Purchasing Costs for Properties in Montenegro
The main cost of buying property will be the agreed upon purchase price. Added will be the 3% purchase tax, and legal fees. Additional information below:
- Purchase tax or title transfer tax is 3% of the value of the property, which is determined by the tax office. This is usually the same value as stated in the Purchase Contract and has to be paid within fifteen (15) days from the date of completion of the purchase.
- Notary fee is based on the value of the property (agreed price). For example: if the price is 100.000 euro, the notary fee will be 350 euro + VAT (21%) = 423.50 euro. There may be additional fees related to the land registry application.
If the parties wish to use the notary’s escrow account then a service charge will be added. You can find more details on the website: https://notarskakomora.me/images/docs/notarska-tarifa.pdf
- Legal assistance or lawyer’s fees. The fees will vary depending on the complexity of the transaction. Generally, a buyer can expect to pay from 1000 euro for legal assistance, which includes the title deeds survey, negotiating the terms of the Contract all the way up to your registration as the new owner. You can find more details here.
- Interpreter’s fee for the written translation is 20 euro per page (about 120 euro for the Contract), and an oral translation fee is 50 euro per hour. It is obligatory for a licensed interpreter to be present at the signing of the Purchase Contract and in the presence of a notary if one of the parties is a non-resident.
- Various extras may be 100 euro.
- Bank transfer charges. Sending money in and out of Montenegro can be expensive. Check with your banking institutions. The fees can range from 0.25% to 1%. A detailed list of the bank charges can be found on this link.
Agent’s commission is included in the price and paid by the seller. Buyers do not pay the commission.