Can a foreigner buy a plot of land in Montenegro?

Can a foreigner buy a piece of land in Montenegro?

Buying property in Montenegro is of interest to many foreign citizens, especially given the attractive climate, favorable ecology and prospects for tourism development. One of the frequent questions remains: can a foreigner purchase a piece of land in this country? The answer depends on a number of factors, including the purpose of the land, the nationality of the buyer, and the legal form of the acquisition.

General provisions of the legislation

According to the laws of Montenegro, foreign individuals have the right to freely purchase real estate, including apartments, apartments, commercial real estate and even houses. However, the situation with land plots is somewhat different.

Purchase of land by foreigners: restrictions

Foreign citizens can purchase a plot of land, but with restrictions. In particular:

1. Land for individual construction
   A foreigner does not have the right to directly take ownership of land intended for individual housing construction if he acts as a private individual. This rule is related to the protection of national interests and the regulation of land ownership.
2. Agricultural land
   Agricultural land is also unavailable for direct acquisition by individuals who are not citizens of Montenegro. However, it is allowed to rent such plots or register them through a legal entity.
3. Registration through the company
   One of the most common ways to purchase land is to register a legal entity in Montenegro (usually a limited liability company, DOO). Such a company can be one hundred percent founded by a foreigner, and it has the right to buy land for any purpose on the same terms as citizens of the country. This path requires accounting, reporting, and compliance with all requirements for legal entities.

Alternatives: long-term rentals

If establishing a company is impractical, foreign citizens may consider the option of long-term land lease. This is a popular practice, especially in tourist areas, and can be a temporary solution for building or running a business.

Investment attractiveness

Taking into account the prospects of Montenegro's accession to the European Union, the growth of real estate and land prices in the country continues. Buying a plot through a company can be a reasonable investment both for personal use and for subsequent resale or rental.

Conclusion

It is possible for a foreigner to buy a plot of land in Montenegro, but not always directly. The main way is to register a legal entity through which the transaction is carried out. Despite certain bureaucratic procedures, the process is considered transparent and understandable, especially when accompanied by an experienced lawyer or realtor. Before buying, you should definitely study the purpose of the land and consult with specialists to avoid possible legal difficulties.