How a Foreigner Can Buy an Apartment in Montenegro in 2025

Montenegro is one of the few European countries where foreigners can freely buy an apartment. Buying property gives you the right to a residence permit, and the market offers both developer installment plans and bank mortgages. MD Realty founderMD RealtyVyacheslav Maevskyspoke about property prices in Montenegro, document processing, and real returns in an interview with Realting.com.

Can foreigners buy an apartment in Montenegro?

Yes, without any restrictions. Montenegro is one of the few countries in Europe where real estate purchases are available to foreigners regardless of citizenship.

The process itself is quite straightforward:

In person:you come to the country, choose a property, sign the contract, and then the transaction is handled by a notary. Everything is as transparent as possible.
By power of attorney:if you cannot come in person, you can issue a power of attorney in your country, have it apostilled, and then your representative will complete the transaction in Montenegro.

As for payment, several channels are available today:

Through CKB Bank— one of the main tools.
Cash— this option is still possible in transactions with private individuals.
Cryptocurrency— sometimes used in practice, but it all depends on the agreement between the parties.

And the main point:buying property in Montenegrois a direct path to a residence permit (temporary residence permit). By purchasing a property, you gain the right to apply for temporary residence. First, a one-year temporary residence permit is issued, and it can be renewed annually. After five years of uninterrupted renewals, you can apply for permanent residence, and five years after that, for citizenship. In essence, this is the most accessible way to legalize your life in the country.

How much does housing cost, and can you get a mortgage?

Montenegro is a market with rising prices. To be honest, properties that can be called liquid and have “clean” documentation costfrom €100,000 and up.

The mid-range segment is €2,500–€3,500 per square meter.
Luxury complexes cost €4,500–€12,000, and some premium projects reach €15,000.

There are different financial tools:

Developer installment plans:most often offered for the construction period. Interest-free, with payments split by construction stages. This is convenient for investors who want to spread out the financial burden.
Bank mortgage:for foreigners, the conditions are strict but accessible. The usual scheme is 50/50: you pay half of the cost yourself, and the bank covers the other half. Interest rates are around 7–8% per year, and the loan term is 5–7 years. The key factor here is the property’s “cleanliness”: the documents must be in perfect order, with no encumbrances or violations.

Since August 2025, a new legalization law has been in force (more details here): illegally built houses, or properties that violate urban planning regulations, are simply not registered. That means now not only banks, but also notaries automatically filter out “gray” real estate and work only with transparent projects.

Where is the best place to invest?

There are three main directions:

The coast.A classic and the main magnet for investors. Tourist traffic is growing, rentals work year-round, especially in Budva, Tivat, and Kotor. According to MD Realty’s market analysis, the highest returns and price growth are recorded here — the Budva and Bar Rivieras, as well as the Bay of Kotor.
Podgorica.The capital always means long-term stability. The city is actively developing, and the business sector is growing, which supports demand for long-term rentals. Returns are moderate, with price growth of around 2–3% per year above inflation, but the market is predictable.
The north of the country: Kolašin, Žabljak.A very promising direction. Winter resorts and leisure infrastructure are actively developing there, and new complexes are being built. Demand is growing, while prices are still noticeably lower than on the coast. For an investor, this is an entry point with strong potential.

What return can you expect?

If we talk about honest figures, it is about 5% per year from rentals. That is what most properties actually generate. Yes, developers often promise 7–10%, but practice confirms “five.”

At the same time, don’t forget about the second source of income — the increase in the property’s value itself. If the property is chosen wisely and located in a sought-after area, it can be sold for significantly more after a few years.

Example of an investment project

Right now we are promotingthe 60K project in Bečići. This is a large-scale complex with a total area of 60,000 m² (more details here).

Prices start from €128,000.
The developer has anonline RPT showcasewhere you can view all offers in real time.
An important advantage: the project is bank-accredited, and buyers can get a mortgage — a rarity for Montenegro.
An installment plan for the entire construction period is also available.

In short, transparent and straightforward conditions are offered to the investor.

What buyers should pay attention to

Here is what I would advise:

Check the developer:study the company’s reputation and completed projects. This is a guarantee that the building will be finished and the documents will be in order.
Check the real estate agent:a good agent will become your partner — they know the market, understand the legal nuances, and will help you avoid mistakes when choosing a property.
Pay attention to the documents:even if you are working with an agent, it is useful to understand for yourself that after the new legalization law came into force, “gray” real estate simply cannot be registered.
Look at the area’s prospects:today you may have a sea view, and tomorrow a new building may rise in front of you. Always check what is planned for neighboring plots.
Assess the infrastructure:parking, an elevator, access to shops and transport — these are factors that directly affect liquidity.
Be more careful with older resale properties:Yugoslav-era buildings and 1990s constructions often have no elevators, poor insulation, and problematic utilities. Yes, the price is lower, but such property is harder to resell later.

About the role of a real estate agent

A good real estate agent is not a salesperson, but your partner. The Montenegro market may seem simple, but there are many nuances: from checking documents to understanding legalization laws. A mistake here can cost tens of thousands of euros and wasted time.

It is important thatthe buyer does not pay a commission— it is paid by the seller. So you get professional support at no extra cost. But there is one condition: you need to choose the agent correctly. A reliable agent works in your interests, helps you choose a liquid property, checks its legal cleanliness, conducts negotiations, and protects you at every stage of the transaction.

Going through all these processes on your own is risky, especially if you are not familiar with local specifics. But with a competent real estate agent, buying becomes not a source of stress, but a comfortable and clear process.

Source:REALTING.COM