What taxes and costs apply when buying property in Montenegro?

For resale properties, buyers pay a property transfer tax of three percent of the purchase price. New-build purchases from a developer are subject to VAT at twenty-one percent, which is typically included in the listed price. Notary fees are modest, generally around zero point one percent of the property value. Legal representation from a Montenegrin attorney is strongly advised and typically costs one to two percent of the transaction value. If a certified court interpreter is required at the notary, translation fees apply at a fixed hourly rate. In total, buyers should budget approximately three to five percent above the purchase price for all transaction costs on a resale acquisition. Annual property ownership tax is applied at a rate of zero point two five to one percent of the assessed value, depending on location and property type. Rental income is taxed at a flat rate of fifteen percent.