APN – housing loan

The subsidization of housing loans by the Republic of Croatia is the inclusion of a measure to help Croatian citizens. APN, i.e. the Agency for Transport and Real Estate Brokerage, has become involved in subsidizing housing loans in order to encourage the demographic renewal of society and reduce the emigration of young people. Citizens take housing loans for the purpose of buying a house or apartment, i.e. solving housing issues. Citizens can request subsidies through public calls published by the Agency for Transport and Real Estate Brokerage until the end of each budget year, i.e. calendar year, which for the current 2022 will be in September.

As with the standard raising of credit, there are conditions that are necessary in order to approve it, so there are also conditions for subsidizing by the state. Below we provide more information on how to approach the selection process and ultimately get the green light.

The loan can be requested in case of construction and extension of the house and expansion of the building. While the adaptation of an already existing building is not confirmed.

Persons who can apply for subsidies are:
1. Citizens of the Republic of Croatia
2. Persons under 45 years of age
3. Citizens who do not own any real estate in their name.
4. The loan is approved for a minimum of 15 years

In the event that partners request the loan, all of the above conditions apply to both partners, and if the conditions are met, the subsidy is approved. The minimum duration of the loan is 15 years.

At the beginning of the approval, the subsidy lasts for 5 years, and after each child, it is extended for another two years, with a maximum of 9 years of subsidy. Of course, there are exceptions, which in this case is that if there is a person in the family with 50% disability, the state increases the loan for another two years, which ultimately makes a total of 11.

The amount of the loan itself starts at €1,500 per square meter, which in its entirety amounts to a maximum of €100,000 according to the average exchange rate of the Croatian National Bank on the day of payment. If the value of the property exceeds the specified amount, the owner is obliged to cover the difference.

The percentages of subsidies depend on developed or underdeveloped areas. The percentages go from 30% in more developed to 51% in less developed areas per monthly annuity.

Given that it is the state that issues the loan, everything must be presented and in order with the paperwork. Future owners and their personal information, notarial records and certificates, pre-contract or real estate purchase agreement and notarized statement of the spouse or common-law partner.

APN is an excellent help and choice for young people, whether they are newly married couples or not, this way of raising loans is proving to be an increasingly better and more efficient way to solve the housing issue for young people year after year.