Montenegro is very much a part of the European and wider international community.
Many of us who own a home here don’t live in it full time while we live or travel elsewhere. Others have added an investment property to the portfolio and want someone else to manage it.
Property managers exist for these reasons.
If you are in either of the above positions, or planning to be, finding good property management for your Montenegro real estate is critical. This guide will help you answer the important questions.
How to Target Your Search for a Property Manager
Generally, property managers in Montenegro will fall somewhere between having sophisticated, international operations and local, specialized ones.
Here are a few questions to help you determine which you need:
- Am I renting a vacation property that only a select few international travellers can afford? Sophisticated.
- Do I care most about finding an ideal tenant who will stay for years? Specialized.
- Is my property well away from the main tourist areas and probably most interesting for Montenegrins or others who know the country already? Specialized.
- Does the property have an interesting story (e.g., an old castle that had been ruined before you renovated it) that should be part of how it is marketed to tenants? Sophisticated.
- Is it an older or historical property that could have unusual maintenance or restoration needs. Specialized.
What to Look for Before Hiring a Property Management Company in Montenegro
Screening for good tenants is an activity that landlords take for granted. Obviously, it’s just as important (if not more so) to find a good property manager. Here are eight techniques:
- Get multiple references from other landlords who are in a similar position to you.
- Check social media reviews (Google, Yelp, Facebook) for a broader sense that the company has a good reputation. Do note that these are not always very common in Montenegro.
- Seek out a manager that knows your specific part of Montenegro. You don’t want yours to be the first property a company takes on in a new territory before they can properly service it.
- Look for a company that specializes in your desired type of rental — whether that’s short-term vacation stays or long-term tenants.
- Examine the contract and negotiate the details keeping in mind that an out-of-town landlord (that’s you) can often be seen as an easy mark.
- If you plan to rent the property on a short-term basis to tourists, make sure that the potential managers are familiar with local legal requirements.
- Pay a visit to a few of their current properties to confirm that they keep them in a good state of repair.
- Put yourself in the mindset of potential tenants and judge whether they are doing a good job of marketing their current roster of properties in an attractive way.
Where to Focus Your Search for a Buy-to-Let Property
Montenegro’s tourism boom is in full swing and property market trends are positive.
But by global standards this boom is still relatively young and concentrated in certain areas.
Because of that, you’ll find more options for properties to buy and then more choice of property management companies along these guidelines:
- The Bay of Kotor is often named as the center of the hot vacation property market in Montenegro. While true, a large share of the development is concentrated in Tivat and in the city of Kotor. You’ll find the most sophisticated property management firms operating there.
- The same story is true for Budva compared to the rest of Montenegro’s Adriatic coast.
- The capital, Podgorica, is a burgeoning economic hub. It stands head-and-shoulders above other inland cities for the number and quality of buy-to-let properties. You’ll also find more options here that are suitable as long-term rentals.
Do You Really Need a Property Manager?
Finally, a quick word of caution. No one will look out for your interests as well as you do. Property managers may deliver expertise and convenience in exchange for their fee, but they will never care as much as you do.
If you’re only at the point of adding a second property down the street (or even across town) from where you live, it might be better to go it alone.
Key Points for Hiring Property Management in Montenegro
When setting out to find a Montenegrin property manager for your buy-to-let property your search should focus on finding competence and a demonstrated track of maximizing rental income. Specifically:
- A property manager who focuses on your type of property.
- Strong references and reviews from similar landlords.
- A strong management agreement that works for you.
Do you still have questions about property management in Montenegro? Drop me a line and I’ll be happy to help.