The Government has prescribed rules for the creation and ranking of affordable housing programs

The Minister of Physical Planning, Construction and State Assets Branko Bačić has issued the Regulations on the Preparation of Affordable Housing Programs, published in the Official Gazette (Narodne novine) number 117/2026 of October 14, 2026, under official mark t. 1393. The Regulations are based on Article 10 of the Affordable Housing Act (»Official Gazette«, number 45/2026) and prescribe the content, necessary data, method of preparation, adoption, amendments and supplements of the programs, the assessment of eligibility and ranking, as well as mandatory elements of contracts with APN. They enter into force on the eighth day from the date of publication.

The Regulations were signed in Zagreb on October 7, 2026, under classification 371-01/26-01/1752 and registry number 531-14-3-26-19, and consist of 18 articles in six parts. They regulate three types of programs — local, regional, and national — which are adopted for a period of one budget year, with the possibility of amendments and supplements upon notification to the Ministry and APN. If the amendments and supplements deviate significantly from the approved program, the Ministry may, depending on the significance of the changes, re-conduct the assessment and ranking procedure for that program.

The data basis for the analyses consists of regular reports from the Croatian Bureau of Statistics, the annual publication Real Estate Market Overview prepared by the Economic Institute of Zagreb and the Ministry, the analytical basis for the National Housing Policy Plan of the Republic of Croatia, reports from the institutes and professional services of local and regional self-government units, and the Register of Cultural Goods of the Republic of Croatia.

What a local and regional program must contain

A local and regional affordable housing program must contain 17 elements, including:

• a cover page, table of contents, and introductory section with data on area, population, annual budget, economic structure, and building typology
• a description of the current state with a numerical presentation of analysis results
• a statement of long-term development challenges and potentials for affordable housing
• specific goals, sub-goals, and priorities, as well as implementation measures
• a presentation of the application of active land policy
• a presentation of the application of circular spatial and building management and green infrastructure measures
• a financial framework by projects and measures, an assessment of project readiness, and result indicators
• a presentation of funding sources and the contribution of local or regional self-government units
• implementation deadlines and implementing bodies, a framework for monitoring implementation, graphic attachments and tables, as well as the name of the preparer, date, and signature of the authorized person

The national program contains adapted elements for a consolidated presentation of projects, and for each included unit, it specifically states the housing gap, affordability index, contribution of the local self-government unit, special housing needs, and the financial framework. APN, in coordination with the Ministry, harmonizes the scope of the national program.

How assessment and ranking are conducted

The assessment of eligibility and ranking is carried out by the Commission referred to in Article 8, paragraph 11 of the Act. Individual parameters are scored numerically from 1 to 5, where 1 indicates insufficient, 3 good, and 5 excellent. The contribution of the local and regional self-government unit, the project’s readiness for implementation, the application of circular spatial and building management measures, green infrastructure measures, as well as the coverage of the target group of citizens and the application of multiple measures are assessed.

Ranking lists are determined by the Commission based on the housing affordability index, the housing gap in the local self-government unit, the contribution to the balanced regional development of the Republic of Croatia, and the required financial support. The final eligibility assessment is not an average of individual scores and is expressed as ineligible with an explanation of the reasons, partially eligible with an explanation, or eligible. If the program contains multiple projects or phases, each may be assessed separately, and the Ministry shall publicly publish a unified tabular display of all assessments and rankings on its website.

Contracts with APN and decisions on project implementation

APN and the public institution that developed the program shall, after assessment and ranking, make a decision on the implementation of individual projects. The decision contains the project name, location, description of measures, target group, estimated value, sources of funding, the contribution of the local or regional self-government unit, deadlines, implementation bodies, and result indicators.

The contract on the transfer of ownership rights between APN and the public institution and/or the local or regional self-government unit contains data on the contracting parties, the real estate, rights and obligations, deadlines, as well as provisions on termination and dispute resolution. The agreement on mutual rights and obligations also contains a project description, financial structure, description of activities, reporting, and implementation control.

Significance for local self-government units

The Ordinance introduces uniform criteria for all local and regional programs, making the assessment and ranking comparable and publicly verifiable. Mandatory program content and deadlines are prescribed for local self-government units, and the decision on the financing of individual projects will depend on the assessment of readiness, the housing gap, and the contribution to balanced regional development. According to the text of the regulation, this establishes a quantified display of needs, readiness, and contributions to the realization of the program within the existing financial framework.

Ordinance on the Preparation of Affordable Housing Programs
Official Gazette (Narodne novine), number 117/2026, item 1393, Zagreb, October 14, 2026.
Class: 371-01/26-01/1752 · Registry number: 531-14-3-26-19 · Zagreb, October 7, 2026.
Deputy Prime Minister and Minister Branko Bačić, p.p.