Montenegro has become one of the most attractive destinations for purchasing real estate among foreigners in recent years, including Russians, Belarusians, Ukrainians and other immigrants from the CIS countries. The mild climate, picturesque mountains and coasts of the Adriatic Sea, relatively low prices by European standards, as well as the possibility of obtaining a residence permit (RP) based on property - all this makes the real estate market of Montenegro increasingly in demand.
However, before you start buying, you need to thoroughly understand the procedure, legal features and practical steps. This guide will help you consistently go through all the stages and avoid common mistakes.
1. Defining goals and budget
Formation of a common strategy
The first step is to clearly define the purpose of the purchase. Why exactly are you looking for real estate in Montenegro?
- Investment and subsequent leasing. In this case, it is important to analyze the demand for rent in the selected region (mainly coastal areas - Budva, Kotor, Tivat, Bar).
- Moving to a permanent place of residenceIf you plan to live permanently, pay attention not only to the cost of the property, but also to the development of the infrastructure: shops, schools, hospitals, transport.
- Purchasing a country house for recreation. Picturesque views, proximity to the sea and a relatively calm environment will be important.
Determination of the budget
It is necessary to take into account not only the cost of the property itself, but also additional costs:
- Property Tax on Purchase (3-6% of the cadastral value if it is secondary real estate; when purchasing from a developer, there may be a different system related to VAT).
- Payment for realtor services.
- Payment for notary services (depends on the value of the contract).
- Translator expenses (if necessary; official documents must be signed with the participation of a certified translator if you do not speak Serbian/Montenegrin).
2. Search for real estate and work with realtors
Main search sources
- Specialized Sites (local Montenegrin portals and international platforms).
- Real estate agency (When choosing a real estate agency, pay attention to customer reviews. And from the end of 2025, also consider the presence of a license for real estate activities - it will become a mandatory confirmation of the agency's status in Montenegro).
- Friends and word of mouth (in small towns and villages you can often find interesting options through local residents).
Choosing a realtor
- Reputation. Read reviews and search for information about the company on the Internet.
- Professionalism. Check your experience and availability of a real estate license.
- The language barrierIt is preferable that the agent speaks Russian or English if you do not speak Montenegrin.
Preliminary selection of objects
It is recommended to form a list of several options. For each, it is important to check:
- Location and infrastructure: how convenient is it to get to the nearest shops, hospitals, schools; what is the parking situation like.
- Property condition: secondary or new building; condition of utilities (water, electricity, sewerage, internet).
- Legal status of the object: are there any encumbrances, does the footage correspond to official documents, are there any problems with the land (especially if it is a house with a plot) and are there any outstanding utility bills.
3. Legal verification
Documentation check
This stage is important to avoid purchasing a property with pitfalls. You can check the property documents using specialized services, for example, Goodroom, or seek advice from an agency - many of them employ qualified lawyers, which will help you understand the documentation and avoid possible risks. If you have doubts, you can also find an independent lawyer and get a professional opinion.
Official website of the state cadastre — ekatastar.me
The Goodroom document verification service website — app.goodroom.me
What is important to check
- Sheet of non-residence (sheet of real estate). Analogue of an extract from the property register. It contains information about the owner, characteristics of the property, presence of encumbrances (pledge, arrest, etc.).
- Project documentation (if we are talking about a new building). It is necessary to clarify whether all the permits for construction and commissioning are available.
- Permission to use (Upotrebna dozvola). This is confirmation that the object complies with building regulations and is permitted for use.
Special attention to land plots
There are a number of restrictions on purchasing land in Montenegro. Foreigners can usually purchase land if it is in a category permitted for private ownership and is not located in a specially protected area (national parks, military areas, etc.). In some cases, additional approvals may be required.
Case:
Alexander wanted to buy a plot of land for building a house in the Kotor area. During the legal check it turned out that the plot was located near a historical monument and certain urban planning restrictions were imposed on it. Thanks to the timely check it was possible to avoid a mistake and loss of money.
4. Agreement and payment of deposit
Agreement (Sporazum)
Once you have found a suitable property and agreed on a price with the seller, a contract is drawn up. preliminary agreementIt states:
- Transaction price.
