This thesis explores the legal and practical aspects of real estate brokerage in Croatia, with a focus on the rights and obligations of all parties involved, particularly brokers and principals. Real estate brokerage plays a crucial role in connecting buyers and sellers, facilitating the property sales process, and ensuring that all transactions are conducted in accordance with legal standards. The thesis provides a detailed analysis of the legal requirements that brokers must meet, including mandatory professional qualifications and liability insurance for damages. It also examines the conditions under which foreign brokers from the European Union can operate in Croatia, which includes adapting to local laws and requirements for business establishment. The thesis further discusses the practical role of brokers, from advertising properties to organizing negotiations between buyers and sellers, with a special emphasis on their obligations towards principals, such as providing accurate information and advising on the legal and financial aspects of the transaction. A specific section of the thesis is dedicated to the obligations of principals, such as providing necessary documentation and allowing property inspections, ensuring transparency and trust in the business relationship. In conclusion, the thesis offers recommendations for improving the legal framework and business practices in Croatia to achieve greater efficiency and legal certainty in real estate transactions.