Croatian county to build homes for young families with option to buy after 10 years

Osijek (Photo: Roko Poljak /CC BY-SA 4.0)

A new housing programme in Osijek-Baranja County is offering young families a long-term rental model that could eventually allow them to become owners of their homes.

Osijek-Baranja County Prefect Nataša Tramišak has launched the programme “Our Slavonia and Baranja – Our Home”, designed to address demographic challenges, support young families and encourage people to remain in or return to the region.

As part of the programme’s first phase, contracts were signed with 16 local authorities which have fulfilled their commitments. The initiative will see 43 family houses and three multi-apartment buildings constructed, providing a total of 52 housing units. Construction is expected to begin next year.

The programme offers more than affordable long-term rental housing. Young families will sign rental agreements for an initial period of at least 10 years, with the possibility of extending them for another 20 years.

After 10 years, tenants will have the right to purchase the property, with the amount they have already paid in rent deducted from the purchase price.

The programme also aims to address demographic challenges and shortages of workers in certain professions. 

Priority is expected to be given to families with more children and to people working in occupations facing shortages. The programme also includes incentives for Croatians returning from abroad.

“This is a way for young families to address their housing needs immediately while also having the opportunity to acquire their own home in the future,” Tramišak said.

Nataša Tramišak (Photo: Osijek-Baranja County)

The programme gives particular attention to families with several children and larger households. People returning to Croatia from abroad and those working in professions facing shortages, including doctors, pharmacists, engineers, police officers and military personnel, will also be eligible for benefits.

Alongside the construction programme, Osijek-Baranja County is providing direct financial assistance of between €3,000 and €10,000 for young families purchasing, building, renovating or adapting homes. So far, €640,000 has been secured for 119 families, in which 143 children are growing up.

The county is also taking responsibility for the administrative and technical work, including funding, project design, building permits, contractor selection and professional construction supervision.

The programme is already attracting interest at local level.

(Photo: Osijek-Baranja County)

In Strizivojna, three houses will be built. The municipality is also constructing a separate apartment building with six flats and has a further 14 plots available for potential future housing projects.

In Podravska Moslavina, two houses will be built for two young families. Local authorities say the land has been made available specifically to help provide better living conditions and encourage young families to remain in the community.

“We want a Slavonia and Baranja where our families create homes, and a future for the generations to come,” Tramišak said.

Local authorities say the long-term rental-to-ownership model is intended to provide an alternative to the increasingly difficult task of purchasing a home outright.