Montenegro forms inspection team to combat illegal real estate agencies

Montenegro is launching a specialized inspection team to crack down on an illegal real estate market. According to the Association of Real Estate Agencies, only about 300 agencies operate in full compliance with regulations, while more than 1,000 others are functioning in the ‘grey zone’.

This surge in unregulated activity, involving many foreign nationals, has been linked to the construction boom since 2022. Stefan Mišković of the Association noted that many agencies operate through social media and messaging platforms, such as Telegram groups with tens of thousands of members, facilitating significant amounts of unreported income.

To address this, the state has formed an inspection team that will collaborate with tax, market, and economic crime authorities, as well as the police. Under new inspection laws, authorities may receive court approval to enter premises if there is reasonable suspicion of illegal activity. Proposed legislative changes also aim to introduce fines of up to 20,000 euros for violations.