Montenegro is situated strategically in the central Mediterranean area of South East Europe. It borders with Italy (across the Adriatic Sea), Albania, Serbia, Bosnia-Hercegovina and Croatia. It has access to the Mediterranean Sea and has good road and rail connections with the rest of Europe.
BUYING REAL ESTATE
Real estate is one of the main industries of the Montenegrin economy, and it has been growing for more than a decade with a very positive outlook into years to come. The economy boost happened initially with the independence 14 years ago, then it reached a new level in 2017 with Montenegro becoming a NATO member-country. Since 2018, after announcing the upcoming entrance into the European Union in 2025, Montenegro started to welcome many foreign investors willing to invest into new hotels and condo-hotels along with growing investing activity coming also from the local investors.
There are many reasons why Montenegro is an attractive location for a second home, property investment, or even a new home base! In general, foreigners can be interested in real estate in Montenegro in the following categories:
• Summer home – an apartment for personal use during the summer or holiday seasons, which could be optionally rented out for limited time to cover costs of maintenance
• Luxury summer/second home – a villa or large apartment
• Investment property – one or more apartments in prime location managed by a property management company with an attractive yield. Normally, an investor could expect a minimum of 6% annual return of investment.
• Investment projects – where an investor purchases a plot of land and develops a project of apartment building, condo-hotel, villas, etc. to sell or rent.
• Montenegrin citizenship by investment - it’s the best and cheapest available program in Europe for your second passport, also in a transition to be an EU passport. The process of receiving a Montenegrin passport is easy and quite fast.
Here are some reasons Montenegro real estate is so popular:
Significantly cheaper than Croatian real estate: Low property tax: Pay just 0.1% - 1% on your property in Montenegro.
Montenegrin residence: Get Montenegrin residence when you buy a property, regardless of its value.
Earn income on your Montenegro real estate: With a year-on-year increase of 18% in tourist numbers, you’ll have a great opportunity to rent your place out when you’re not using it.
Low tax: At 9%, Montenegro has some of the lowest income, corporate, and capital gains tax in Europe.
Political stability: As a NATO member and on the path to EU membership, Montenegro is a central, stable figure in the Balkan region.
Two international airports: Getting to and from Montenegro with two international airports to choose from: Podgorica and Tivat
Fabulous, Mediterranean climate: Montenegro’s long and hot summers, glorious spring and autumn’s weather make Montenegro the ideal, relaxed getaway