The procedure for the acquisition of real estate in Montenegro
The procedure for the purchase of a real estate in Montenegro is very simple. For the conclusion of the transaction, all the buyer needs is the passport. The seller needs his personal documents and proof of ownership, the so-called ‘list nepokretnosti’ (Ownership certificate), which is issued by the local administration (municipality) if the seller is an individual. If the seller is a legal entity, they provide company’s registration documents, company stamp and documents which are confirming ownership of the property.
The contract has to be signed before the notary in the county where the property is located and notarize the following documents:
*The sales contract, which can be signed with the power of attorney
называется Clausula Intabulandi - depositary receipt which confirms the transfer of the full amount of the property value, and a statement that the seller has no complaints/pretensions towards the buyer, and the buyer can register the property in his name. This document is signed by the seller, and called Clausula Intabulandi.
- Method of payment is also set by agreement with the owner of the property. Usually at the time the contract security deposit is paid in the amount of EUR 5,000 (the so-called "Kapara").
After signing and certifying the sales contract, an appraiser from the city administration issues a decision on the value of the property ( which is estimated based on the national standards). On the basis of this decision, the new owner pays the state tax, which is 3% of the appraised value. 3% are not paid in case that the property is being sold by the developer. After payment of the tax, the next step is to apply for registration of the real estate named after the new owner in the municipality administration. After that, the new owner receives ownership certificate addressed to the owner’s name.
The procedure of the registration of the real estate
If you use our company’s services during the process of registration, the procedure goes as following:
The first step
The signing of the sales contract:
-The price depends on the amount of the contract
The price of the contrat:
- From 0 to 5.000euros- 70 euros
- From 5.001 euros to 20.000 euros – 120 euros
- From 20.001 euros to 40.000 euros – 170 euros
- From 40.001 euros to 60.00 euros – 250 euros
- From 60.001 euros to 80.000 euros – 300 euros
- From 80.001 euros to 120.000 euros- 350 euros
2.Judicial translation = oral translation at the notary, with the owner’s personal signature of the contract of 50 euros per hour.
3. Judicial written translation= 20 euros per page
Services of property registration
The second step
1. Clausula Intabulandi - Receiving confirmation of payment of all funds, document Clausula Intabulandi
2. the process of obtaining a tax certificate for the payment of the tax on the purchase and sale of real estate
3. payment of tax on the purchase and sale of real estate in the amount of which is determined by the tax office in the amount of 3% of the market value of the purchased property
4. Obtaining a buyer’s social number from the tax office
5. collection of the documents which are later taken to the cadastre
6. submission of documents and applying for a certificate of ownership
7. obtaining a decision on the registration of ownership of real estate
8. obtaining a certificate of ownership
The whole process costs 500 euros.