Authored by the expert who managed and guided the team behind the Montenegro Property Pack
Yes, the analysis of Tivat's property market is included in our pack
Tivat has transformed from a quiet Adriatic town into one of Montenegro's most sought-after property destinations, attracting foreign buyers from Europe, the Middle East, and beyond.
Whether you are looking for a luxury apartment near Porto Montenegro, a seaside villa in Donja Lastva, or a townhouse in Seljanovo, understanding what you can legally buy and own as a foreigner is essential before you invest a single euro.
This guide breaks down the ownership rules, visa requirements, buying process, taxes, and common pitfalls for foreign buyers in Tivat in January 2026, all written in plain language so you can make informed decisions.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Tivat.
Insights
- As of early 2026, Montenegro has introduced a minimum property value of 200,000 euros for foreigners seeking temporary residence through real estate ownership, a significant change from the previous system where no threshold existed.
- Tivat property prices have risen 80 to 100 percent over the past five years, with median apartment prices now around 5,700 euros per square meter and luxury Porto Montenegro units reaching 10,000 euros or more.
- The progressive transfer tax in Tivat ranges from 3 percent on properties up to 150,000 euros, to 5 percent on the portion between 150,000 and 500,000 euros, and 6 percent above that threshold.
- Foreign buyers in Tivat pay exactly the same property taxes and transfer fees as Montenegrin citizens, with no additional surcharges or foreign buyer penalties applied.
- Montenegro's citizenship-by-investment program ended in December 2022, meaning property purchases in Tivat no longer provide a direct pathway to Montenegrin citizenship.
- The biggest ownership mistake foreigners make in Tivat is paying deposits before pulling the cadastre extract, which can reveal unregistered extensions, encumbrances, or ownership disputes that block the sale.
- Mortgage rates for foreign buyers in Tivat typically range from 5.5 to 7.5 percent in January 2026, with most banks requiring temporary residence and local income documentation for approval.
- Rental yields in Tivat average between 4 and 5 percent annually, with short-term vacation rentals in prime locations like Porto Montenegro and Donja Lastva reaching 5 to 9 percent during peak summer months.
- The entire property purchase process in Tivat typically takes 2 to 4 months from initial offer to final cadastre registration, though simpler transactions can close in 6 to 8 weeks.
What can I legally buy and truly own as a foreigner in Tivat?
What property types can foreigners legally buy in Tivat right now?
In January 2026, foreign buyers can legally purchase apartments, condos, townhouses, houses, and villas in Tivat without requiring Montenegrin citizenship or residency status.
The main restriction that applies to foreigners is that you cannot directly purchase agricultural land, forest land, or property in certain protected or strategic zones, though this rarely affects typical residential purchases in Tivat's urban and coastal areas.
When you buy an apartment or condo in Tivat, you automatically receive ownership of your unit plus a proportional share of the building's common areas, while house and villa purchases include the underlying land as long as it is classified as residential or construction land rather than agricultural.
Properties around Porto Montenegro, Donja Lastva, Seljanovo, and central Tivat are overwhelmingly classified as urban residential land, making them straightforward purchases for foreign nationals from any country.
Finally, please note that our pack about the property market in Tivat is specifically tailored to foreigners.
Can I own land in my own name in Tivat right now?
Yes, foreigners can own land in their own name in Tivat, but only if the land is classified as residential, urban, or construction land rather than agricultural or forest land.
If you are buying a house or villa in Tivat, the underlying plot typically qualifies for foreign ownership because most residential areas around Porto Montenegro, Donja Lastva, and Seljanovo are already zoned for urban residential use.
The complication arises when a property sits on mixed-use parcels or land that was historically agricultural but not properly reclassified, which is why pulling the cadastre extract before paying anything is essential for confirming the land category and your eligibility to own it.
As of 2026, what other key foreign-ownership rules or limits should I know in Tivat?
As of early 2026, the most important rule affecting foreign buyers is that your ownership only becomes legally binding and protected once it is registered in Montenegro's cadastre, not when you sign the contract or pay the deposit.
Montenegro does not impose foreign-ownership quotas on apartments, condos, or residential buildings in Tivat, so there is no limit on how many foreigners can own property in any given development or neighborhood.
You will need to obtain a Montenegrin tax identification number before completing your purchase, and most notaries and banks will require this along with your passport and proof of funds before proceeding with the transaction.
The most notable recent regulatory change is the introduction of a 200,000 euro minimum property value for foreigners seeking temporary residence based on property ownership, which takes effect in early 2026 and represents a significant shift from the previous system where any property value qualified.
What's the biggest ownership mistake foreigners make in Tivat right now?
The single biggest ownership mistake foreigners make in Tivat is paying a deposit or signing a preliminary contract before pulling and carefully reviewing the cadastre extract, which is the only document that shows the true legal status of the property.
