How to Own Property in Bosnia and Herzegovina – Essential Conditions and Steps

Bosnia and Herzegovina is considered an interesting destination for real estate investment, attracting many Arab investors, especially from Gulf countries, due to its beautiful nature and reasonable property prices compared to other European countries. In this context, this article highlights how to own property in Bosnia and Herzegovina and the requirements for doing so.

The Importance of Real Estate Investment in Bosnia and Herzegovina

In recent years, Bosnia and Herzegovina has witnessed significant growth in the real estate sector, drawing the attention of Arab investors. The real estate market here presents promising opportunities due to low prices, which range from 10 to 150 euros per square meter, depending on the area and location. Additionally, investors can benefit from the high quality of life in the country, enhancing its appeal as an investment destination.

Steps to Own Property in Bosnia and Herzegovina

• Establishing a Limited Liability Company : Foreign investors can own property by establishing a Limited Liability Company (LLC), which can hold the property in the legal name of the buyer.
• Purchasing an Existing Company : Another option is to buy an existing company that owns the property, allowing for property ownership through the transfer of company ownership.
• Registration with a Trusted Company : Investors can also purchase property and register it with a reliable company by signing a contract that specifies the property belongs to the buyer.
• Special Treatment for EU Countries : Citizens holding nationality from EU countries can own property directly, thanks to previous agreements with the European Union.
• Reciprocal Treatment : Citizens from countries such as Sudan, Algeria, and the Arab Republic of Egypt can also own properties in Bosnia based on the principle of reciprocity.

Verifying Ownership and Required Licenses

When wishing to purchase property, the buyer must ensure several key points :

• Obtaining a Title Deed : This is a document containing all necessary information about the property and is obtained from the municipality.
• Verifying the Property's Status : It is essential to check the property's status with local authorities to ensure it is not encumbered or threatened with demolition.
• Determining the Type of Property : It is important to identify the type of property (land, apartment, store, etc.) and confirm the type of licenses required for its use, whether commercial or residential.
• Ensuring Legal Status : One must consider whether the property is subject to a mortgage or seizure to ensure there are no future legal issues.

Required Documents

To carry out the property construction process, investors need to obtain several documents, including :

1. Urban planning approval
2. Building permit
3. Occupancy permit
4. Preliminary and final design
5. Water and sewage project
6. Electrical installation design

These documents are essential to avoid any complications in the future and to ensure compliance with local laws.

Important Recommendations for Successfully Completing the Purchase

To ensure the success of the real estate purchase in Bosnia and Herzegovina, the following should be done :

1. It is advisable to seek legal advice and consult a local lawyer to ensure proper legal procedures.
2. Ensure purchasing from reputable companies to avoid fraud, as there are many misleading offers in the market.
3. The buyer is advised to personally inspect the property before making a decision to avoid any deception.

Conclusion

Investing in real estate in Bosnia and Herzegovina represents a golden opportunity for many investors, through understanding the required procedures and conditions. By fulfilling the legal requirements and relying on appropriate legal advice, success can be achieved in this emerging market, which promises a bright future.