Real estate in the Balkans: 2023

In recent years, the Balkans have become an increasingly attractive destination for foreign investors - the diversity of landscapes, natural beauty, and various cultural traditions make this region appealing for real estate investments. However, we have also witnessed a dynamic real estate market in recent years. Numerous factors, such as the current geopolitical situation, the balance of supply and demand, available mortgage loans and interest rates, as well as the conditions for foreign investors, directly impact the market. Considering this, in this blog post, we will explore real estate prices in the Balkans in 2023, as well as the conditions and tax obligations for foreign investors in several key countries.

Real estate in Montenegro is the most profitable investment for foreign citizens.

The good real estate offer in Montenegro has been attracting foreign investors in recent years for several reasons - favorable taxes and accessible financial opportunities make this venture a valuable investment object. For many, Montenegro is a bastion of various traditions with a rich cultural heritage and picturesque history, which is reflected in its architecture, gastronomy, and lifestyle. Property prices along the Montenegrin coast are rising, and popular destinations such as Budva, Kotor, and Tivat are in high demand. However, prices can vary depending on location, type of property, and market conditions. For instance, a one-bedroom apartment (new construction) in Rafailovici, measuring 40 square meters, costs around 147,000 euros, while in Budva it is slightly more expensive - a studio of about 20 square meters costs around 75,000 euros. Foreign citizens can purchase property in Montenegro under the same conditions as local citizens - they only need to have a valid passport and personal ID card. There is one catch - if you plan to stay in your new home for more than 90 days, you need to obtain a residence permit. There are two types of residence permits - a short-stay visa (C) and a long-stay visa (D).

Real estate in Croatia - coastal destinations are the most popular choice for investors.

The real estate market in Croatia is active, especially along the coast and in popular tourist destinations. Cities like Dubrovnik, Split, Zadar, and Rovinj attract investors with their cultural heritage, beautiful beaches, and tourist infrastructure. Property prices vary depending on location, proximity to the sea, size, and condition of the property. Foreign investors have the opportunity to purchase real estate in Croatia, but there are certain restrictions for foreigners from the EU, who can only buy specific types of properties. The tax obligation for foreign investors includes paying a property transfer tax, which is 4% of the property's value. The most expensive apartments are in Split, where the price per square meter ranges from 3000 to 8000 euros. On the other hand, the most affordable destination is Osijek, where prices for new construction range from 1700 to 2000 euros per square meter.

Real estate in Serbia - gradual growth.

The real estate market in Serbia is showing stability and gradual growth. Belgrade is the main center of interest for investors, but other major cities like Novi Sad and Niš are also experiencing increased demand. Property prices in Serbia are relatively affordable compared to some other European countries, but they can vary depending on the location and type of property. Data shows that in Belgrade, 15.4 million euros more was spent on property purchases than in the same period last year. Additionally, the highest number of sales contracts, 6,924, was also concluded in the capital. In the first quarter of 2023, the average price per square meter in Belgrade was 2,409 euros, in Novi Sad it was 2,304 euros, while in Niš it was slightly more affordable at 1,441 euros. Foreigners can purchase property in Serbia under the same conditions as local citizens. The tax obligation for foreign investors includes paying a transfer tax of 2.5% of the property's value.

Real estate in Greece is one of the most affordable.

Greece is known for its beautiful islands and Mediterranean charm, making it an attractive destination for investors. Foreign investors can purchase real estate in Greece, but there are certain restrictions for properties located near the border or on islands. The average price per square meter in Halkidiki is €1,875, while in Thessaloniki it is €1,762. The tax obligations for foreign investors include paying a property transfer tax ranging from 3% to 24% of the property's value, depending on its price and type. To purchase real estate, documents such as a passport or ID card, proof of residence, and permission to buy property are required. Each country has its own conditions, tax obligations, and documentation that should be considered when buying real estate. It is important to thoroughly research and consult with professionals before making a decision on this type of investment. The Balkans are a region that attracts more and more investors with their beauty, culture, and business opportunities, and the right approach to real estate investment in this region can be a profitable and rewarding experience. Stay tuned to our website for even more interesting articles!