If you skip this step and the cadastre reveals unregistered extensions, existing mortgages, ownership disputes, or land classification problems, you may find yourself unable to complete the purchase, unable to get a refund on your deposit, or stuck with a property you cannot legally resell or finance.
Other classic pitfalls in Tivat include buying apartments in buildings with illegal construction or unpermitted additions, assuming a property can be easily renovated or extended without checking coastal planning restrictions, and failing to verify that utility connections and building management fees are properly settled before closing.
We have made this infographic to give you a quick and clear snapshot of the property market in Montenegro. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Which visa or residency status changes what I can do in Tivat?
Do I need a specific visa to buy property in Tivat right now?
In January 2026, you do not need residency or a special visa to buy property in Tivat, and many foreign buyers successfully complete purchases while visiting on a standard tourist entry, provided they meet the procedural requirements for identification, banking, and notarization.
The most common administrative requirement that can slow down buyers without local residency is opening a Montenegrin bank account, as some banks require additional documentation or proof of local ties before accepting non-resident customers.
You will need to obtain a Montenegrin tax identification number before completing your property purchase, and this is a straightforward process that your lawyer can typically arrange within a few days.
The typical document set a foreign buyer must present includes a valid passport, proof of funds or financing, the signed and notarized purchase contract, and the tax identification number, with all foreign documents usually requiring certified translation into Montenegrin.
Does buying property help me get residency and citizenship in Tivat in 2026?
As of early 2026, buying property in Tivat can help you obtain temporary residence in Montenegro, but it no longer provides a direct path to citizenship since the citizenship-by-investment program closed at the end of 2022.
The government has introduced a new minimum threshold of 200,000 euros for the property value when applying for temporary residence based on real estate ownership, and existing property owners with residence permits granted under the old rules have one year to bring their status into compliance.
If you want permanent residency or eventual citizenship in Montenegro, the standard pathway requires living in the country for five years on temporary residence permits, then applying for permanent status, with citizenship by naturalization available after ten years of continuous legal residence.
Can I legally rent out property on my visa in Tivat right now?
Your visa status does not prevent you from renting out a property you own in Tivat, since rental income is taxed based on property ownership rather than your immigration status or physical presence in Montenegro.
You do not need to live in Montenegro to rent out your Tivat property, and many foreign owners manage their rentals remotely through local property management companies, though you will still need to comply with tax filing requirements and short-term rental registration rules if you operate vacation rentals.
Important details foreigners must know include registering guests with local authorities for short-term lets, paying income tax on rental earnings at a rate of around 15 percent after deductions, and ensuring your property meets safety and licensing standards if you list on platforms like Airbnb or Booking.com.
We cover everything there is to know about buying and renting out in Tivat here.
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How does the buying process actually work step-by-step in Tivat?
What are the exact steps to buy property in Tivat right now?
The standard buying sequence in Tivat starts with finding and agreeing on a property, then running due diligence checks on the cadastre and building status, followed by signing a preliminary agreement with a small deposit, preparing and signing the final contract at a notary, paying taxes and fees, and finally registering your ownership in the cadastre.
You do not always need to be physically present for every step, and many foreign buyers grant a power of attorney to their lawyer so they can sign documents and complete registration on your behalf, though you should expect to attend at least one key meeting in person unless you arrange everything remotely.
The deal becomes legally binding in Tivat when the final purchase contract is signed and notarized, which is why choosing a trustworthy notary and having your lawyer review all documents before this moment is critical.
The typical timeline from accepted offer to final cadastre registration in Tivat is 2 to 4 months, though straightforward transactions with clean title and no financing complications can close in as little as 6 to 8 weeks.
We have a document entirely dedicated to the whole buying process our pack about properties in Tivat.
Is it mandatory to get a lawyer or a notary to buy a property in Tivat right now?
Using a notary is effectively mandatory in Tivat because the notarized contract is the standard legal route to a valid and registrable property transfer, and without notarization your purchase cannot be properly recorded in the cadastre.
The key difference between a notary and a lawyer in Tivat is that the notary certifies and authenticates the contract to make it legally valid, while the lawyer conducts due diligence, checks the cadastre, negotiates terms, and protects your interests throughout the transaction.
One essential item that should be explicitly included in your lawyer's engagement scope is verifying the cadastre extract for encumbrances, ownership disputes, and building legalization status before you pay any deposit or sign any binding agreement.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Montenegro versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
What checks should I run so I don't buy a problem property in Tivat?
How do I verify title and ownership history in Tivat right now?
The official registry you should use to verify title and ownership history in Tivat is the cadastre, managed by Montenegro's Real Estate Administration, which records all property rights, ownership transfers, and encumbrances for every registered property.
