The Montenegrin real estate market was stable before the onset of the coronavirus epidemic, with growing interest from buyers and a symbolic increase in prices. Now sales are hampered by measures restricting movement between cities, the impossibility of arrival of foreigners who were important buyers, and because people are postponing their purchase decisions due to uncertainty. This is what Milovan Novaković, head of the "Colliers International" office for Montenegro, told "Vijesta".
International real estate management and trading agency "Colliers" yesterday presented a report for Montenegro on housing construction research in 2019 and the first months of 2020, compared to 2018, according to which there was an increase in apartment prices by less than one percent.
"Since the onset of the pandemic in March, we have been monitoring the market situation on a daily basis. Currently, it is a short time interval, so that the movement of the impact of the pandemic on the real estate market can be predicted. The market has just slowed down for now. If the economic crisis continues and deepens, we can expect a decrease in customer interest, a drop in turnover and prices, as well as poor business performance of companies dealing with housing construction and real estate brokerage and sales," said Novaković.
"Colliers International" has been conducting real estate market research for Montenegro for the sixth year - housing, not including luxury projects such as Porto Montenegro, Luštice Bay, Portonovo and similar, as well as prices from subsidized programs such as union and solidarity housing construction where the prices are not commercial.
"The conclusion of the research is that the prices of this type of real estate until the outbreak of the pandemic were stable compared to the previous period. Prices per square meter in Montenegro for residential real estate depend primarily on the region where the buildings are built, then on the location in the cities, as well as on the quality of construction, i.e. the level of equipment. The research covered the whole of Montenegro, where it was established that apart from the coastal and central regions, less construction is being done in the north of Montenegro and where certain zones are not market active", Novaković pointed out.
Prices in Podgorica
According to the research, in Podgorica in the zone of the cadastral municipality "Podgorica 1", which includes the part of the city of Preko Morača and the now attractive zone along the Cetinjski road, as well as the cadastral municipality "Tološi" where there are also new quarters behind Block Six, the average achieved price per square meter in new construction, depending on the investor and microlocation characteristics, it was 1.375 euros.
In the "Podgorica 2" zone, which includes the center of the city - Mirkova varoš, the settlement under Gorica, Ibričevina, the closer part of Maslin and Zagorič, the average price of a new residential building was 1.275 euros per square meter.
In "Podgorica 3", which includes Stara varoš, Durrës, Pobrežje, Zabjelo, Zelenika, Stari aerodrome and Konik, the average price achieved in new construction was 1.097 euros per square meter.
"The change in prices compared to 2018 is symbolic. In "Podgorica 3" the growth was 0,18 percent, in "Podgorica 1" and Tološi by 0,08 percent, and in "Podgorica 2" a growth of 0,98% was recorded. In the case of old residential buildings, the average achieved price in "Podgorica I" and Tološi is 1.000 euros per square meter, in "Podgorica 2" 1.050 euros, and in "Podgorica 3" 850 euros per square meter, it was stated in the research.
Tivat significantly more expensive than Budva
In Budva, the average achieved price in new construction was 1.600 euros per square meter, and in Bečići it was 1.950 euros per square meter. Prices in the area of Petrovac, Svetog Stefan, Bečić and Buljarica had an increase of 0,89 percent, while for the center of Budva, Maine and Prijevor the increase was 2,03 percent. In the case of old buildings, the square footage of residential space was from 1.250 euros in Petrovac, 1.200 euros in Budva and Bečići to 950 euros in Prijevor.
In Tivat, the average price per square meter of a new building was 2.820 euros, with an increase of 0,47%. For old buildings, the square meter in Donja Lastva was 1.350 euros, 1.150 in Radovići, and 1.300 euros in Tivat itself.
In Ulcinj, the average price of a new building was 1.000 euros per square meter in Ulcinjsko polje, up to 1.190 euros in the center, i.e. the same as last year. A square meter of the old building cost an average of 770 euros.
The average price of a new building in Bar was 1.420 euros, with an increase of 0,54%. The price of the old building in Novi Bar was 1.100 euros, and in Sutomor 900 euros.
In Kotor, the increase in the prices of new buildings amounted to 1,76% to 1.970 euros per square meter. In old buildings, the highest prices were in Stolivo at 1.350 euros, while in other neighborhoods the price per square meter is 100 euros cheaper.
In Herceg Novi, the average price of new buildings was, as last year, 1.500 euros, while in old buildings it was from 1.450 in the center to 1.100 euros in Kuti.
In Cetinje, prices are at the level of last year - 1.010 euros per square meter in new buildings, while in old buildings, a square meter apartment is sold for 720 euros.
In Nikšić, a new building cost 880 euros, and an old building 600 euros per square meter. There were no changes in Bijelo Polje either, where the square footage of new buildings was 870 euros, and old buildings were 700 euros. In Berane, the price of new buildings rose by 1,52% to 860 euros, while in old buildings the price per square meter was 600 euros.
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