Some investors in Montenegro are temporarily delaying apartment sales, while asking prices in some projects have been adjusted upward by 100 to 200 euros per square metre, Stefan Mišković, president of the Association of Real Estate Agencies, told Bankar. Agencies are also receiving more inquiries, particularly for completed, move-in-ready homes, as buyers anticipate higher purchasing power after the Euro model takes effect. The expected wage increases have not yet begun to be applied.
The delays involve individual investors, not a market-wide withdrawal of apartments, and the association has no consolidated count of the units affected. Some investors are holding back part of their stock or postponing its release until the beginning of next year, expecting changes in purchasing power and a possible increase in demand.
The association monitors information on Montenegro’s property market but does not have a combined record of the number of apartments temporarily withdrawn from sale. “We do not have consolidated records that would allow us to give a precise number of apartments,” Mišković said. The cases are concentrated in new-build projects and among investors with larger numbers of residential units.
The recorded price adjustments concern advertised prices, not confirmed sale prices. The association does not have enough information to establish that increases of 100 to 200 euros per square metre have spread across the wider property market. The figures therefore describe asking-price changes in some projects, rather than a confirmed increase in completed transactions throughout Montenegro.
Even a relatively small number of investors limiting sales could reduce available supply in particular developments and price categories if buyer interest rises at the same time. The association has not quantified how many homes may be affected, so the scale of any local supply impact remains unclear.
Buyers seek completed homes
Real estate agencies are recording more inquiries from potential buyers, with particular interest in completed and move-in-ready apartments. Some people are trying to buy before a possible new round of price increases because they do not want the same apartment to cost more in a few months.
Buyers “are trying to take advantage of current market conditions and complete a purchase before possible further price adjustments,” Mišković said. Agencies have also reported an increase in business volume, indicating that activity in the property market has picked up again.
More inquiries and stronger interest do not necessarily mean a proportional increase in completed sales. Data from the coming period will show how much of the interest turns into signed contracts. The current rise in inquiries is evidence of buyer interest, but does not establish that an equivalent increase in purchases has taken place.
Mišković sees a real possibility of further property price increases during 2027, particularly if higher wages boost demand and the supply of homes does not increase accordingly. He expects the market to remain active over the next six months, with additional price adjustments possible.
The greatest price pressure could affect apartments bought to meet housing needs, especially in Podgorica, where domestic demand is continuous. A limited supply of apartments has been a chronic problem in Montenegro for several years, following multiple factors that slowed the development of new residential projects.
Wage expectations and supply
The prospect of higher wages is already influencing some sellers’ and investors’ expectations, even before the increases take effect. “The announcement of wage increases has already affected the expectations of some sellers and investors,” Mišković said. Their expectations about prices reflect anticipated future demand as well as the current level of buyer interest.
Some investors believe that greater purchasing power could generate additional demand and create room for higher sale prices. Mišković cautioned against creating “artificial pressure on supply” and said prices should reflect actual market conditions, not only expectations about future purchasing power. He described the temporary delays as individual cases rather than a systemic withdrawal from the market.
He warned that it would be a poor outcome if higher wages mainly led to more expensive property instead of improving living standards. “Wage increases should contribute to a better standard of living, not be fully passed through into higher property prices,” he said. The concern is that gains in nominal wages could be offset if housing costs rise in response to stronger demand.
Mišković expects the state to apply safeguards so that higher nominal wages do not end up solely as additional profit for investors and businesses, but instead contribute to a real improvement in residents’ living standards. He proposed increasing the supply of apartments, offering more favourable conditions for new housing projects, building in suburban locations and making housing finance more accessible to citizens.
“It is necessary to work in parallel on increasing the supply of apartments” and improving access to housing finance, Mišković said. The coming period’s sales data will show whether the increase in inquiries becomes completed transactions, while investors decide when to release apartments they have held back.
