Construction Defects, Fraud, and Scams in Property Purchases in Montenegro

Introduction

Purchasing property in Montenegro can be a lucrative and rewarding investment. However, there are numerous challenges that potential buyers should be aware of to avoid falling victim to construction defects, fraud, and scams. As a German real estate expert and managing director of BIALENO.ESTATE, together with my team of German experts in construction and renovation, as well as lawyers and tax advisors, I want to share our services and insights to help you make a safe and successful property purchase.

Significant Construction Defects and Moisture Damage

Property buyers in Montenegro should be especially cautious when evaluating houses and apartments. A common issue is significant construction defects, often accompanied by moisture damage and mold. The coastal region of Montenegro is particularly affected by moisture damage due to the high humidity. The causes of these issues are not only the climatic conditions or improper ventilation but also defects in construction, such as faulty waterproofing, inadequate insulation, or the frequent lack of heating, air conditioning, and ventilation systems, which can often be retrofitted.

Causes and Effects of Moisture Damage

Moisture damage can have various causes. In addition to the naturally high humidity, construction errors play a significant role. Insufficient waterproofing at foundations, walls, and roofs leads to moisture infiltration into the building. Poor insulation also contributes to moisture retention, which can lead to mold formation. These damages not only affect the building structure but also the health of the residents.

How We Help

Our team at BIALENO.ESTATE inspects each property with moisture measurements to identify potential defects early on, before purchase. We work closely with construction and renovation experts to ensure that, in the case of minor damages, an immediate cost-effective renovation is carried out at the client’s request.

Land Purchase and Construction Planning

Another key issue when purchasing property in Montenegro is acquiring land and planning construction projects. Many of the offered plots are not urbanized, meaning they are not approved for construction. In such cases, it is important to first clarify the chances of obtaining construction approval and the likelihood of obtaining a building permit.

Obstacles in Construction and Choosing the Right Construction Company

Once a building permit has been issued, further challenges arise. The next hurdle is the actual construction of the property. The question arises as to which construction company should be hired. From our experience, there are only a few companies in Montenegro that are considered reliable and reputable. Therefore, it is advisable to thoroughly research and consult with experts beforehand.

How We Help

We are happy to provide advice on this topic as well, using professional expertise and, in some cases, in collaboration with reputable partner companies. By working together with an experienced team, you will ultimately get exactly what you envision. We not only offer our clients the highest level of professionalism in brokering properties and land but also provide a reliable team of construction professionals and interior designers.

Benefits of Working with BIALENO.ESTATE

Working with an experienced and trustworthy partner like BIALENO.ESTATE offers numerous benefits. In addition to expert advice from long-time real estate professionals, our clients benefit from comprehensive services covering the entire purchase process. These services include legal examination of properties, ensuring building permits, and overseeing construction execution. This ensures that the property purchase in Montenegro goes smoothly and without unpleasant surprises.

Avoiding Fraud and Scams

Corruption and fraudulent practices are unfortunately an issue in many parts of the world, and Montenegro is no exception. There are various types of fraud that buyers need to watch out for.

Common Fraud Methods

• Fake Documents: Sellers may present fake property documents to deceive buyers.
• Overpriced Properties: Some real estate agents and sellers set unrealistically high prices, especially for foreign buyers.
• Unclear Ownership: Sometimes a property or plot may be sold multiple times or have legal ambiguities.
• Plots with and without buildings are often offered as legalized properties, even though they are not in reality.

How We Help

Of course, all documents are carefully examined by our lawyers and notaries before the transaction is completed, following our prior research and evaluation, to ensure that all legal aspects are covered. This way, we help you avoid inflated prices and fraudulent offers.

Comprehensive Services

For our clients, it is a given that they receive everything from a single source. Our service includes:

• Searching for and selecting suitable properties and plots
• Thorough inspection and evaluation of properties
• Legal and tax advice from our experts
• Assistance with negotiations and contract finalization
• Expert advice on new construction projects

In connection with purchasing a property from BIALENO.ESTATE, the consulting services of our lawyers and tax advisors are partially free or heavily discounted for our clients.

Unlike many real estate agents in Montenegro, we are happy to specifically search for the right property or plot on behalf of our clients and carefully examine it. This saves our clients valuable time by avoiding unnecessary property/land viewings that do not meet their requirements.

Honesty and Community

In an ever-growing German community, it is our desire to work together, practice honesty on an equal level, and protect ourselves from corrupt fraud. Cooperation and the trust of our clients are particularly important to us.

Conclusion

Buying property in Montenegro requires careful planning and thorough research to avoid construction defects, fraud, and scams. With the support of BIALENO.ESTATE and our experienced team of German experts in construction and renovation, as well as lawyers and tax advisors on-site, you can be confident that you are making an informed decision and purchasing your dream property without unpleasant surprises. Contact us to learn more about our services and how we can assist you in purchasing property in Montenegro.