- Terms of conclusion of the main (final) agreement.
- Conditions for making a deposit.
- Conditions for canceling the deal (including return or non-return of the deposit).
Usually, a sum of 5 is paid as a deposit. 000 euros up to 10% of the property value.
5. Final contract and notarization
Preparation for signing
Once all documents have been checked, the parties proceed to the conclusion main contract (Agreement of purchase). The signing takes place at a notary in the presence of:
- The seller (or his authorized representative with a notarized power of attorney).
- The buyer (or his authorized representative).
- Translator (if the buyer does not speak Montenegrin).
Identity and data verification
The notary checks all documents, identification documents of the parties, translates and explains the points of the agreement. If there are no comments, the parties sign the agreement.
Cost of notary services
In Montenegro, notary fees depend on the value of the property (the amount in the contract). Typically, the fee can range from 0,1% to 0,5% of the transaction amount. The exact figure should be clarified in advance.
Case:
Irina planned to buy an apartment worth 80 000 euros. The notary's services cost about 300-400 euros. In addition, we had to pay an additional fee for a translator (approximately 50-100 euros, depending on the complexity of the text).
6. Property payment options
When purchasing real estate in Montenegro, several payment options are available, each with its own characteristics:
1. Payment via bank
The buyer can transfer funds to the seller's account using the details specified in the contract. Typically, such a transfer is made through the international banking systems SWIFT or SEPA, depending on the sender's country. It is important to make sure that the details correspond to the official data of the seller, and payment documents are saved to confirm the transaction.
2. Using a notary deposit (Escrow account)
Some transactions are conducted through a notary deposit (Escrow account), when the money is first deposited into a special account of the notary, who transfers it to the seller only after all the terms of the contract have been fulfilled. This protects both parties from risks and ensures a safe completion of the transaction.
3. Payment in cash
In cases where both the buyer and the seller are individuals, cash payments are possible both in Montenegro and abroad. However, this form of payment requires caution, as questions may arise regarding the legality of the origin of funds and the need to declare amounts to tax authorities.
Before choosing a payment method, it is recommended to consult a lawyer to avoid possible risks and comply with local legislation. The main risks include delays or blocking of payments for international transfers, additional bank fees, the inability to return funds in the event of an erroneous transfer, as well as problems with confirming the source of income for large transactions. In the case of cash payments, it is important to take into account legal restrictions and possible questions from tax authorities.
7. Payment of taxes and fees
Transfer Tax
Today, Montenegro has a progressive rate of tax on the transfer of ownership of secondary real estate:
- 3% for objects worth up to 150 000 euros,
- 5% for value from 150 000 euros up to 500 000 euros,
- 6% for amounts over 500 000 euro.
If the purchase is made from a developer who issues an invoice with VAT, such an object is not subject to additional tax on the transfer of ownership, since VAT is already included.
Payment deadlines
After signing the final contract, the tax must be paid within 15 days (the period may vary, but usually 15 days is indicated in the notification).
Penalties
If you fail to pay your tax debt on time, the tax office may charge you penalties and fines. To avoid problems, it is best to monitor this process together with your lawyer or agent.
8. Registration of property rights in the cadastre
Filing documents
After signing and notarizing the contract, as well as paying the tax, you must submit an application to the cadastral authority (katastar). There the transfer of ownership is registered. To submit an application, you will most often need:
- Notarized purchase and sale agreement.
- Tax payment receipt or check.
- Application for amendments to the cadastre.
Usually the notary submits the documents himself – this is the practice in Montenegro.
Duration of consideration
The term can vary from several weeks to several months, but usually the procedure is completed within 15-30 days. However, in some regions, for example in Budva, registration can take up to a year. However, in some cases the process can be accelerated if necessary. As a result, you receive an updated certificate of inviolability, where you are indicated as the owner.
9. Obtaining a residence permit (RP) based on real estate
General order
Purchasing real estate in Montenegro entitles you to obtain a residence permit (RP), however, this process requires submitting documents to local authorities (MUP - Ministry of Internal Affairs of Montenegro).
The procedure for obtaining a residence permit in most cases includes the following steps:
- Preparation of necessary documents:
- Valid passport.
