As a nation of island people ourselves it is perhaps no surprise that British property buyers have long held an affinity with destinations surrounded by the sea. From the Canaries to the Balearics, the Greek islands to the Caribbean, properties on islands have long been sought after by British buyers. And in recent years a new cluster of islands have arrived on the property purchasing public's collective radar – those dotted around Croatia's Dalmatian coast.

At a time when Eastern European destinations have become increasingly popular with property purchasers from overseas, Croatia, with its 2,000 kilometres of stunning Adriatic coastline, warm climate and Southern European-influenced culture has, along with Bulgaria and Turkey, been one of the countries to stir most interest amongst British property buyers. And the Dalmatian islands of Croatia have proved to be as big a hit with property seeking Brits as any of the mainland destinations of Dalmatia, such as Dubrovnik or Split, or the more northern Istria region which is the other main area of Croatia popular with foreign property buyers. "I think a reason the Dalmatian Islands are very popular with British property purchasers is the notion that buying a home on a small island is more romantic and exotic than buying on the mainland", explains Amar Sodhi of Avatar International.

The main focus for overseas property buyers looking for a Croat-island hideaway in Dalmatia has traditionally been placed on two islands – Brac and Hvar. "Hvar and Brac are popular because their stunning scenery, tradition, history and culture remain beautifully preserved, yet at the same these two islands they offer buyers and holidaymakers a thriving lifestyle, easy access from the mainland, good marinas, excellent restaurants and all the mod cons you could possibly need", says Caroline Hollingworth of Hollingworth & Taylor. Both islands can be reached fairly easily from Split in central Dalmatia, which itself is now served by Easyjet from the UK. From Split, Brac is a one-hour ferry journey away, while Hvar is slightly further, taking one and a half hours to reach. The fact that Brac is so easy to get to from Split has long made the island fairly popular with property buyers from Zagreb, Croatia's capital, who saw the benefits of home ownership on the picturesque island at a time when Brits were still only interested in Europe's more established locales.

The biggest island in central Dalmatia, Brac has a land area of 395 square kilometres, and is best known for the sweeping beaches and tiny fishing villages which dot its coastline. However, it is also famous for its stone, and before tourism became the primary source of economy on the island, the export of its milk-white marble (in evidence in many of the island's buildings) was of prime importance. Property interest is likely to focus on two towns: Supetar, Brac's largest town located on the northern coast and the destination at which the Split ferry arrives, and Bol on the southern coast, the island's tourist mecca.

In Bol, property is likely to be slightly more expensive than those in other Brac towns in Croatia. Currently a small three-bedroom home in Bol, with just 70 square metres of living space can be purchased for 65,000 euros, while a much larger home in Sutivan, near Supetar consisting of 260 square metres could set you back the same amount.

South of Brac, Hvar, a 50-kilometre-long stretch of green, lush land, famous for the lavender crops which cover much of it, is one of Croatia's main tourism hot-spots – quite literally, in fact. The sunniest place in Croatia, enjoying an average of 2,718 hours of sunshine per year – the average for Croatia's Adriatic Coast is 2,600 hours a year. So sure are locals of the island's climate that hoteliers once offered tourists a money back guarantee should the temperature ever drop below zero. In the island's capital Hvar Town, one of the Adriatic's most historically rich places, a traditional four-bedroom house with private garden could be yours for 185,000 euros.

However, Brac and Hvar are not the only Dalmatian islands worth considering as possible second property destinations. "Korcula, located just off the Peljesac peninsula, is a relatively undeveloped island with huge potential for quality developments", explains Liliane Scully of Adriatic Riviera. "The town of Korcula itself [the island's capital and reputed home of famous explorer Marco Polo] is a splendid medieval one while the island's coast is dotted with small villages and good beaches", she adds. Hollingworth, too, pinpoints Korcula as an up-and-coming market. 'Described as Dalmatia's 'greenest island' Korcula is definitely on the up", she says. "While it's located 60 kilometres from the main coastal road in Peljesac, the exciting opening of the Klek Bridge, due to be completed in 2009, will increase the island's accessibility by road from Peljesac, and rumour has it there is also an airport expected to be built there."
Property prices there are, on the whole, comparable with those found in Brac and Hvar. A spacious two-bedroom sea front apartment – something of a rarity in Croatia – is on the market for 180,000 euros.

Sodhi, however, has a different opinion on where British  eyes could find themselves being drawn in the coming years in Croatia for property investment. "I think the two most up-and-coming islands are Vis and Mljet", he says. "Although Vis is further west than Hvar and Brac it is still accessible by ferry from Split [it is just under a three-hour journey]. The island was once controlled by the military and only opened up to tourism in 1990 and as a result it has avoided a large amount of the kind of unattractive development featured on other islands." Sodhi continues: "Mljet is considered to be the 'jewel of Croatia' as it is one of the country's most beautiful islands. It is also located very close to Dubrovnik which has direct flights to and from the UK [via Croatia Airlines and British Airways]." However, if all this sounds too good to be true it is worth noting that currently there is not enough quality property available in Croatia to meet with the growing demand from overseas investors. While more and more property developers are starting to arrive in Croatia and its islands, it will still take a while for the country to reach the level of investment needed to make Croatia a major player in the overseas property market.
 
But this could be good news for property investors who do, or have, managed to find their ideal island abode. "Because of the excessive demand for property in Croatia, prices have been increasing over time and are expected to continue to do so for the time being", says Sodhi. There are also some issues concerning the property buying process in Croatia at the moment which can complicate matters: namely that a foreign national needs to obtain the approval of the Ministry of Foreign Affairs of the Republic of Croatia before they will be allowed to buy. This process which can be time consuming, to say the least. "The property buying process in Croatia can be slow and complicated and should be navigated with a great deal of expert advice and probably the use of an independent lawyer", warns Hollingworth. But with Croatia set to join the EU in 2009 and property purchasing interest in the country unlikely to subside anytime soon, these problems should be, to some extent, ironed out in the future, hopefully paving the way for more Brits to live the island idyll in Croatia.

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For further information about property in Croatia:
Avatar International
Hollingworth and Taylor
Adriatic Riviera

Article first published in June 2006