Buyer’s guide
Buying property in Montenegro
Montenegro is one of the most open countries on the Mediterranean for foreign buyers. Here is how it works in practice — from reservation to land-registry entry — with taxes, costs and residence explained clearly.
Updated: June 2026
Can foreigners buy?
Yes. Foreign nationals buy apartments and buildings on the same terms as locals — no special permit required. There are no restrictions on apartments.
Limited restrictions apply only to agricultural and undeveloped land, which is usually handled through a company registered in Montenegro.
The buying process, step by step
1. Reservation — choose a unit and sign a reservation agreement with a deposit.
2. Sale contract — drafted and certified by a notary; ownership verified in the cadastre.
3. Payment — per the schedule in the contract (often by stages for new builds).
4. Registration — the transfer of ownership is recorded in the cadastre (Real Estate Administration).
Taxes and costs
Real-estate transfer tax: 3% on resale (secondary market). For new builds, the first sale from the developer is subject to VAT (included in the price) instead of transfer tax.
Notary and registration fees: a few hundred to a few thousand euros, depending on value.
Annual property tax: roughly 0.25%–1% of value, depending on the municipality.
Buying directly from the developer means no agency commission.
Residence through property
Owning real estate in Montenegro is a basis for a temporary residence permit (renewed annually).
A residence permit makes longer stays, opening bank accounts and day-to-day formalities easier. Confirm conditions and documents with the relevant authority or a lawyer.
Currency and payment
Montenegro uses the euro (€) although it is not in the eurozone — no currency risk for EU buyers.
Payments go through a bank; expect standard source-of-funds (AML) checks.
Why Ulcinj
The southernmost and sunniest municipality on the Montenegrin coast, home to Long Beach (13 km) and Ada Bojana.
Montenegro is an EU candidate targeting accession around 2028 — a long-term tailwind for coastal property values.
Frequently asked questions
Do I need a permit to buy an apartment as a foreigner?
No. Foreigners buy apartments on the same terms as locals. Special structures (a company) are mainly needed for land.
How much is the purchase tax?
On the secondary market, 3% transfer tax. For new builds from the developer, VAT is included in the price and there is no transfer tax.
Can I get residence if I buy property?
Yes — ownership is a basis for a temporary residence permit, renewed annually. Confirm conditions with the relevant authority.
What currency is used?
The euro (€). No currency risk for buyers from the eurozone.
Do I pay commission if I buy from Yard Group?
No. You buy directly from the developer — no agency commission.
This text is general information, not legal advice. Before buying, consult a notary or lawyer in Montenegro for your specific situation.