When you purchase an apartment in Montenegro, there’s an essential administrative step that follows: transferring all utility and maintenance bills to your name. While it may not be the most exciting part of homeownership, it’s crucial for ensuring you avoid issues down the line. Here's a simple guide to help you through this process. Before You Pay Off the Apartment Before finalizing the...
The real estate market in Montenegro is entering a new phase that will make it safer, more transparent, and more professional, thanks to the new Real Estate Brokerage Law. The aim of this law is to raise standards in the real estate sector, provide additional protection for clients, and create fairer conditions for licensed intermediaries. Key Changes Introduced by the Law: Mandatory Licensing and...
Purchasing property in Montenegro can be an exciting and rewarding experience, but it’s important to navigate the process carefully. Buyers, especially those unfamiliar with Montenegrin laws and customs, often make simple but costly mistakes. To help ensure a smooth transaction, here’s a detailed look at the most common pitfalls and how to avoid them: Assuming Real Estate Procedures Are...
Once you are the proud owner of a property in Montenegro, securing your original title deed is an essential step. The title deed is not only a proof of ownership but also a critical document for various legal and administrative processes. Here's a concise guide on how to apply for your original title deed at the cadastre office in Montenegro. Step 1: Preparing Your Documents Before you...
If you're considering embarking on a construction project in the stunning country of Montenegro, one essential step you'll need to navigate is obtaining a building permit. Whether you're planning to build a residential property or investment, understanding the process of obtaining a building permit is crucial for a smooth and successful project. In this guide, we'll walk you through the basics of obtaining...
Obtaining Temporary Residence Permit through Real Estate Purchase Eligibility Criteria: Applicants:Foreign citizens, their spouses, and children under 18. Property Types:Residential or commercial properties (e.g., houses, apartments, commercial units, hotels, restaurants, holiday homes). Applicant Requirements: Valid ID document or passport. Details about the permit holder (name, place...
In the realm of Real Estate Transfer Tax legislation, a recent amendment has introduced progressive tax rates for real estate transactions, effective January 1st, 2024: For transactions up to €150,000.00: a rate of 3%; For amounts over €150,000.01: a fixed amount of €4,500.00, plus 5% on the excess beyond €150,000.01; For amounts over €500,000.01: a fixed amount of €22,000.00, plus...
VAT of 21% is required to add to above listed tariff. For a real estate property value over € 120,000.00, for every additional € 15,000, the fee is increased by € 10, but it cannot exceed € 5000. In case we have a pre-contract, the fees will be subject to a 50% fee under above listed tariff. If a contract is signed with the same notary on the basis of a pre-contract, the fee for...
Real estate sales tax The real estate sales tax rate in Montenegro is 3% of the tax base, or of the market value of the property. Real estate sales tax is not paid for new real estate, but only for used real estate, so if you are buying an apartment in a new building and you are the first owner of the real estate, no sales tax will be paid. The real estate taxpayer is the real estate acquirer. The...
Once you find the right property through a sales agent, and agree with the owner about the conditions of a purchasing procedure, a contract is signed to the public notary. The contract describes the obligations of the buyer and the details about the price and terms of payment . The buyer then pays a deposit , which is usually 5-10 % of the contract price. If we have a situation that the buyer cancels the...
