Montenegro Introduces New Legalization Law: Faster Process and More Affordable Terms
Montenegro has adopted a new law aimed at streamlining the legalization of illegally constructed buildings, the Ministry of Spatial Planning announced in the TV program “Okvir.” Unlike the 2017 legislation, the updated law removes the requirement for urban planning documents to be in place before legalization can begin, significantly simplifying the process.
Citizens have a six-month deadline to submit their applications. Both the legalization process and the purchase of state-owned land can be paid in installments, or with a 20% discount for one-time payments. Local governments will determine the exact fees, but the recommendation is to keep them at 2020 levels, with additional incentives provided.
While real estate agencies have raised concerns over the provision that prohibits the sale of illegally built properties, the Real Estate Administration said the exact number of such buildings will be known after the application deadline. Currently, around 62,000 unregistered buildings are recorded, but the final number could reach 100,000.
According to State Secretary Marina Izgarević Pavićević, all owners of illegal structures must apply for legalization within six months. After that, local governments must notify applicants of the required documents—primarily a certified geodetic survey and confirmation that the building appears on the Ministry’s upcoming satellite imagery, which will be publicly available within a month. Inclusion in planning documents is no longer mandatory, except for buildings located in protected areas like national parks.
For buildings up to 200 m², a personal statement from the owner regarding structural safety and functionality is sufficient. Those between 200 m² and 500 m² require documentation from a certified firm, and buildings over 500 m² must undergo detailed structural and seismic assessments, including expert reviews. Owners of unsafe buildings will have up to three years to make structural improvements.
For properties built on state-owned land, local governments will issue public calls allowing citizens to purchase the land beneath their homes. These calls are expected to start on September 14, though delays are possible.
All pricing will reflect market rates, and illegal structures will pay the same as legal ones, with the benefit of extended payment deadlines—up to 30 years for primary residences and 10 years for other types of buildings. If someone owns a registered home in one municipality and an illegal one in another, the second property will not be considered their primary residence—unless the legal property is deemed uninhabitable.
Marko Bulatović, Director of the Real Estate Administration, noted that although all applications will be accepted within the six-month window, processing them will take more time due to the scale of the task.
Citizens who applied for legalization back in 2017 can continue their process under the new, more favorable legal terms. According to Marija Kljajić from the Union of Municipalities, local governments are prepared for the new process. Municipalities have three months to adjust their internal regulations regarding zoning, fees, and other details. Citizens will be able to get the most up-to-date information from their local offices.
Stefan Mišković, president of the Association of Real Estate Agencies, highlighted some unresolved issues, such as minor building code violations (e.g., an extra floor), and how they affect all residents in a building. There are also questions regarding inheritance, property gifting, and whether a usage permit is enough to remove legal restrictions.
He pointed out that while the Law on Mediation does not define what can or cannot be sold, unauthorized structures currently cannot be legally transferred.
The show also revealed that many municipalities lack sufficient inspection staff to monitor construction activity, so some responsibilities have been shifted to municipal communal services. Kljajić mentioned that local governments have requested an extension to secure enough staff for effective inspections.