Investment Property in Slovenia

Property purchase

Foreign purchase

The purchase process was reformed when Slovenia became a member of the EU, and EU nationals become able to freely purchase in the country. Residents of non–EU countries can purchase if their country has a reciprocity agreement in place with Slovenia. The purchase of agricultural land is treated differently, with certain processes in place that apply to any foreigner buyers.

Preliminary contract and deposit

Assuming the buyer is free to purchase property in Slovenia, they will first need to apply for a tax number and EMSO number (tax registration number) from the authorities in Slovenia, which should take around three days. Once the buyer has chosen a property and their offer has been accepted by the seller, the buyer’s real estate agent will arrange a preliminary contract, which will be signed along with the payment of a 10% deposit.

Due diligence

The process of title searches will usually be straightforward in Slovenia, thanks to the modern system of the Land Registry in Slovenia. This can be done by the buyer or by his agent.

Completion

Finally, the agent will present a new copy of the land registry entry, confirmation from the community that there are no communal rights that may apply to this property, and notice on the payment of taxes. It then remains for the buyer to pay the remainder of the value of the property to the seller.

Costs and taxes

Compared to many European countries, the costs of purchasing a property in Slovenia are low, since the seller must pay much of the total cost. The costs and taxes associated with the purchase process are likely to total around 2.4 – 3.3% of the price of the property. The following is a guide to these costs.

Registration and other fees – 0.01 – 0.5%
Notary fees – 0.01 – 0.4%
Estate agent’s fee – 2.5 (+ 20% VAT)
Transfer tax – 2%

In Slovenia, the buyer and the seller of the property must share the notary’s fees (paying 0.01 – 0.4% each) and the estate agent’s fees (paying 2% + VAT each).