Stagnated Croatian property market

The property market in Croatia is continuing to reflect the negative economic trends in the country without showing any marked signs of recovery, demand for loans is weak, deleveraging is continuing and considering the current macro-economic circumstances, a turnabout in the low liquidity that has been prevalent since 2009 is not expected in the short-term.The main feature of the Croatian real estate market continues to be a decreasing liquidity when compared to the pre-crisis period, despite substantial corrections in prices over the past few years, Croatian National Bank (HNB) analysts say in the latest "Financial Stability" publication. A sudden change in demand or prices of real estate is unlikely in the short term.Until the end of March 2015, house prices in Croatia mostly stagnated on the annual level.