Croatian property 'not ideal for investment'

An expert has commented that Croatia is more suited to holiday homes than property investment.

Mark Tweddle, chief analyst at Property Secrets, said Croatia does not offer good finance options, meaning investors could be forced to buy using cash.

Furthermore, the country is not popular among retirees, he continued, as the cold winters make it unsuitable.

Those investors looking for higher returns could be better advised to look to the markets of the Czech Republic, Bulgaria and Romania, said Mr Tweddle.

It could help if Croatia were to be admitted to the EU, he commented, adding: "You have had other countries join [the EU] in the last few years where you have got much more low risk, better finance, better rental [opportunity] and a stronger economy."

However, according to Dream Croatia, specialists in property throughout the country, the number of tourists holidaying to Croatia has been increasing since 1995.

It claims that in 2002, over 120,000 British and Irish tourists travelled to Croatia.