Montenegro is a picturesque country with a mild climate, clean Adriatic Sea and favorable conditions for living and investment. New buildings in Montenegro are especially popular because to obtain a residence permit (RP) it is enough to purchase real estate without minimum cost requirements.
Features of new buildings in Montenegro
In the tourist cities of Montenegro, there are strict requirements for appearance. New housing in Montenegro should be in harmony with the surrounding architecture, preserving the traditional style of the region. Therefore, much attention is paid to the appearance and architectural style of new buildings.
New buildings in Montenegro are distinguished by:
- Quality of construction. As in other European countries, developers in Montenegro use modern standards in the construction of buildings. New buildings are equipped with heat and sound insulation and are spacious apartments with panoramic windows and terraces overlooking the sea.
- Developed infrastructure. Real estate in Montenegro from the developer is built in areas with good infrastructure and includes parking, swimming pools, recreation areas and commercial premises.
- Flexible purchase terms. Developers are accommodating buyers and offer mortgages at a reduced interest rate and installments with gradual payment of funds.
Nuances of buying real estate from a developer in Montenegro
New buildings can be sold both by private companies and by large international developers, so when buying an apartment, it is important to make sure that the property is registered in the cadastre and has no encumbrances.
Other nuances:
- Taxes and fees. The tax on the purchase of new housing is 3%, and when buying off-plan property in Montenegro, you can save on VAT.
- Registration for foreigners. Foreigners can purchase real estate without restrictions and even obtain a RP based on the purchase of housing.
The Cost of New Housing in Montenegro
Modern residential complexes in Montenegro are often located in coastal areas, mountain resorts, or the capital. Buyers have access to apartments, studios, townhouses, and villas, for both permanent living and investment purposes.
The price trend shows an overall growth in the new property market. In the third quarter of 2025, the average purchase price was €2228 per square meter, while in coastal areas it was €2458. Preliminary forecasts suggest that this trend will strengthen as capital migrates to cheaper countries in Europe.
Average cost of new housing in Montenegro:
| City / Area |
Price range per m² (€) |
| Budva (Budva Riviera) | 2700–5000 (standard apartments). In some premium properties, up to ~€6000+/m² |
| Kotor (Bay of Kotor) | €2200–3700 (apartments), premium segment from €3700–5300+/m² |
| Tivat (including Porto Montenegro) | €2500–4000, in prestigious complexes from €5000+/m², and luxury projects sometimes exceed €10,000/m² |
| Podgorica (capital) | €1700–2250/m² for secondary market apartments. For new properties, €2500–2650/m² |
| Bar | Budget options €1700–2100/m². For houses or villas — €2000–3000/m² |
| Herceg Novi | For coastal properties, €2500–4500/m² |
The premium segment of new buildings in Montenegro from the developer is generally priced around €3800 per square meter, with houses around €3600. However, in elite complexes, prices can reach €8500 per square meter and even exceed €10,000.
Popular cities and regions of Montenegro for purchasing real estate from a developer
The country's landscape is heterogeneous, and coastal areas and cities are often in greater demand than inland ones - prices for new buildings in Montenegro are much more attractive inside the country and, as a rule, are 10-20% lower.
The most attractive places:
- Budva. The tourist center of the country, attracting investors due to high rental income.
- Tivat. A rapidly developing city with the elite Porto Montenegro complex, where luxurious new buildings are located.
- Bar. An ideal option for permanent residence, as prices here are more affordable for the middle class.
- Kotor. A historical city with a unique atmosphere, listed by UNESCO. Construction in the area of the city is limited and the choice of new buildings is not so great.
- Herceg Novi. A quiet city with an abundance of greenery, ideal for family life and secluded relaxation.
Guides on Buying New Builds in Montenegro
Frequently Asked Questions about Buying New Real Estate in Montenegro
What is the average cost of new apartments and houses in Montenegro?
The average cost of apartments from developers in Montenegro is about €2200–2300 per square meter. In coastal areas (resorts, popular cities), prices range from €2700–5000 per square meter, and in the premium segment, prices range from €5000 to €10,000+/m². In more affordable regions (central, northern areas), properties can be found starting from €1000–1800 per square meter.
What benefits can be expected after the purchase of an apartment in residential complex in Montenegro?
In what cities is real estate in Montenegro in greatest demand?
What documents are required to purchase new real estate in Montenegro?
For an individual buyer, a valid passport is required. If purchasing through a legal entity, company documents and a power of attorney are needed. The main steps include signing the purchase agreement with a notary, paying a deposit (usually 10%), paying taxes, and registering the property in the cadastre (title deed). The process takes 15–20 days, but it can be expedited for an additional fee. A property check for encumbrances through a lawyer is recommended.
Is Montenegro a good place to invest in real estate?
Montenegro attracts investors with rapid market growth (up to 24% annual price increase), transparent purchasing procedures, and the possibility of obtaining a residence permit. New properties in Montenegro are also more affordable compared to similar properties in the EU.
What is the property tax in Montenegro?
The real estate turnover tax (purchase tax) in Montenegro is progressive and depends on the value of the property. For properties up to €150,000, the rate is 3%. For amounts from €150,001 to €500,000, the fixed fee is €4,500 plus 5% of the excess. For properties over €500,000, the tax is €22,000 plus 6% of the difference.
How much money do you need to live comfortably in Montenegro?
For a single person, basic monthly expenses (including housing, food, utilities, transportation, etc.) typically range around €700–900. For a family of four, living comfortably without luxuries but on a decent standard would cost around €2000–€2800 per month. If you're aiming for a higher standard of living (comfortable housing, entertainment, occasional travel), the budget would be closer to €2500–€3200+ per month for a family of 3–4.
What is the mortgage rate in Montenegro?
Mortgage rates for purchasing new buildings in Montenegro for foreign buyers typically range from 5.1% to 8% per year, with a required down payment of 30–50% of the property value. In some cases, rates can go higher, especially for non-residents or depending on the bank, with rates sometimes exceeding 6%.
Where is the best place to buy a new build in Montenegro?
The best places depend on your goals: for tourism and rental — Budva, Tivat, and Kotor with their beaches and infrastructure. For peaceful living — Herceg Novi or Bar. In mountain areas like Kolasin, new developments for skiing holidays are popular. The Bay of Kotor offers premium options. Northern areas like Niksic are cheaper but less developed.
What are the benefits of purchasing new real estate in Montenegro?
New built apartments for sale in Montenegro grants the right to obtain a temporary residence permit (residence permit) for properties worth €200,000 or more. Additionally, renting out the property can provide a good income of 5–7% annually.
