July the 18th, 2026 – The expansive Croatian family accommodation sector is voicing growing concern over new legislation that many private landlords fear could force them out of the tourism market.
Representatives of private accommodation providers warn that a combination of stricter regulations, higher operating costs and new administrative requirements could make it increasingly difficult for thousands of family-run rentals to remain viable.
The strongest criticism centres on recent changes to Croatia’s hospitality legislation, which introduces stricter conditions for operating short-term tourist accommodation, particularly in apartment buildings. Poslovni reports that among the most controversial measures are requirements affecting approvals, registration procedures and compliance rules, which landlords say create uncertainty for existing operators while making it harder for newcomers to enter the market. Existing permit holders are also facing transitional deadlines to comply with the new framework or risk losing the right to continue operating.
Industry representatives argue that many family-run rentals operate on relatively modest seasonal income and cannot easily absorb additional costs or bureaucratic obligations.
could this speed up the decline of the croatian family accommodation sector?
Associations representing small landlords warn that the new rules could accelerate the decline of Croatia’s traditional family accommodation sector, which has long been one of the pillars of the country’s tourism industry.
They argue that while the government aims to curb illegal rentals and improve housing availability, legitimate small landlords are bearing much of the regulatory burden. Critics also question whether the measures will effectively target the grey economy, warning that illegal operators may simply continue operating outside official channels.
“change this law before it’s too late…”
Landlord associations are urging the government to amend parts of the legislation before its full implementation, warning that without adjustments, many families could decide it is no longer worthwhile to rent their apartments to tourists.
They also stress that family accommodation generates important income for local communities, particularly in coastal areas where tourism remains a major economic driver.
While the government says the reforms are intended to create a more transparent and sustainable tourism market, opponents argue that the current approach risks reducing the supply of legal accommodation while placing disproportionate pressure on small, family-owned businesses.
