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Sunday, June 2, 2024

Croatia: Millennials Cannot Afford Houses, Construct on High of Mother and father’ Place


Bogdan Dascalescu, 37, stands on the balcony of his dwelling, surveying the view of Mokošica — a suburb of Dubrovnik located simply throughout a serious bridge.

Although extra inexpensive than town’s picturesque Outdated City, property costs listed below are nonetheless past the attain of most locals his age.

On this drizzly day in mid-April, he gestured towards a couple of seemingly unfinished buildings with flat, concrete roofs. Some had metallic rods protruding from their edges, whereas others featured piles of scattered bricks.

Dascalescu defined that these often signify growth plans, each of the households and of the buildings themselves.


Flat roofs, metal spikes, and pile of bricks are often tell-tale signs of an upcoming home expansion.

Flat roofs, metallic spikes, or a pile of bricks are sometimes tell-tale indicators of an upcoming dwelling growth.

Joshua Zitser/Enterprise Insider



Whereas some Gen-X and boomers purchased land in Mokošica earlier than Croatia’s Struggle of Independence within the Nineteen Nineties, or shortly afterward, when property costs had been comparatively low, millennials have been largely priced out.

And given Mokošica’s hilly and rocky terrain, increasing properties horizontally is difficult. The panorama means there is a shortage of inexpensive land to purchase and construct on.

Devoted dad and mom unwilling to depart their kids within the lurch have devised a sensible resolution: constructing further flooring on prime of their present properties for his or her children and grandkids to reside in.


Diana Marlais and Bogdan Nicolae Dascalescu on the terrace of their home with one of their children.

Diana Marlais and Bogdan Dascalescu on the terrace of their dwelling with considered one of their kids.

Joshua Zitser/Enterprise Insider



When Dascalescu, initially from Romania, moved to Mokošica in 2017 along with his Croatian spouse, Diana, shopping for a house in Dubrovnik wasn’t financially viable.

As an alternative, they moved into Marlais’ dad and mom’ dwelling, which had already been expanded to accommodate different relations.

Initially a two-bedroom, two-story dwelling, Marlais’ father constructed two extra tales quickly after his eldest son obtained engaged. Now, Dascalescu and Marlais reside on their very own ground, beneath her brother and his kids, who reside beneath their dad and mom.

Houses like this in Croatia usually characteristic lockable doorways for every degree, with inside or exterior staircases connecting the person areas inside.


The entrance to Diana Marlais and Bogdan Nicolae Dascalescu's separate floor in their multi-story, multi-generational home.

The doorway to Diana Marlais and Bogdan Dascalescu’s ground of their multi-story, multi-generational dwelling.

Joshua Zitser/Enterprise Insider



The recognition of this set-up comes down to cost, in accordance with a Croatian real-estate knowledgeable.

“Including a further ground to a home is presently essentially the most inexpensive possibility for younger households,” Filip Brkan, a member of the Actual Property Enterprise Affiliation of the Croatian Chamber of Financial system, informed BI.

He famous that in Croatia, the place the typical building value is about $140 per sq. foot, including 1,000 sq. toes this manner can value about $150,000 — significantly cheaper than shopping for a brand new dwelling.

Brkan mentioned what’s occurring in Mokošica is occurring in suburbs throughout Croatia, reflecting an ongoing housing disaster during which “younger individuals virtually have nowhere to reside.”


A view of Mokošica, a suburb of Dubrovnik in Croatia.

A view of Mokošica, a suburb of Dubrovnik in Croatia.

Joshua Zitser/Enterprise Insider



Eurostat, the EU statistical workplace, notes that home costs in Croatia have climbed steadily over the previous decade, and final yr skilled the very best annual enhance among the many 27 member states.

Maybe in consequence, many Croatian millennials are caught residing at dwelling properly into their mid-30s — the very best common age in Europe.

“In Dubrovnik, not solely are property buy costs extraordinarily excessive, but additionally rental costs,” Brkan mentioned. “Younger individuals don’t have any actual various.”

Further flooring aren’t at all times for teenagers

Dubrovnik’s Outdated City, a UNESCO World Heritage website, has stringent conservation guidelines that imply you “cannot construct sideways, you possibly can’t construct as much as make the fourth ground,” says Ivan Vukovic, a 43-year-old tour information and lifelong Dubrovnik resident.

However in Mokošica, extra relaxed planning rules imply that the answer of including flooring stays a well-liked one.

However there are nonetheless limitations to increasing household properties within the suburbs, Nenad Lipovac, a professor of bodily planning on the College of Zagreb, informed BI.

Householders should adhere to native ordinances, get hold of constructing permits, and sometimes must consider peak restrictions, he mentioned.

Lipovac additionally famous that flat roofs, iron bars, and scattered bricks do not at all times sign plans to accommodate further relations; they might stem from monetary constraints or pauses in building, that are frequent in summer time months.

Given the profitable potential of short-term leases, Croatian householders may also be constructing rooftop residences for vacationers, to generate additional revenue, he added.

Nonetheless, even when the intention behind leaving roofs flat is to increase properties to permit youthful relations to reside there, Lipovac mentioned there is no assure millennials will need this, or that the extra flooring will ever be constructed.

In reality, flat roofs can change into a everlasting characteristic, he mentioned, with homes remaining “unfinished endlessly.”



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