This year, the most valuable real estate sold in Montenegro is a villa along the coast, priced at just over ten euros, according to Stefan Mišković, President of the Association of Real Estate Agencies.

He mentioned on television that real estate prices surged by as much as 70% since the onset of the Corona crisis, noting that the average price per square meter in Monstat’s statistics for the second quarter is 1,800 euros.

“The driving factors behind this include inflation, alongside the potential for economic reforms that promise to increase earnings, thereby enhancing credit availability, which in turn fuels demand,” Mišković elaborated.

According to him, the average price per square meter does not reflect the true market conditions along the coast, as, except for Ulcinj, there are no properties priced below 2,000 euros per square meter.

“In the north, construction is mostly limited to Žabljak and Kolašin. Žabljak stands out for its natural beauty, and during the summer tourist season, smaller plots and cottages are gaining popularity due to minimal previous development in that region,” he added.

Demand Continues, Construction Lags

Mišković noted that while demand in the real estate sector is apparent, supply remains limited, and construction activities have declined relative to previous years.

He pointed out that demand is particularly high in Podgorica, where small apartments are the most sought after.

The majority of properties are being sold during the construction phase.

“Smaller one-bedroom apartments range from 35 to 43 square meters, while two-bedroom options are typically between 55 to 65 square meters. The sales strategy, however, is influenced by location. In desirable areas such as Gorica C, Morača, and other attractive parts of the city where prices are generally higher, demand is substantial,” Mišković noted.

Rental Prices Remain High

Rental costs, largely driven by demand from Russians and Ukrainians over the past two years, have decreased by about 10% since March.

“Studios typically rent for between 270 and 350-400 euros, with prices varying based on size and location. The most in-demand areas include Morača, Central Point, Master Quarter, and City Quarter, where prices mostly range from 350 to 400 euros. One-bedroom apartments in less sought-after locations range from 350 to 450 euros, while those in more desirable areas can go from 450 to 700 euros,” Mišković explained.

Rental prices for two-bedroom apartments vary from 550 to 800 euros (monthly) in less attractive locations, and from 700 to 2,000 euros in better areas, while three-bedroom apartments can reach up to 3,500 euros.