Croatian Coast:Nowhere in Istria is further than a short drive from the Adriatic, the food is divine and the countryside unspoiled, writes Kate McMorrow.

Istria? Five or six years ago, its whereabouts would have been a tough question at a table quiz. Since then, the scenic Croatian peninsula has become one of the top family destinations for overseas buyers. And it is not difficult to understand why.

Nowhere in Istria is further than a short drive from the Adriatic Sea. The people are friendly, food divine and the countryside - dotted with quaint stone villages - is one of the most unspoilt in Europe.

Separated from the Italian border by the short coastal end of Slovenia, Istria has a distinctive Italian look and signposts are in Italian and Croatian. Venice is visible on a clear day from the picturesque west coast resorts of Porec and Novigrad.

But there the comparison ends and Istria is decidedly not a poor man's version of Italy. Crime is virtually unknown, to the extent that alarm systems are rarely installed.

Although part of Croatia since the break-up of the former Yugoslavia, the 200,000- or so residents are first and foremost Istrian, with an ancient lineage as a tourist destination.

Istria has been called "Winter Vienna" or "Nice of the Adriatic", depending upon which empire it was annexed to. There is a strong Italian affinity and links with Ireland via James Joyce, whose statue stands in Pula where he once taught.

Any comparison with Italy is of Italy of a century ago, unspoilt by busy autostradas and notably well-kept, with even the secondary roads devoid of potholes.

The population is small, so everyone double-jobs and it is not surprising to find the local developer is a former mayor and runs a cycle tour company in his spare time.

Istria's largest tourist market comes from its neighbouring countries: Austria, Italy and Slovenia, with Russians and Scandinavians increasing in numbers annually.

Families and retired couples predominate and cycling and camping are popular.

Expensive yachts tie up at Rovinj, Vrsar and Novigrad as their owners enjoy the gourmet delights of quayside fish restaurants and Istria's famed white truffles in season.

Into this world stepped Liliane Scully and Danijela Kopcic, two friends who met in a Blanchardstown coffee shop and determined to introduce Istria to the Irish market.

Danijela arrived in Dublin via the US and New Zealand, having left Zagreb in the 1990s when the struggle for independence threw Croatia into an employment depression. Danijela's language skills and knowledge of the country were invaluable in forging links with reputable developers in the region.

Their company, Adriatic Riviera, is now a major player in Istria, selling to clients throughout Europe.

Overseas buyers vary in their choice according to nationality, with UK clients falling for old stone farmhouses in need of restoration. These are mainly inland, set among chestnut woods and are heart-stoppingly pretty.

Ancient hill villages such as picturesque Groznjan are coming to life, with artists and musicians taking up residence as part of a government revitalisation programme.

Restoring old properties is not a problem, says Liliane Scully, although distance from the sea is a drawback and a pool will be welcome during the hot summer months.

Irish buyers tend to go for new apartments and villas closer to the coast, in one of a string of quaint resorts along the western coast.

While missing the character of their inland cousins, the low-rise buildings, especially those with a sea view, command good rental incomes in the summer season, which stretches from May to the end of September.

Expect to pay about €150,000 for a seafront one-bed apartment and the same price for a two-bed with pool, 10 minutes' walk from the beach.

Inland villas and stone houses are great value. A 200sq m (2,152sq ft) village house with a large garden, restored by developer IMG, will set you back around €200,000.

The buying process is straightforward, with researching title deeds the main thing to watch.

Istria is fortunate in being only marginally affected by the Balkan conflict, so papers are generally sound. However, engaging a lawyer with knowledge of the Croatian system is always advised. Foreigners can buy as an individual or as a company.

Individual buyers sign a pre-sale contract, pay a deposit - usually 10 per cent - and sign the final contract three to six weeks later. A Croatian notary will oversee this and send an application for approval to the Ministry of Foreign Affairs.

The property can be used immediately and even sold on, without waiting for government authorisation. Capital gains tax of 35 per cent is not payable if the property is retained for three years after government authorisation. Buyers should allow 10 per cent on top of the purchase price to cover legal and agent's fees and transfer tax.

Dubliners Nikki O'Connor and Stephen Gray bought a two-bed apartment in Novigrad for €139,000 last May and it has already increased in value.

They had been to Istria on holiday and fallen for its family-friendly atmosphere and culture. They looked for somewhere suitable for their two-year-old son Adam and decided on the pretty seaport, about 40 minutes drive from Pula airport.

"We went out a few times with Liliane and Danijela and checked out Umag, Porec and Ravinj, but Novigrad was smaller, with nice restaurants and bars. We initially looked into buying an old house to restore, but these were further inland and we would have to drive to the beaches. Our apartment has a pool and is about 100 metres from the seafront, so it is not so busy in high season. We furnished it ourselves and found a great selection of Italian designer furniture, which the developer unpacked for us.

"We've been out three times since May and are going again this week. We are starting to learn the language with audio tapes, but it's never a problem, as most young people speak English here. Our only difficulty is trying to get holidays to go out!"