Real estate legalization “turnkey”

The most common question from clients! Legalization!

Let’s break down this complex topic into simpler parts.

Attention: If you trust bloggers, YouTubers, TikTokers, or Instagram comments on this matter, please refrain from buying real estate in Montenegro.

1. Currently, all developers—both private and legal entities—have the ability to build legal housing. The main requirement is that the land plot must be urbanized and located in an area with a detailed urban plan. Of course, project approval, payment of all fees, and contributions are needed before construction begins. Near most new buildings, you will see a yellow billboard with the plan description, construction timelines, developers, and contractors. Relax—it’s a legal building.
2. Unfortunately, the country is a bit behind in keeping up with the level of demand and construction pace. Some well-known private developers build small apartment buildings on plots where a development plan has not yet been finalized. No, there won’t be a road or a hotel built there, but the land has not yet been officially included in the urban plan. The country was established in 2006, and regulatory laws were enacted in 2018. Ever heard of polako? :))) Our recommendation in this case: don’t buy such land for building a house, but buying an apartment in a small building is fine; just make sure the developer has submitted all the documents for legalization, and they have been accepted (this is reflected in the list nepokretnosti). They won’t demolish or take it away. Don’t believe rumors; trust facts—where’s the demolished property? Whose property was taken away?
3. If you are considering secondary real estate, you need to make sure that the property has successfully been submitted for legalization. The seller should have all the documents, and the corresponding entry should be in the list nepokretnosti.
4. Found a house but it has nema dozvola? It means the owner did not bother to apply for legalization. You can do it yourself, and we can provide contacts of reliable companies for legalization. The cost usually does not exceed 1,000 euros, and the process takes about 2 months.
5. Great apartment, legal, but the document says 40m², while the apartment clearly has more space? This happens; often, only the living area was previously recorded, excluding hallways, balconies, etc. However, if the difference is twice as much, that’s not okay.
6. A beautiful big legal house! Oops, but the document only lists one floor of 50m², even though the house is at least 200m². The only solution is to contact a legalization company and submit the entire area. The house cannot be considered legal if only 50m² are legalized…
7. Residency permits for real estate are only issued for 100% legal properties—that’s a lie. It’s the most common misconception. The right to residency applies to real estate buyers regardless of legalization status. The main thing is the type of property, as shacks, parking lots, or studios converted from garages are not eligible for residency.
8. Any property at any stage of legalization has property rights, is subject to taxes, is connected to utilities, and can be officially bought and sold.
9. Please don’t confuse lack of legalization with unauthorized construction! Self-built structures don’t and can’t have ownership documents, and obviously, they cannot be bought or sold!

 

Conclusion. If you want a wide selection of properties, consider apartments and houses with any legalization status, but a detailed check is necessary. Still afraid of an excavator attacking your purchased property? Then look for fully legalized housing. Most properties in Montenegro are still not legalized. Either this will end with a total amnesty before EU accession or will continue to be slowly implemented in the current format. The decision is yours!!!