How to make your property fully legal under the new law?

1. What the new law introduced

The new Law on the Legalization of Illegal Buildings, which entered into force on August 14, 2025, significantly changed the process of registering old and unregistered houses in Montenegro. Key changes include:

• A strict 6-month deadline for submitting legalization requests (August 2025 – February 2026)

• Legalization is again a special procedure (lex specialis), separate from general construction regulations

• Introduction of the Urban Rehabilitation Fee

• Mandatory removal of buildings that cannot be legalized

• Possibility of long-term payment plans (up to 30 years) for primary residences

2. Step-by-step legalization procedure

1️⃣ Check whether the house can be legalized

The building must appear on the official ortho-photo map and must not be located in prohibited zones (riverbeds, protected areas, infrastructure corridors, military zones, etc.).

2️⃣ Hire a licensed surveyor (geodeta)

A surveyor prepares the Elaborate of the Existing Condition, which includes:

• floor plan and dimensions

• surface area

• exact position on the parcel

• photos and technical data

3️⃣ Submit the elaborat to the Cadastre

The Cadastre registers the building as an “object recorded for legalization.”

4️⃣ Submit the legalization request to the municipality

Municipalities handle buildings up to 500 m², while the national Legalization Directorate handles larger or sensitive objects.

Required documentation:

• verified geodetic elaborat

• photo documentation

• proof of ownership

• basic identification data

5️⃣ Field inspection

A municipal commission verifies the object’s dimensions, stability, and compliance with planning documents.

6️⃣ Calculation of the legalization fee

The fee is based on:

• location (zone)

• purpose of the building

• total floor area

7️⃣ Decision and entry into the Cadastre

Once the fee is paid (or an installment plan begins), the municipality issues the Legalization Decision, and the house is officially registered.

3. How much does legalization cost?

Prices vary significantly by municipality and zone.

Residential buildings

• A few €/m² in northern and rural areas

• Up to around 100 €/m² on the coast

• Central Podgorica zones may be higher

Tourist and luxury buildings

• 400–800 €/m², sometimes even more depending on category

Additional costs

• Geodetic survey: 150–500 €

• Administrative fees: 10–50 €

• Structural assessment (if needed): 100–300 €

4. How long does the process take?

Time to submit the request:

➡️ 6 months from the law entering into force (August 2025 – February 2026)

Processing time by municipality:

The legal intention is to finalize cases within 2 years, but real times vary.

5. What happens if a house is NOT legalized?

If the request is not submitted or the house cannot be legalized:

No registration in the Cadastre

Meaning: no sale, no mortgage, no transfer, no inheritance clarity.

No reconstruction or building permits

Unregistered buildings cannot receive any official approvals.

Risk of demolition

Inspection authorities are required to order removal of non-legalizable buildings.

Financial penalties

Significant fines apply, especially for repeated violations.

Conclusion

Legalization in 2025 is a one-time opportunity to secure full ownership rights and market value of your property. Although the process can be lengthy, the benefits are substantial:

✔ legal certainty
✔ ability to sell, renovate, or inherit
✔ full inclusion in the land registry

If you plan to legalize your house, it’s best to start early:

• hire a surveyor

• prepare the necessary documents

• contact your municipality for fee information

Or Call Storia Nova Real Estate Agency for Consultation... +382 68 040 060