Effects of the housing privatization process in post-socialist Croatia

Abstract

The paper focuses on the aspects of housing privatization in the post-socialist period in Croatia. The transition towards the democratic system and market-oriented economy further empowered the privatization of ownership, especially home ownership. Former tenancy rights over socially owned housing were turned into an opportunity of purchasing flats. Socially owned flat thus became private property belonging to the post-socialist type of housing, as an anti-state housing, in which the role of state is marginalized. The state is now much less concerned for housing policy, which is becoming marginalized under market-oriented policy. The changes in the housing standard in the post-socialist period can also be seen in the number of rooms indicator and room size, which both show improvement compared to the socialist period. However, the consequences are visible in excessive privatization i.e. commercialization of the built urban environment, which leads to the reduction of public and green spaces. On the other hand, country’s unfavourable demographic trends are visible in the reduction of an average family size, and the increase in the number of families without children, which leads to different housing demands, especially in urban settlements.