The key document you should request is the cadastre extract, often called the "List nepokretnosti," which shows the current registered owner, the exact property description, any mortgages or liens, and any notes about restrictions or disputes.
A realistic look-back period for ownership history checks in Tivat is at least 10 years, which allows your lawyer to identify any irregular transfers, inheritance disputes, or unresolved claims that could affect your purchase.
One clear red-flag finding that should stop or pause your purchase is any registered encumbrance, court measure, or ownership dispute notation on the cadastre extract, as these issues can block title transfer or create legal liability for you as the new owner.
You will find here the list of classic mistakes people make when buying a property in Tivat.
How do I confirm there are no liens in Tivat right now?
The standard way to confirm there are no liens or encumbrances on a property in Tivat is by obtaining and reviewing the cadastre extract, which lists all registered mortgages, court measures, easements, and other burdens affecting the property.
One common type of lien that buyers should specifically ask about in Tivat is a bank mortgage from the seller's previous financing, which must be formally discharged at or before closing to ensure you receive clean title.
The single best form of written proof that shows lien status is the official cadastre extract itself, and your lawyer should obtain a fresh copy close to the signing date to ensure no new encumbrances have been registered since your initial due diligence.
How do I check zoning and permitted use in Tivat right now?
The authority you should use to check zoning and permitted use for a property in Tivat is the municipal planning office, which maintains urban plans and can confirm whether a property is designated for residential, commercial, or other uses.
The document or map reference that typically confirms zoning classification in Tivat is the detailed urban plan for the specific area, which your lawyer can request from the municipality or access through official planning portals.
One common zoning pitfall that foreign buyers frequently miss in Tivat is purchasing a house or villa with plans to extend, add a pool, or build additional floors, only to discover that coastal planning restrictions or Bay of Kotor protected-area rules prohibit such modifications.
Buying real estate in Tivat can be risky
An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
Can I get a mortgage as a foreigner in Tivat, and on what terms?
Do banks lend to foreigners for homes in Tivat in 2026?
As of early 2026, some Montenegrin banks do lend to foreigners for home purchases in Tivat, but the options are more limited than what local buyers can access, and approval depends heavily on your residency status and income documentation.
The realistic loan-to-value range that foreign borrowers typically see in Tivat is between 50 and 70 percent, meaning you should expect to provide a down payment of at least 30 to 50 percent of the property price.
The most common eligibility requirement that determines whether a foreigner qualifies is having temporary residence in Montenegro and provable local or international income that the bank can verify, with some banks also requiring employment with a Montenegrin employer or a local business.
You can also read our latest update about mortgage and interest rates in Montenegro.
Which banks are most foreigner-friendly in Tivat in 2026?
As of early 2026, the banks most commonly recommended for foreign mortgage applicants in Tivat are CKB (Crnogorska Komercijalna Banka), Erste Bank, and Hipotekarna Banka, all of which have established processes for handling non-local income documentation.
The single most important feature that makes these banks more foreigner-friendly is their willingness to underwrite loans based on verified international income and their experience processing documentation in English and other languages.
These banks will sometimes lend to non-residents in Tivat, but approval is significantly easier if you have at least temporary residence in Montenegro, and fully non-resident applicants should expect stricter requirements and potentially higher interest rates.
We actually have a specific document about how to get a mortgage as a foreigner in our pack covering real estate in Tivat.
What mortgage rates are foreigners offered in Tivat in 2026?
As of early 2026, foreign buyers in Tivat can expect mortgage interest rates in the range of 5.5 to 7.5 percent, with the lower end available to borrowers who have residence, strong income documentation, and lower loan-to-value ratios.
The typical difference between fixed and variable rate mortgages in Tivat is that variable rates start slightly lower but can increase with market conditions, while fixed rates provide payment certainty at a premium of roughly 0.5 to 1 percentage point above comparable variable offerings.
We made this infographic to show you how property prices in Montenegro compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What will taxes, fees, and ongoing costs look like in Tivat?
What are the total closing costs as a percent in Tivat in 2026?
The typical total closing costs for a resale property purchase in Tivat in 2026 range from approximately 5 to 8 percent of the purchase price, covering transfer tax, notary fees, legal fees, translation, and cadastre registration.
For new-build properties purchased directly from a developer, closing costs are generally lower at around 2 to 5 percent on top of the VAT-inclusive price, since the 21 percent VAT replaces the transfer tax and is usually embedded in the developer's quoted price.
The specific fee categories that make up total closing costs in Tivat include the real estate transfer tax (or VAT for new builds), notary fees based on an official tariff, legal fees for due diligence and contract review, sworn translation costs, and cadastre registration fees.
