This decision sparked sharp and well-founded criticism from official and registered real estate agencies, which have long been advocating for the swift restoration of order in the industry.
The essence of the problem: legal business versus the “gray” market
Initially, the law was supposed to come into force in the near future, requiring all agents to complete professional training, pass a qualification exam, obtain a license, and insure their liability.
The Association of Real Estate Agencies of Montenegro (UANCG) expressed categorical disagreement with the Ministry of Economic Development’s decision to postpone it. Official business representatives call this move “a concession to the illegal sector.”
Why does postponing the law harm the market?
- Protection of the rights of shadow agents: postponement gives illegal brokers and freelancers the opportunity to continue working without paying taxes, holding licenses, or being accountable to clients. Working without a license carries heavy fines from €500 to €4000.
- Risks for buyers: without mandatory transaction insurance and a register of licensed agents, foreign investors remain unprotected against fraud or incompetence.
- Budget losses: the state continues to lose millions of euros in taxes that slip past the treasury through illegal transactions.
Official agencies emphasize that there was more than enough time to prepare, and those companies that are focused on honest work are already fully ready for the new rules.
What will the new law change for buyers and the market?
When the law does finally come into force, it will introduce strict European rules of the game:
- The end of “black brokers”: only agents who have passed the state exam and been entered into the official register of the Ministry of Economic Development will be able to operate in the market. The authority of “gray” realtors from Telegram chats will be revoked.
- Financial guarantees: each agency will be required to insure its liability (at least €15,000 per insured event and up to €45,000 in total per year). If an agent makes a mistake, the client’s losses will be covered by insurance.
- Exams and offices: realtors will have to prove their knowledge of Montenegrin law, and companies themselves will be required to have an official office space — no more “meetings in a café over a laptop”.
- Strict sanctions: working without a license or violating property advertising rules will carry serious fines — from 500 to 4000 euros.
MD Realty’s position: client safety comes first
We at MD Realty fully support the position of the Association (UANCG) and advocate for the swift whitening of the market.
Vyacheslav Maevsky (Slava Maevski), founder of the MD Realty real estate agency:
“Regardless of when the law becomes mandatory at the state level, our agency already operates today according to the strictest European standards of transaction security. For our clients, this means that every detail — from the legal cleanliness of the property to financial transparency — is under the control of professionals. We always recommend that investors trust only registered companies that have an official office in Montenegro and a team of qualified specialists”.
Photo source: pexel.com