Real estate in Europe and Croatia: where rental demand is growing

5.7.2026 · Info Rentero

Real estate in Europe and Croatia: where rental demand is growing

The European rental market has seen a steady increase in demand in recent years, particularly in larger cities where young people and working-age people are looking for housing close to their employers. Limited new construction, rising credit costs and population migration to urban centres have pushed rental prices in most EU capitals to new highs. This trend is particularly pronounced in countries with strong economies such as Germany and the Netherlands, but is also noticeable in the southern member states.


Croatia follows a similar pattern, but with its own peculiarities. Zagreb continues to attract the largest number of students and young professionals, so demand for long-term rentals in the capital is stable throughout the year. Coastal cities such as Split, Zadar and Rijeka face pronounced seasonality - tourist rentals dominate in summer, while interest in long-term tenants grows in winter. Entry into the eurozone and the Schengen area has further facilitated investment by foreign buyers, which has raised property prices beyond the reach of the average local population in some parts of the coast.


For property owners, this market raises the question of how to balance profitability with responsible business. Long-term rentals bring predictable monthly income and less administration around guests, while short-term tourist rentals require constant availability and more frequent tenant changes. More and more landlords are looking for solutions that allow them to digitally sign contracts, track payments and communicate more easily with tenants, and this is exactly the principle on which the rentero.app platform was built - connecting landlords and tenants with less paperwork and more transparency.


Looking ahead, the demand for quality and transparent rentals in the European Union is likely to continue to grow, while the issue of housing affordability will remain in the focus of public debate. For Croatia, this means an opportunity to balance tourist attractiveness and growing interest from foreign investors with a more stable offer of long-term rentals for the local population, with the help of digital tools that make renting simpler and safer for both parties.


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Real estate in Europe and Croatia: where rental demand is growing — Rentero Blog

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