The single biggest contributor to closing costs in Tivat is the real estate transfer tax, which follows a progressive scale starting at 3 percent for properties up to 150,000 euros, rising to 5 percent for the portion between 150,000 and 500,000 euros, and 6 percent for amounts above 500,000 euros.
If you want to go into more details, we also have a blog article detailing all the property taxes and fees in Tivat.
What annual property tax should I budget in Tivat in 2026?
As of early 2026, the annual property tax for a standard owner-occupied home in Tivat typically ranges from 0.25 to 0.60 percent of the municipality's assessed market value, which for a 250,000 euro property translates to roughly 625 to 1,500 euros per year.
Annual property tax in Tivat is assessed as a percentage of the property's market value, with the exact rate set by the Tivat municipality within the national band of 0.25 to 1.00 percent, and the bill is typically payable in two installments during the year.
How is rental income taxed for foreigners in Tivat in 2026?
As of early 2026, foreign property owners in Tivat can expect an effective tax rate on rental income of approximately 10 to 15 percent of gross rent, after applying the standard expense deduction of up to 30 percent that Montenegro allows for rental properties.
The basic filing requirement for foreign owners is to declare Montenegro-sourced rental income to the tax authorities and pay the applicable income tax, which is typically around 15 percent on net rental earnings after deductions, regardless of whether you live in Montenegro or manage the property from abroad.
What insurance is common and how much in Tivat in 2026?
As of early 2026, annual insurance premiums for a standard home policy in Tivat typically range from 120 to 600 euros for apartments and 250 to 900 euros or more for houses and villas, depending on the property value, coverage level, and risk add-ons selected.
The most common type of property insurance coverage that owners carry in Tivat is a packaged home policy that includes protection against fire, water damage, theft, and third-party liability, with optional add-ons for coastal risks and natural disasters.
The biggest factor that makes insurance premiums higher or lower for the same property type in Tivat is the rebuild value and location, with waterfront properties and those in high-value developments like Porto Montenegro commanding higher premiums due to increased replacement costs and exposure to coastal weather risks.
Get the full checklist for your due diligence in Tivat
Don't repeat the same mistakes others have made before you. Make sure everything is in order before signing your sales contract.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Tivat, we always rely on the strongest methodology we can and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| Montenegro Real Estate Administration | Official state body responsible for the cadastre and property registration. | We used it to explain what ownership means in Montenegro and what documents to verify before buying. We also referenced it for the cadastre extract requirements. |
| Montenegro Government (Law on Foreigners Amendments) | Official government announcement about residence rule changes for foreigners. | We used it to explain the new 200,000 euro threshold for property-based residence permits. We also cited it for the transition period given to existing permit holders. |
| Montenegro Government (Temporary Residence) | Official guidance on residence permit categories and requirements. | We used it to explain how property ownership supports temporary residence applications. We referenced it for the evidence requirements foreigners must meet. |
| Chambers Global Practice Guides | Curated legal guide authored by practitioners covering Montenegro's legal framework. | We used it to confirm how title transfers work and the step-by-step buying process. We also referenced it for foreign ownership constraints on land categories. |
| KPMG Montenegro | Major audit and tax advisory firm with Montenegro-specific legal analysis. | We used it to explain the progressive transfer tax rates effective from January 2024. We computed example closing costs based on their documented brackets. |
| PwC Tax Summaries (Montenegro) | Widely used professional tax reference updated and reviewed regularly. | We used it to clarify resident versus non-resident taxation and rental income treatment. We cross-checked rental tax rates and deduction allowances. |
| Central Bank of Montenegro | Official central bank dataset for lending rates in the banking system. | We used it to anchor mortgage rate expectations with an official benchmark. We adjusted to a foreign-buyer range based on typical bank risk pricing. |
| Notary Chamber of Montenegro | Official professional body publishing regulated notary fees and tariffs. | We used it to explain why notary costs are predictable and regulated. We referenced it for typical notary cost budgeting as a closing cost line item. |
| Montenegro Government (Property Tax) | Official summary of annual property tax base and legal rate bands. | We used it to provide the annual property tax budget range for Tivat. We explained the municipal rate-setting within the national band. |
| CKB Bank | Major Montenegrin retail bank describing mortgage eligibility and products. | We used it to support that banks often expect residence and local income for housing loans. We grounded the mortgage discussion in bank-published criteria. |
| Lovcen Osiguranje | Established local insurer describing real insurance products sold in Montenegro. | We used it to confirm what typical home insurance looks like in Tivat. We supported budgeting for insurance as a normal ownership cost. |
| Global Property Guide | International property research platform with Montenegro price and yield data. | We used it to calibrate rental yield expectations and price trends. We cross-checked rental income tax treatment and deduction allowances. |
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Montenegro. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
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