Real Estate in Montenegro
Who can buy a property in Montenegro
Montenegro does not allow foreigners to buy agricultural land, and forests, as well as own cultural monuments and real estate near the country’s borders. For the rest, foreigners have the right to buy and sell residential or commercial real estate, sell it or rent it out.
Citizens and residents of Montenegro have no real estate transaction restrictions.
Property prices by region of Montenegro
Real estate prices in Montenegro increased by 3—7% in 2021 and by 15% in the last five years. The cost per 1 m² of real estate is fixed by the Statistical Office of the country: at the beginning of 2022, it is €1,445.
The most expensive and sought-after properties are located in popular resorts in Montenegro: the price per 1 m² in Budva is €1,838, in Tivat — €1,870, and in Kotor — €2,025. The lowest prices are in Tusi: a property here can be bought for €622 per 1 m².Read the article
Property purchase procedure in Montenegro
Buying a property in Montenegro takes about three months. The investor chooses the property, signs a preliminary contract and makes a deposit: usually 10% of the property value. Then the parties sign the main purchase and sale contract in the presence of a notary. The document is sealed with the seal of the judicial authority of Montenegro.
The investor transfers the remaining amount, and the seller issues a receipt for receipt of funds to the buyer. The buyer pays the necessary taxes and obtains a Certificate of Ownership from the local municipality.
Property purchase taxes in Montenegro
Buyers of real estate in Montenegro pay various taxes depending on whether they buy a new building or secondary real estate. When buying a new property a 19% value-added tax is paid. When buying real estate on the secondary market, there is a 3% transfer tax.
Buyers also pay additional fees for notarial and legal support of the transaction: 0,02% of the value of the purchase and sale agreement.
Citizenship of Montenegro for the purchase of a real estate
Until December 31, 2022, foreigners have the opportunity to obtain citizenship in Montenegro, if they take part in the citizenship investment program.
- Buy a share worth at least €250,000 in a government-approved real estate project. These are resort complexes and hotels.
- Make a non-refundable contribution of €200,000 to the State Fund of Montenegro.
Real estate investment in Montenegro
If you’re about to invest in real estate in Montenegro, you can also join the country’s Citizenship by Investment program. Options include residential and commercial real estate projects that must be government-approved. Investment property can be rented out, and subsequently resold. The minimum investment is €472,000.
The first investment option under the program is buying a real estate share for at least €250,000 in Montenegro. Then, the investor contributes another €250,000 to a state fund. Both conditions are obligatory.
The investment real estate property must be located in the north or the center of Montenegro, excluding Podgorica. Government-approved projects include apartments, resorts, and hotels.
The second investment option is similar: buying a real estate share in Montenegro and contributing €250,000 to a state fund. The real estate share should be worth at least €450,000 in this case since investors have more projects to choose from. Eligible investment property should be located in the capital city of Podgorica, or by the seaside.
You don’t have to visit Montenegro to select a property suitable for the citizenship program. The real estate team at Immigrant Invest takes the guesswork out of the process and helps you choose a government-approved project. We will assist with putting the property in escrow, while your citizenship application is pending. When the application is approved, we will walk you through the purchase. If you wish to return the investment afterward, we will assist you with reselling.
Immigrant Invest is a licensed agent for government programs in the Europe Union and the Caribbean.
Let’s discuss the details
Schedule a meeting at one of the offices or online. A lawyer will analyze the situation, calculate the cost and help you find a solution based on your goals.
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