Briefly about the main
Montenegro does not limit the purchase of real estate by foreigners - citizens of any country can purchase it without restrictions. The process of making a sale and purchase transaction is simple, transparent and reliable. The entire period from searching for an object to receiving it takes approximately one month.
To search for and complete a transaction, you should definitely contact a professional real estate agency that has been working in the country for several years. A foreigner cannot master all the intricacies of the market, and sometimes “free floating” in the search and conclusion of a deal can result in financial and time losses. A professional agency will also help to correctly identify the goals facing the buyer - and provide a full range of services that will accompany the transaction and the after-sale period.
In addition to the direct cost of real estate, future owners should include in their budget the amounts for the transaction, paying taxes, and also calculate the future costs of maintaining the property. All this will not cost the buyer very large sums: but they should be calculated in advance.
Finding and buying real estate: the main stages
1. Object selection
After a preliminary selection of real estate in Montenegro, the potential owner comes to the country for inspection. Experts recommend choosing a maximum of three real estate agencies - and already on the spot to decide who will accompany the transaction. As for the objects, they must first of all be located in the region that best suits the goals of the buyer. Therefore, for a start, it's good to spend some time in a specific place and understand whether it really suits you. The real estate market in Montenegro is dynamic today - and good liquid properties quickly find their buyers, so if you really liked the property, you should not go for further viewing. Buyers are quickly found for quality real estate.
2. Signing the contract
After the object is selected, the parties conclude an agreement. The signing is attended by the seller and the buyer or their legal representatives, as well as a realtor, a notary and a court translator. At the conclusion of the contract, the buyer makes a cash deposit, the amount of which is 3-10% of the value of the property. The amount of the deposit is non-refundable: if the transaction is canceled, the buyer loses it. However, if during the purchase process the seller for some reason decides not to sell the property, according to Montenegrin law, he will reimburse the buyer for an amount twice the deposit. The return process is carried out through a notary. The cost of legal support of the transaction will cost the buyer approximately ˆ 300.
If a transaction is concluded between a local resident and a foreigner, then, according to the legislation of Montenegro, a court translator must be present at the signing of the contract, who will translate from Montenegrin (Serbian) into the foreigner's native language. Translation services are calculated at an average rate of ˆ 35 per hour for interpretation (as a rule, this time is enough to conclude a contract), and ˆ 10-20 for one page of written translation.
3. Checking the status of the object
In Montenegro, there is an electronic cadastre - a database of real estate, access to which is available to notaries. It reflects the current state of the object and all possible restrictions: mortgage payments and debts, other applicants for the purchase, etc. are not covered. During the conclusion of the contract, the notary enters the database of the electronic cadastre and receives an extract about the main document for property in Montenegro - the "Non-confidentiality Sheet", which reflects whether there is currently another buyer applying for this house or apartment. The fee for notary services is paid at the rates established by law, depending on the amount of the transaction. So, for objects worth up to ˆ 40,000, the cost of notary services will be ˆ 120, from ˆ 40,000 to ˆ 100,000 - ˆ 180, from ˆ 100,000 to ˆ 200,000 - ˆ 300, from ˆ 200,000 to ˆ 500,000 - ˆ 500. From ˆ 500,000 and above - ˆ 800. Extract from the cadastre about the absence of restrictions on the object - ˆ 8, filing an application to the cadastre for a change of ownership - ˆ 16. The approximate cost of notary services for the purchase of an apartment worth ˆ 110,000 is ˆ 324.
4. "Reservation" of the object
After checking the status of the object, the notary puts a special mark in the cadastre: the so-called "Prohibition on alienation". This is an important point that protects both the buyer and the seller from the possible sale of this property to third parties. From this moment on, the object is "reserved" for a specific buyer: his name is recorded in the cadastre, as well as the date of the final payment under the contract, which is usually 30 days.
5. Payment of the full amount under the contract
The buyer can pay the final amount specified in the contract in several ways. The most common is cash deposits to the merchant's account. And also - bank transfer or payment in cash in the presence of a notary. All payment details are specified in the contract in detail.
The buyer receives an appropriate document of payment: a bank statement or a notary certified confirmation of the payment of the entire amount and consent to transfer ownership to the buyer.
7. Registration of the object and obtaining documents for property
After confirming the fact of payment of the entire amount, the notary once again checks the status of the object and makes a note in the cadastre that all obligations under the contract have been fulfilled by the buyer. The new owner of a home in Montenegro receives a “Non-confidentiality sheet”.
8. Payment of property tax
The amount of real estate tax in Montenegro is 3% of its value and is paid by the buyer at a time after the transaction. So, the amount of tax when buying an apartment worth ˆ 110,000 will be ˆ 3300.
For more information about the real estate market in Montenegro, including the purchase process, the amount of additional costs - and much, much more, you will learn from the "Guide to buying real estate in Montenegro", which will be published on our portal in February.
Portal HomesOverseas.ru thanks Svetlana Barin ( DOO Montbel ) for their help in preparing this article.
and what remains from the seller?