The real estate market in Montenegro demonstrated steady price growth in 2024, especially in the new-build segment. According to the statistical office Monstat, in the third quarter of 2024 the average price of a new-build property was €1,854 per sq. m, which is 12.6% higher compared with the same period of the previous year. In the central regions of the country, a more moderate price increase is observed. The average price of new housing here was 980 euros per square meter.
The main reasons for the price increase include:
- Growing demand from foreign investors. Montenegro maintains a favorable tax policy for property owners, making the country attractive to buyers from Europe, Russia, and the Middle East.
- Limited supply of new properties on the Adriatic coast. Despite the increase in the number of construction projects, there remains a shortage of luxury housing in popular tourist regions such as Budva, Tivat, and Bar.
- The positive impact of economic reforms. Montenegro's accession to international organizations and the expected entry into the European Union make the region more stable for long-term investments.
Experts predict that in the coming years property prices will continue to rise, especially in areas with developed tourist infrastructure. For example, villas with a view of the sea in the Bay of Kotor area have already increased in price. For those considering buying property in Montenegro, experts advise not to delay the decision, as price growth may accelerate. This especially applies to properties near new infrastructure projects such as yacht marinas and golf resorts. Source.