Can foreigners own land in Montenegro?

Yes — but check zoning and whether agricultural or protected land has special restrictions. Use a notary and local lawyer.

Is there a residency permit after buying property?

Buying can help qualify for certain residency permits, but rules change. Confirm with immigration lawyers.

Is Montenegro an EU member?

Not yet — Montenegro is a candidate country pursuing EU accession, which is affecting investor sentiment and regulatory alignment. This also makes this country a super hot spot for investors, since the country is one of the last countries to become a part of the European Union with a huge potential for the real estate price explosion once the country become a newest part of the EU.

Neden Karadağ?

Montenegro is a compact market with clearly defined fundamentals: limited coastal supply,
increasing international demand, and a small number of large-scale developments that
have significantly raised the standard of residential and hospitality real estate. These factors
have positioned the country as a credible destination for buyers seeking a second home,
investment opportunities, or a combination of personal use and rental income.

A Market Defined by Limited Supply and Location

Montenegro’s coastline is geographically limited, while demand continues to concentrate around
established and emerging prime locations. For the real estate market, this results in:

limited supply in prime coastal areas
consistent interest in well-positioned residential properties
a clear differentiation between prime and non-prime locations

Properties in established coastal destinations have historically shown greater resilience and long-
term value retention.

Landmark Developments Shaping the Market

The development of a select number of master-planned projects has played a central role in
Montenegro’s international positioning. Porto Montenegro, Luštica Körfezi, and Portonovi have
set new benchmarks for quality, infrastructure, and long-term sustainability.

These developments introduced:

internationally recognised standards of construction and design
professional destination and property management
integrated lifestyle concepts combining marinas, hospitality, retail, and wellness
greater transparency and confidence for international buyers.

As a result, Montenegro has become increasingly accessible to buyers from Europe, the United
Kingdom, the Middle East, and North America.

Presence of Global Hospitality Brands

The presence of leading international hotel operators further reinforces Montenegro’s position as
an emerging luxury destination. Established brands include:

In addition, the announced arrival of other global hospitality brands and the development of new
mixed-use projects are expected to support continued growth, improve destination exposure and
grow the premium residential segment.

Climate, Accessibility and Year-Round Connectivity

Montenegro benefits from a Mediterranean climate along the coast, with long summers and
mild winters, supporting year-round use of residential properties.

The country is served by two international airports Tivat and Podgorica offering seasonal and
year-round flight connections to major European cities. Flight frequency increases significantly
during the summer season, aligning with peak coastal demand.

In addition to its coastal appeal, Montenegro offers a distinct winter season, with established

mountain resorts and ski centres within a relatively short driving distance, contributing to year-
round tourism and broader demand stability.

Financial, Tax and Ownership Framework

Montenegro offers a clear and competitive framework for property ownership, with a relatively
moderate tax structure.

Key considerations include:

Property transfer tax applied on a progressive scale, generally ranging from 3% to 6%,
depending on the property value
Annual property tax at a low rate, based on location, size, and assessed value
No restrictions on foreign ownership of residential real estate, subject to standard legal
due diligence
No inheritance or wealth tax related to property ownership
Montenegro operates a competitive and progressive tax system with rates generally
ranging from 9% to 15% for both corporate and personal income.
The standard Value

Added Tax (VAT) is 21%.
Montenegro also applies a flat personal income tax system, which may be relevant for buyers
considering relocation or long-term structuring.

Stability and Long-Term Outlook

Montenegro is a NATO member state and an EU accession country, offering a stable
macroeconomic environment and a clearly defined long-term integration path. This provides
additional confidence for international buyers considering long-term property ownership or
capital allocation.

SEPA Integration

Montenegro’s participation in SEPA simplifies euro payments and cross-border transfers,
supporting efficient property transactions and ongoing ownership.

Residency Considerations

Property ownership in Montenegro may support residence permit applications, subject to
applicable regulations. This can be relevant for buyers seeking greater flexibility for extended
stays or a long-term presence in the country.

The Value of Local Expertise

Purchasing property in an international market requires informed decision-making and reliable
local insight. Our role is to provide market knowledge, structured guidance, and access to
carefully selected properties that meet international standards, ensuring clarity throughout the
acquisition process and beyond.