Rental income
Passive Income and Rental Income: Your Property Works for You
Buying real estate in Montenegro is not just about fulfilling the dream of having your own apartment by the sea or in the mountains. For most foreign investors, it is primarily a smart investment that generates stable passive income.
We offer our clients a model that combines the best of both worlds: you use the property for your own pleasure and recreation whenever you feel like it, and for the rest of the year it is taken care of by a professional management agency that rents it out to tourists.
Why is management from professionals worthwhile?
It's not just about profit alone. The benefits of professional management are much broader:
Complete peace of mind: Your apartment is always perfectly cleaned and ready for your arrival.
Maintenance of the technical condition: During your absence, the property is regularly heated, ventilated and water is circulated. This prevents problems with humidity, mold or frozen pipes. In short, the property lives and does not age.
Quick return on investment: The invested funds are gradually returned to your account thanks to tourism income.
We offer two main types of investment locations in Montenegro, which differ in seasonality. Here is a detailed look at what you can expect:
1. Apartments on the coast (Adriatic Sea)
Life by the sea is governed by the summer season, which runs from June to September. This is the time when the apartment generates the most profit. On the other hand, the months outside the main season (April, May, October and November) are absolutely ideal for visiting the owners themselves. The sea is still warm enough for swimming, the air temperatures are very pleasant, but the beaches and towns are quieter.
Year-round occupancy: 35 – 40% (approx. 135 days a year)
Average rental price: €100/night (for a double apartment in a good location)
Average length of stay: 4 days
Model example of yield (Apartment up to 35 m²)
Gross annual income (135 days x €100): €13,500
Annual management fee: €120
Cleaning and linen costs (approx. 34 stays x €50): €1,700 (note: we do not charge check-in/out fees, they are part of the service)
Net management income (before energy deductions): €11,680 per year
Return on investment: A solid apartment by the sea can be purchased for as little as €80,000. With a return of €11,680 per year, the appreciation reaches an excellent 14.6% pa. The return on your investment is therefore around 7 years.
2. Apartments in the mountains (Kolašin)
The mountain resort of Kolašin offers a huge advantage in the form of two strong seasons - summer (mountain hiking, cycling) and winter (skiing). Thanks to this, the season is spread over a longer period of time and the apartments achieve significantly higher occupancy rates.
Year-round occupancy : 60 – 80% (we assume an average of 250 days per year)
Average rental price: €58 / night
Average length of stay: 3 days
Model example of yield (Apartment up to 35 m²)
Gross annual income (250 days x €58): €14,500
Annual management fee: €120
Cleaning and linen costs (approx. 83 stays x €40): €3,320
Net management income (before energy deductions): €11,060 per year
Return on investment: If we assume that the purchase price of an apartment in the mountains is around €80,000, the net annual yield is approximately 13.8% pa. The return on investment here is also in the excellent range of 7 to 7.5 years.