Real Estate in Montenegro

Montenegro is located on the Adriatic Sea, immediately below Croatia [view map]

1. Property prices circa 30-50% below Croatia prices with growth of over 75% since 2002
2. No restrictions on buying and selling property for UK Investors (except for land which requires a company to be registered in Montenegro)
3. A country of stunning natural beauty ranging from sandy beaches (over 250 km), striking fjords, a number of UNESCO-protected National parks and ski resorts
4. A warm climate averaging 25°C (77°F) in summer and over 230 days of sunshine
5. A stable political system and economy [learn more]
6. Tourism growing at 17% per year with a strong desire to maintain the ecological balance in the country [learn more]
7. Use of the Euro since 2002 and plans to join both NATO and the European Union [learn more]

Property investment is focused in 2 main areas:

1. Kotor Bay Fjords (circa 70% of all property sales to overseas investors)
2. Adriatic Beach (circa 25%)
   

Kotor Bay Fjord - this region lies in the north end of the coast. Principal towns are Kotor, Herceg Novi and Tivat. Properties are typically built directly on the ocean front with breathtaking backdrops [view property]

Adriatic Beach – this line of the coast, stretching from Budva to the south of the region includes major towns of Sveti Stefan and Bar. This region is typically less mountainous with stretches of soft sandy beaches [view property]

1. The World Travel and Tourism Council estimate that by 2014, tourism will have grown 400% from 2004. The WTTC places Montenegro as the 3rd fastest growing tourist destinations in the world.
2. Already, over 80 tour operators from more than 15 countries organise holiday packages to Montenegro, including 6 in the UK
3. Between 200-2004, the number of British tourists increased by 156%
   Montenegro is particularly committed to ecotourism which does not damage the country’s natural balance

Political

1. Montenegro is a sovereign republic within the Federal Republic of Yugoslavia (FRY). It’s government is committed to progressive reform, privatisation and the adoption of transparent regulations in cooperation with foreign organizations.
2. In 2003,the FRY became a looser union, which now formerly constitutes the Union of Serbia and Montenegro. This has granted greater political and economic autonomy to each partner in the union.

Economy

1. The IMF forecasts GDP of 4.5%in 2005, and The Central Bank of Montenegro recorded inflation of 4.3% down from 6.7% in 2003
2. Montenegro is experiencing large in ward investment including:
   • European Bank for Reconstruction and Development - committed €691 million to over 36 projects and mobilised an additional €780 million with partners from the public and private sector
   • The European Investment Bank – coordinated projects of over €290 million
   • The EU has provided over €2 billion to Serbia and Montenegro since 2000
3. Montenegro has completed a voucher-based mass privatisation programme enabling citizens to take ownership in over 200 medium-sized companies. General trading of shares began in 2003
4. Montenegro adopted the euro in 2002, harmonising its financial system with the European Central Bank

Joining the EU

1. In 2004, the European Commission confirmed that Serbia and Montenegro had made sufficient progress to open negotiations on a Stabilisation and Association Agreement (SAA)
2. Talks between the EU and Serbia and Montenegro will open in October 2005
3. Montenegro joined the Council of Europe in April 2003
   

1. Flights are approximately 2 hours 40 minutes from London to either of the two international airports in Montenegro (Podgorica and Tivat), and one in Croatia (Dubrovnik) which service air travel for the region.
2. National carrier, Montenegro Airlines, operates scheduled flights to the two international airports Tivat and Podgorica. Montenegro airlines and JAT (Yugoslav Air Transport) manage scheduled flights, while a number of other companies organise flights to Podgorica, Tivat and Dubrovnik during the tourist season. Charter flights are frequent during the tourist season.
3. Tivat Airport is 4 km away from Tivat, 20 km from Budva and Herceg Novi, 58 km from Bar. Dubrovnik airport is 24 km from Herceg Novi, 44 km from Tivat and 68 km from Budva.
   

1. ‘A nature lover’s paradise - Montenegro is very much worth a punt in 2006’ – Channel 4’s ‘A Place in the Sun’ - 2006
2. ‘In the ongoing battle for the title Jewel of the Balkans, Montenegro may emerge as the ultimate winner. The prize: wealth-generating ribbon development along 190 miles (300km) of spectacular Adriatic coastline.’ - The Independent - 2005
3. ‘There is no reason why...Montenegro cannot achieve the same success we have seen in other countries such as the Czech Republic, Poland, and Hungary’ - US Under Secretary for Economic, Business and Agricultural Affairs – 2004