Construction in Germany: disassemble risks
How to make money on real estate in Europe? The most obvious option is to rent it: for example, to local residents, tourists or students. But analysts are talking about…

Continue reading →

3 reasons why the German real estate market is not threatened by a price collapse
There is a general opinion: the German economy is one of the most stable in the world. Real estate prices in Germany have been growing steadily for eight years. However,…

Continue reading →

Green building: fashionable and profitable
In October 2017, Saudi Arabia presented an ambitious project of a “smart” and environmentally friendly city on the Red Sea coast “Neom”. According to the authors, the city will receive…

Continue reading →

Montenegro will launch a program for obtaining citizenship for investment

On July 26, the Montenegrin authorities announced the launch of a citizenship for investment program. To get a passport, an investor must buy property on its territory and invest 100 thousand in a special development fund of the country. For the lagging regions in the north, the minimum cost of facilities is 250 thousand euros, for developed southern ones – 450 thousand. The program will start operating from October 2018. The number of participants is limited: in two years, only 2 thousand applicants will receive Montenegrin citizenship.

What does a passport give?
The passport of Montenegro provides visa-free entry to 123 countries of the world, including all Schengen countries. However, Montenegro is not a member of the European Union (although it is considered an official candidate since 2010) and is not included in the Schengen zone, therefore its citizenship does not allow to live in another country.

Passports of EU member states are several times more expensive. Maltese citizenship can be obtained for at least 816 thousand euros, Cyprus or Austria – for 2 million euros. “Since Montenegro is currently only a candidate for EU membership, it will not be able to create competition for EU programs,” said Ekaterina Maslova, Tranio’s client relations manager.

However, foreign investors should be aware of: until the country has joined the agreement on the exchange of financial information. “This means that if a client opens an account at a bank in Montenegro, the bank will not send information about this to the tax authorities of the country where the client resides,” explains Ekaterina Shabalina, a lawyer at Tranio.

International investors are already showing interest. “I had a couple of requests from South Africa, and my clients are primarily interested in a residence permit. They applied as soon as the information about the program appeared, – says Svetlana Larionova, Tranio’s manager for the sale of real estate in Montenegro. – In my opinion, if the conditions are acceptable and the objects are interesting for investment, the demand for the purchase of real estate in Montenegro should increase. In any case, from those countries where the European residence permit is relevant. ”

Real estate market
The global financial crisis of 2008 greatly affected the real estate market in Montenegro: according to The New York Times experts, the cost per square meter in the middle of 2009 collapsed by 20–30% and has not yet recovered. According to official statistics, in the fourth quarter of 2017, residential real estate in the primary market of Montenegro cost an average of 1,079 euro / m² – 11% more expensive than a year earlier, but, for example, 3% cheaper than at the end of 2015. However, the market is expanding: in 2017, 7% more permits for the construction of residential facilities were issued than in 2016, and 36% more than in 2015.

Montenegro real estate market
Experts believe in rising prices. Thanks largely to tourists: according to the Statistical Office of Montenegro (MONSTAT), the number of their arrivals increased from 1.5 million in 2013 to 2 million in 2017. The overwhelming majority of guests are tourists from abroad: Russia, Serbia, Bosnia and Herzegovina, Ukraine and Germany. They prefer to rest on the coast: 95% of overnight stays fall on the coastal resorts in the south of the country. Real estate here is much more expensive than in the north. Thus, according to MONSTAT, if in Podgorica, Bar and Budva, located in the southern part, real estate costs 1 119, 1 105 and 1 212 euro / m², respectively, in other cities – an average of 881 euro / m².

A two-room apartment in Budva with such a sea view will cost 180 thousand euros
A two-room apartment in Budva with such a sea view will cost 180 thousand euros

How to invest in German development projects
For the last three years, we have been actively looking for projects for investment in Germany, but every year it is becoming more and more difficult to find them, because…

...

Investment in rental business in Greece: European residence permit and high profitability amid rising prices
On August 30, the Independent Public Revenue Authority of Greece (AADE) announced the launch of a digital registry for those who rent out Greek property for short-term rent through online…

...

European hotel market: where to invest more profitable?
More and more people travel the world. According to the World Tourism Organization (UNWTO), in 2017 the number of international arrivals in the world reached a record 1.3 billion. The…

...

Rental business in Germany: what does an investor need to know before buying?
The German real estate market is one of the most stable in the world. Today it’s a seller’s market: there are fewer facilities here than investors who want to buy…

...