Property

Real Estate Transfer Tax

Real estate transfer tax in Montenegro. Progressive rates 3/5/6%, first home exemptions, annual property tax.

15-30 days
3-6% of property value
6 steps

Procedure

The purchase agreement for real estate must be executed as a notarial act. The notary certifies the agreement and registers it.

Buyer / seller / notary1 day
Purchase agreement (notarial act)Personal documents of buyer and sellerProperty certificate

Required Documents

  • PR-PPN form (real estate transfer tax declaration)
  • Purchase agreement (notarial act)
  • Property certificate (cadastre extract)
  • Personal documents of buyer and seller

Legal Basis

Competent Institutions

Progressive transfer tax rates (2026)

Property valueRate
Up to €150,0003%
€150,000 — €500,0005%
Over €500,0006%

Annual property tax

TypeRate
Residential properties0.1% — 0.5% (local)
Commercial properties0.2% — 1% (local)
Land0.1% — 0.8% (local)

Additional notes

Exemptions: first home purchase for housing needs (up to 25m² per household member), inheritance in the first line, exchange of real estate of equal value.

Annual property tax: paid quarterly, the rate depends on the municipality and property type (0.1% to 1%).