- Certificate of no criminal record, certified with a seal.
- Document confirming the right of ownership of real estate (List Nepokretnosti).
- Proof of financial solvency (3 650 euros in a Montenegrin bank account).
- Registration at the tourist inspection office.
- Filing a report at your local police department (MUP)
- Payment of fees: state duty and administrative payments.
Please note: Depending on your citizenship, you may need to obtain an apostille for some documents.
More detailed information about the process of obtaining a residence permit can be found here:.
Residence permit validity periods
A residence permit obtained through the purchase of real estate is usually issued for a period of one year with the possibility of extension. After five years of residence in Montenegro, property owners can apply for permanent residence (PR), but several conditions must be met:
- Continuous residence in the country for at least 9 months a year.
- Possession of a valid residence permit at the time of filing an application for permanent residence.
- Financial solvency and absence of tax and fee debts.
- No serious violations of the law, including immigration regulations.
The process of reviewing an application for permanent residence takes several months, after which the applicant receives the appropriate status.
Case:
Spouses Ivan and Marina bought an apartment in Budva for 120 000 euros and decided to apply for a residence permit. After registering the property, they submitted documents to the MUP. A few weeks later, they received a residence permit for a year with the right to annual renewal, provided that the property remains in their possession and they regularly comply with the residency requirements.
10. Special nuances for non-residents
Restrictions on the purchase of agricultural land
According to Montenegrin law, not all land can be sold to foreigners. Sometimes it is necessary to create a legal entity (it is enough to register a company in Montenegro) in order to buy, for example, a large plot of land for development or business.
Maritime zones (Morsko dobro) and coastal lands
The Montenegrin coast is considered a strategically important territory. Additional restrictions and rules may apply here, especially in the areas of sea piers, ports, and beach areas.
Checking permits when buying new buildings
If you are buying an apartment from a developer, make sure that they have all the necessary permits and that the project complies with the approved plan (DUP). There are often cases where the developer has handed over the house with deviations from the project, and subsequently encumbrances may arise on the property.
11. Typical mistakes and pitfalls
- Choosing an unqualified agency. By working with an agency without sufficient competence, legal awareness and the required real estate license, you risk encountering problems at all stages of the transaction.
- Failure to comply with tax payment deadlines. Late tax payments may result in penalties and additional financial costs.
- Cooperation with unverified developers. In Montenegro, there are cases of construction without the necessary permits, especially in private homes. In addition, some developers with a dubious reputation may reduce the quality of construction, which subsequently leads to serious problems.
- Underestimation of price in the contract. Sometimes sellers offer to indicate in the contract an amount lower than the real one in order to reduce tax payments. However, this may cause complications in the future, for example, during the subsequent sale of the property, increasing the taxable base and creating additional financial risks.
12. Practical tips and recommendations
- Choose an area with prospects. If you are considering real estate as an investment, study the dynamics of prices and rental demand. Popular locations for investment: Budva, Kotor, Tivat, Podgorica.
- Consider seasonality. The tourist season in Montenegro lasts from May to September, and in winter the demand for rent decreases significantly. If you plan to receive income from renting out your property, it is important to consider this factor when choosing a property.
- Check the infrastructure. Some areas, especially on the coast, may experience water shortages during the summer. Make sure the area you choose has the necessary amenities.
13. Guide: Conclusion
Buying real estate in Montenegro is not only a profitable investment, but also an opportunity to change your lifestyle, enjoying the mild climate, picturesque nature and stable European legislation. The country offers a fairly simple procedure for registering property for foreigners, however, in order to avoid possible risks, it is important to approach the transaction consciously and carefully.
Key points:
- Decide on the purpose of the purchase and a realistic budget.
- Get reliable agency or a realtor.
- Learn about the restrictions and peculiarities of Montenegrin legislation for foreigners.
- Conduct a thorough legal due diligence of the property.
- Prepare and sign a preliminary agreement with a deposit.
- Draw up the main contract with a notary, pay the tax and register the property rights.
- If necessary, consider obtaining a residence permit.
By following these recommendations, you will be able to successfully purchase real estate in Montenegro, avoid common mistakes, and enjoy the comfort of your own home on the shores of the Adriatic Sea.