foreign borrowers and international clients.
Zagrebačka banka (ZABA), Privredna banka Zagreb (PBZ), and Erste & Steiermärkische Bank are the most foreigner-friendly institutions with dedicated international and expat banking units. These banks have experience handling non-Croatian applications and understand the unique requirements of foreign borrowers.
These institutions offer specialized services including English-speaking staff, streamlined application processes for foreigners, and policies specifically designed for non-Croatian EU and non-EU borrowers. They typically have the most experience navigating the legal requirements for foreign property purchases.
It's something we develop in our Croatia property pack.
Can you repay a Croatian mortgage early, and are there penalties for doing so?
Early mortgage repayment is generally allowed in Croatia, but penalty structures vary depending on your loan type and timing.
For fixed-rate mortgages, the maximum early repayment penalty is 1% of the repaid amount if more than one year remains until maturity, or 0.5% if less than one year remains. Variable-rate housing consumer credits signed after October 2017 typically have no early repayment penalties.
The specific penalty structure depends on your loan agreement and the bank's policies. Some banks may waive penalties for partial early repayments or offer more favorable terms for existing customers with strong payment histories.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Getting a mortgage in Croatia as a foreigner is achievable, but success depends largely on your citizenship status, residency, and financial preparation.
EU citizens enjoy significantly better access and terms compared to non-EU buyers, with lower deposits, better interest rates, and fewer restrictions on property types.
Sources
- Kredium - Getting a Mortgage in Croatia as a Foreigner
- Maris - Housing Loans for Foreigners in Croatia
- InvestRopa - Croatia Real Estate for Foreigners
- Privredna Banka Zagreb - Housing Loan Information
- Croatian National Bank - Early Repayment Fees
- Broker.hr - Taxes and Fees for Real Estate
- Erste Bank - Housing Loans
- Sea Homes - Housing Solutions in Croatia