Real estate and living costs rise across the Balkans and EU

Rising living costs and real estate prices are impacting households across several regions. In Bosnia and Herzegovina, heating costs for pellet-based systems could exceed 4,000 KM for certain households, while property prices in major cities like Sarajevo, Banja Luka, Tuzla, and Mostar continue to reach record highs. Experts note that high material costs, permits, and labor are driving these increases.

In Montenegro, the high demand for housing in Podgorica has prompted the municipality of Bijelo Polje to approve housing loan subsidies of up to 10,000 EUR for young couples to prevent internal migration. Meanwhile, the Montenegrin real estate market faces potential shifts due to upcoming economic model changes expected in 2027.

In Slovenia, the Geodetska uprava Republike Slovenije reported that average prices for used apartments reached 3,520 EUR per square meter in the first half of 2026, with Ljubljana seeing prices exceed 5,600 EUR per square meter. Additionally, the European Commission warns that high fuel prices in the EU are expected to persist through 2027, complicating the economic outlook for citizens and industry.