Rental market in 2025: trends and prices

After the peak price growth in 2022, the real estate market of Montenegro stabilized in 2025. There is a tendency toward a slight decrease in costs; however, the seasonal factor remains decisive. During the summer period, prices can increase by 2–3 times compared to the winter season.

The most advantageous time to search for long-term rentals is the off-season (December–February) or autumn (September–October). During this period, the selection of properties is wider and prices are lower.

Recommendation: To protect yourself from seasonal eviction or price increases, sign an annual contract with a fixed monthly payment.

Housing costs in Budva and surrounding areas

Prices vary depending on location and type of housing. In remote areas and suburbs, rent is 30% cheaper, but requires owning a car due to weak infrastructure.

Current rates for 2025 (Budva):

Studios: 450–1000 euros/month.
One-bedroom apartments: 450–700 euros/month.
Two-bedroom apartments: 650–1400 euros/month.
Houses/floors: 300–1500 euros/month.

Utility costs are not included in the rent. On average, they amount to 35–100 euros per month (electricity, water, garbage collection, internet). Note the absence of central heating: in winter, electricity bills increase sharply due to heating with air conditioners or heaters.

Housing search: independently or through an agent

There are two main ways to find real estate:

Real estate agencies. The commission is about 10% of the rental price, but it is often paid by the owner. The risk of seasonal eviction when working with licensed intermediaries is reduced to 5–10%.
Independent search. Use Facebook groups (for example, Montenegro Expat Group) or specialized websites. The risk of fraud is higher here.

Attention: Never transfer an advance payment for a “reservation” without a personal inspection of the property and verification of the owner’s documents. This is a common fraud scheme in Telegram channels.

Legal formalization and contract

For legal residence and obtaining a residence permit (boravak), a notarized contract is required. The cost of notary services is 10–20 euros.

Mandatory contract clauses

Passport details of both parties.
Exact address and description of the property (area, number of rooms).
Lease term and renewal conditions.
Rent amount and payment procedure.
Deposit return conditions.
Rights and obligations (who pays for minor repairs).

Before signing, require the owner to provide the List nepokretnosti — a certificate of ownership, to ensure there are no encumbrances and that the owner’s status is legitimate.

Lifehack: Owners often avoid notaries due to taxes. Offer to specify a lower rent amount in the official contract if it helps convince the owner to go to a notary. A notarized contract is your only protection against eviction.

Deposit and hidden payments

The standard deposit amount is 1–2 months’ rent (in the premium segment — up to 3 months). The deposit serves as a guarantee of property preservation.

Statistics show that in 80% of cases landlords try to withhold part of the deposit upon move-out, citing cleaning or minor damage.

To minimize losses:

Take photo and video documentation of the apartment’s condition upon move-in.
Specify refund conditions in the contract.
Agree to use the deposit to cover the last month of residence.

Pitfalls and housing defects

When inspecting an apartment, pay attention to its technical condition, as hidden defects may appear later.

Mold and dampness. Critical for coastal areas in winter. Check corners and the quality of waterproofing.
Heating. Tiled floors without underfloor heating make apartments very cold in winter.
Internet. Test the speed on site; in some areas the connection is unstable.
Debts. Request utility payment receipts from previous tenants so that others’ debts do not transfer to you.

If the owner requires prepayment for six months in advance, be cautious: this may be a sign of problematic housing or an attempt at fraud.

Rental market in 2025: trends and prices