Montenegro, “The Hidden Pearl of the Mediterranean”, is surely a diverse and beautiful country. Emerging in tourism in recent years, covered with dense forest and jaw-dropping glacial lakes, Montenegro is full of surprise.
Let’s look at the Laws and Procedures governing buying a property of this International home destination
There is no restriction on buying and selling property, both commercial and residential, in Montenegro and is as easy as for locales. Although some restrictions lies with it like plots at the first line near Adriatic Sea and lands of national and historical importance are owned by state and can be rented only.
When you want to buy a property, as a rule, you must pay a deposit of 10% of property price to secure the transaction and then your solicitor prepares a Draft Property purchase contract.
When all the terms and conditions are met and negotiated, the property and its ownership is verified in the Cadastre.
The price of property is paid in full by cash or bank transaction, in case of later, 17% VAT applies to the sum transferred by bank.
When the final purchase contract is signed, the new ownership is registered in court.
The investor then is responsible for legal fees paid to his/her lawyer, who is supposed to prepare a Draft and Final property purchase contract and other Courts cost need to be paid like cost to transfer ownership and registration of new owner of property.
Some additional fees also need to be paid like the buyer pays the transfer tax (about 3%) for re-sale and new properties and the agent commission is between 3-8%, usually paid by the seller.
The country’s rapid development and progress means that more foreigners are judging the economic potential of the country with its convenient location and access to the European market, the country offers opportunity to those who would like to experience expat life in Montenegro should make the most of what the country has to offer.
So, with flexible and easier laws and government-friendly nature, living as expat is worth a decision.