Monday, August 26, 2024 In a bid to address Croatia’s housing crisis, the government has introduced new regulations to limit short-term rentals and enhance affordability for locals. This initiative is part of a broader effort to improve access to affordable housing for local residents while still supporting the country’s robust tourism sector. The legislation, announced by Construction Minister Branko Bacic, requires apartment owners in buildings with more than four units to secure approval from 80% of their co-owners before listing their properties for short-term rental.
This requirement is included in a new property management law that has been approved by the government and is now awaiting parliamentary consideration. Croatia’s tourism industry, a significant contributor to the national economy with about 20% of the GDP, has been increasingly linked to the housing shortage. The new regulations aim to address this issue by introducing stricter licensing requirements, raising fees for short-term rental properties, and setting limits on the number of days a property can be rented out to tourists annually.
These measures are designed to create a more balanced housing market, ensuring that the benefits of tourism do not come at the expense of local residents’ access to affordable housing. The Croatian government hopes that by implementing these changes, it will foster a more sustainable housing environment while maintaining the country’s attractiveness as a popular tourist destination..
