Montenegro has the smallest population in the Balkans and the vast majority of the 2.7 million m2 virgin land is awaiting investors for development. Most of the land in the country have favorable conditions for real estate development in terms of residential construction and commercial investment such as shops, offices, touristic facilities. Significant investment opportunities also exist in the agricultural sector. The best part is that you don't have to wait a long time for the land to be valued in Montenegro.
The country became a favorite spot for real estate investors after gaining its independence in 2006. Even though the sales in real estate and land areas are booming, prices are still very affordable and provide higher return on investment when compared to other Mediterranean countries.
According to the data released by the Montenegrin Ministry of Finance; Montenegrin real estate and land market profits, which have grown dynamically since 2006, have increased by 4 times and real estate taxes collected have increased by 3 times. The areas around famous tourist locations in the southern parts, such as Sveti Stefan, Kotor, and Tivat all contain invaluable development land for building large scale accommodation and catering service facilities. In Montenegro, land investments are mainly carried out by foreign investors in the southern parts and mostly by domestic investors in the northern sections. The turquoise beaches in the southern parts are only 1 hour away from Rome and 2 hours from most other European centers. This encourages investors from various countries in Europe to purchase summer property in cities such as Budva and Kotor. In Montenegro, foreigners have the right to purchase land but it is mandatory to have a Montenegrin partner when buying agricultural land.
Our company vision is to ensure that you make the most out of current real estate opportunities while we are managing and improving your property and land operations throughout Montenegro. We provide professional market analysis with our experienced staff in order to maximize your income from the land that you are planning to invest.
Montenegro Land Infrastructure Services
When buying land in Montenegro or anywhere in general, the existing or planned infrastructure construction and services in the region near by must be investigated in detail. The return on investment for your residential or commercial projects is directly related to the presence of developed infrastructure around the land that you plan to buy. Likewise, you should be careful when buying land without zoning plans since it is possible to losem 2 with new infrastructure arrangements in future.
Consulting our experienced real estate staff for the land areas that you intend to invest prevents the bad surprises that you might encounter in the future. First thing you have to do is to decide which region in Montenegro is more profitable for your property investment plan. Sewage, landscaping, electricity, gas, water, road and transportation facilities around the plot can take the m2 prices up or down. The European Bank has provided € 25 million to support Montenegro's infrastructure development. The country also receives various infrastructure funds from EU.
By contacting us, you can purchase affordable land with approved infrastructure plans from regions that have not yet been developed.
Northern Montenegro Plot Information
Large investors generally develop industrial sites in the northern part of Montenegro. The lands in this region are open to development in agriculture and various other industrial activities. The state of Montenegro aims to improve the existing system by arranging new roads and highways in the northern and other parts of the country.
As it is clear from the table above; the m2 prices of the land which the city planning and the infrastructure has already been developed is traded at higher prices than the central and suburban areas.
South Montenegro Plot Information
The region where real estate prices have increased the fastest is definitely located in the south of the country. M2 prices increased from 900 Euros to 8000 Euros for luxury residential housing around famous apartment complexes such as Porto Montenegro. The lands around Kotor, Budva, Tivat, Petrovac, Ulcinj and Bar are constantly gaining value. The region is worth gold for foreign tourism investors since this ares attracts a large number of tourists but lacks tourist facilities significantly.
Hexagon Company, which is composed of Turkish and Montenegrin partners, has implemented the Montenegro's third largest tourism investment in the south of Kotor. The resort serves both as a residence and SPA hotel. The total investment amount is over 55 million Euros.
Most foreign investors prefer to invest in restaurants, bars and new houses in the country which does not apply visas to Turks, Russians, and EU citizens.
Podgorica, The Capital of Montenegro
Podgorica is not only the capital of the country but also contains the largest international airport in Montenegro. New housing estates built in this region are continuously raising the prices of land in Podgorica. The development land which has not yet passed through city planning is very economical but the prices for the land with urban planning can be 2 or 3 times more valuable. Podgorica is one of the most advantageous Montenegrin cities to buy land at economical prices and earn high profits by building modern residential projects. M2 prices for new houses are around 2000 Euros in Podgorica where there are advanced social and educational opportunitities in comparison to other parts of the country.
Montenegro Government Incentives for Land
In Montenegro, land incentives are mostly provided by local municipalities. In some sections, free land use is granted for periods up to 10 years. For example, the Municipality of Berane provides ten-year free land to businesses that will employ a certain number of Montenegrin citizens.
The Municipality of Podgorica, which is the capital of the country, leases land to feign investors at only 1 Euro per m2 with annual agreements up to 30 years and also the new business is kept exempt from real estate tax.
In order to encourage economic investments in land purchases, Cetinje Municipality applies a 60% -100% discount in the infrastructure services. The municipalities of Niksic, Ulcinj, Bijelo Polje and Kolashin also offer discounts on infrastructure services.
Ecological Agriculture Lands for Organic Food Production in Montenegro
Organic agriculture has become the most profitable food sector in the world. There is no doubt that Montenegro will be way ahead of its competitors in the organic agriculture sector in near future by being the only ecological country and a key location in Europe. In addition, the country is likely to be competent in agricultural products that are difficult to grow in northern European countries thanks to its mild Mediterranean climate.
Organic agriculture in Montenegro will be a substantial part of food industry and it must be evaluated for both import and export from EU countries.
Unfortunately, organic food production is rarely developed the right way in many countries. If you look carefully at the product labels of many health food companies, you will realize that often times they are marketing their items as healthy foods without using the word organic. It is not just enough to throw organic seeds into a field for the food to be accepted as organic. There is a very strict certification process.
The area where the certified organic farming will be implemented is checked for pesticide residues and chemicals not just for today but also for the past years. In addition, if there is any groundwater passing under the planting area, it also must be tested against heavy metals. The seeds and fertilizer you use have to be organic as well. In the last 15 to 20 years, most farmers around the world already exhausted their agricultural lands for organic farming by using industrial seeds and fertilizers. Montenegro's untouched, natural agricultural areas provide unique opportunities.
In organic farming, harvesting is often carried out by man power and machinery is almost never used. This organic system which is based on manpower provides all the necessary environment for the development of organic agriculture in Montenegro when combined with the employment incentives provided by the state and the low minimum wage (288 euros).
Montenegro promises high revenue in real estate and land prices
One of the main factors directly affecting the land prices in a country is the level of development in the existing infrastructure plans. You can earn high income by making land investments in Montenegro, where foreign investors have the same rights as domestic investors.
The newly developing real estate and land market will eventually grow more exponentially, thanks to the infrastructure improvements designed by the Montenegrin government and the possible EU membership in near future. Now is the right time to buy investment land in Montenegro. In order to make a secure investment and earn high income, you can benefit from our experienced team for research and analysis on current market opportunities, infrastructure information, price trends, zoning status, landscape and transportation facilities for all areas of Montenegro.