On 12 May 2026, the new Act on Amendments to the Act on the Prevention of Money Laundering and Terrorist Financing (Zakon o izmjenama i dopunama Zakona o sprečavanju pranja novca i finansiranja terorizma) comes into force. Published in Službeni list Crne Gore, broj 59/2026.
Changes to real estate transactions are outlined in Article 65a. The new restrictions state:
Restrictions on real estate transactions
Article 65a
The execution of transactions based on an agreement or preliminary agreement for the purchase and sale of real estate, as well as other legal transactions by which the right of ownership or other property right to real estate is acquired or transferred, when the price of the subject real estate is 10.000 euros or more, in the case of a payment transaction, may be implemented only if at least one participant in the legal transaction carries out a payment transaction for the subject transaction in favor of or from a transaction account opened in a credit institution in Montenegro.
The obligated person from Article 4, paragraph 4 of this Law is obliged to refuse to draw up and certify a notarial deed that ensures the avoidance of the use of the national payment system of Montenegro in connection with paragraph 1 of this Article.
If a payment transaction based on a contract or preliminary contract for the purchase and sale of real estate, as well as other legal transactions by which ownership or other property rights to real estate are acquired or transferred, was carried out prior to the certification of the legal transaction, the notary is obliged to obtain proof of the implementation of the payment transaction.
A mere statement about the implementation of a transaction by a participant in the transaction cannot be considered evidence.
What this means for us:
Payments made outside Montenegro's borders are no longer grounds for transferring property ownership. Notaries will no longer process such transactions. Consequently, the cadastral register will no longer register them.
All transactions must be made through a current account opened in a Montenegrin bank by one of the parties to the transaction. This can be either the current account of the party to the transaction or an escrow account of the organization, if the notary or real estate agency is willing to assume the risk of verifying the origin of the party's funds. Escrow payments pose too high a risk for the third party in terms of financial and criminal prosecution by the regulator, and time will tell how this plays out in practice.
The situation for sellers and buyers from Russia is complicated by the fact that, since the country is under sanctions, Montenegrin banks do not process payments to or from Russia.
Hidden purchase and sale under the guise of a gift
Some unscrupulous real estate agencies have already begun offering buyers the option of transferring ownership through a deed of gift. We strongly recommend avoiding this method of transferring ownership.
There are 3 possible scenarios when transferring ownership rights through a gift agreement:
- Cancellation of a gift (opoziv poklona)
Grounds: gross ingratitude of the recipient, deterioration of the donor's financial situation, failure to fulfill obligations if they were part of the contract. Grounds: the Law on Obligatory Relations of Montenegro (Zakon o obligacionim odnosima).
The term is 1 year from the moment the donor learned of the grounds for cancellation.
- Challenging by heirs
Heirs usually do not challenge the agreement itself, but demand: the return of property to the estate, a reduction in the donation, and protection of the obligatory share (nužni dio).
The term is 3 years from the DAY OF DEATH OF THE TESTIMONY.
- Hidden purchase and sale under the guise of a gift
A situation where an agreement on a bow was drawn up, but in fact money was transferred, i.e. the transaction was fictitious (simulovani pravni posao).
If the nullity (ništavost) of a sham transaction is declared — THERE IS NO STATUTE OF LIMITATION.
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