Housing Affordability Crisis Hits Bosnia and Croatia

A UN‑Habitat World Cities Report 2026 finds that the average household in Bosnia and Herzegovina would need more than 11 years of total income to purchase a typical home, giving the country a price‑to‑income ratio of 11.4, slightly above the global average of 11.2. The report notes that about 80 % of Bosnians own their homes, but low wages and rising prices make first‑time home buying a long‑term financial challenge. Regional comparisons show slightly higher ratios in Slovenia, Croatia, North Macedonia and Serbia.

In Zagreb, a 24 m² studio listed for €400 per month (including utilities) with a deposit equal to one month’s rent sparked sarcastic reactions on social media, highlighting the strain on the rental market and the difficulty of finding affordable housing in the Croatian capital.