Montenegro property prices are on average at €1,100 per square meter. Is now a good time to invest in real estate in Montenegro?
Number of tourists grows fast
An astonishing 25% of the GDP of Montenegro comes from tourism. Recently, the TV show Game of Thrones has helped make Montenegro even more popular with tourists.
Top 5 places to see in Montenegro
Tourism brings over 1 billion euros in yearly revenues to Montenegro. Although the Russians were leading the chart before, growth now comes from Western countries, China, and Gulf countries. Indeed, more and more direct flights link Paris to Podgorica in only 2h25min. Here are the top 5 places to visit in Montenegro:
- Sveti Stefan
- Porto Montenegro
- Perast (bay of Kotor)
- Petrovac
- Skadar Lake
Foreign buyers more and more interested by Montenegro
According to the New York Times, the foreign interest was sparked by Montenegro’s entry into the North Atlantic Treaty Organization in 2017.
The number of foreign buyers follows the number of tourists. As we showed before, tourism is expanding fast. So let’s look at numbers. With over 1.6 million visitors per year, for a country of 670K inhabitants, Montenegro is clearly an attractive country for foreigners.
Should you buy real estate in Montenegro?
Invest in Real Estate in Montenegro
Before investing in Montenegro properties, you need to know a few quick facts:
- No restriction on Foreign buyers
- Citizenship Programme from Autumn 2018
- Freehold Ownership (not limited to a period)
- Property Transfer Tax: 3%
- Inheritance Tax: 3%
- Property Capital Gain: 9%
- A notary handles the documents and details of the sale, but it is recommended to hire a lawyer to oversee the transaction
Property prices in Montenegro
The average property price in Montenegro is €1,081 per square meter. Let’s dig a bit deeper.
Property prices in Kotor Bay
Kotor Bay is a UNESCO World Heritage Site. The Bay of Kotor has a Fjord-like landscape with blue waters and lush towering mountains.
- Bay of Kotor property prices: from €1,000 per square meter
- Bar from €1,100 per square meter
- Budva from €1,200 per square meter
- Herceg Novi from €1,200 per square meter
- Lustica Bay, Montenegro’s newest luxury development, from €7,000 per square meter
- Tivat (Bay of Kotor) and Lustica from €1,100 per square meter => glamorous port attracting yachts from across the globe, host to one of the most luxurious marinas in Europe, Porto Montenegro
- Podgorica from €1,100 per square meter
Getting a mortgage in Montenegro, as a foreigner
Foreigners can get a loan for 50% of the property value
For foreigners buying a property in Montenegro, the typical mortgage can finance up to 50% of the property value.
Mortgage interest rates at 5%
Mortgage interest rates in Montenegro are at 5%. They kept falling in the past 8 years, which is great news for property investors.
