Budva's old town and the coast beyond: published gross yields for Budva, Podgorica and Tivat

Montenegro rental yields in 2026: the published figures, and what comes off them.

Montenegro rental yields. Published figures. What comes off. Brinkman Data brand card.

// Short answer

Global Property Guide puts Montenegro's average gross rental yield at 4.84% in Q2 2026, with Podgorica at 5.15%, Budva at 5.01% and Tivat at 4.36%. Those are gross figures from asking prices and asking rents, not what an owner keeps, and not a Brinkman Data calculation.

Rules and rates as of September 2026. Montenegro changed its residence rules in January 2026 and is negotiating EU membership, and official sources disagree on the income tax rate, so check the dated items again before you sign. Every figure links to its source.

What is the average rental yield in Montenegro?

Global Property Guide puts Montenegro's average gross rental yield at 4.84% for Q2 2026, down from 5.59% in Q4 2025. The figures are gross, from median asking prices and asking rents on a local listing platform, and the same source says net is typically 1.5 to 2 points lower. These are that source's figures.

A gross yield is rent before any cost. The costs that come off it are listed further down.

What are rental yields in Podgorica, Budva and Tivat?

Per Global Property Guide's Q2 2026 data, the average gross yield is 5.15% in Podgorica, 5.01% in Budva and 4.36% in Tivat. All three are gross figures from asking prices and asking rents.

City (Global Property Guide, Q2 2026)Average gross yield
Montenegro4.84%
Podgorica5.15%
Budva5.01%
Tivat4.36%

Do smaller units yield more in Montenegro?

In the published data, yes, in every city listed. In Global Property Guide's Q2 2026 data, a Podgorica one-bedroom shows 5.59% gross against 4.62% for a three-bedroom, and a Budva studio 5.68% against 4.42% for a three-bedroom. In Tivat, one- and two-bedrooms both show 4.36%.

Unit (Global Property Guide, Q2 2026)Gross yield
Podgorica, 1-bedroom5.59%
Podgorica, 3-bedroom4.62%
Budva, studio5.68%
Budva, 3-bedroom4.42%
Tivat, 1-bedroom and 2-bedroom4.36%

The question that matters is never the city average. It is the building, the unit size and the rent it can actually get.

What comes off a gross rental yield in Montenegro?

Annual real estate tax of 0.25% to 1% of market value, possibly loaded by up to 150% on a second home. Tax on the rent, 15% per PwC, on rent less documented costs or a standard deduction. Building upkeep fees, for which no official norm was found. Vacancy and letting costs.

The standard deduction is 30% for an ordinary lease and 50% to 70% for property let for tourism. The detail: Montenegro property tax for foreigners.

Can a foreign owner run a holiday let in Montenegro?

Yes. Rooms, tourist apartments and flats of up to 10 rooms or 20 beds may be let to tourists by a natural person, local or foreign, who owns or co-owns the accommodation. The unit must meet minimum conditions and operate on a decision of entry in the Central Tourism Register.

No rent controls on residential leases, and no municipal ban or night cap on short lets, were found as of September 2026.

// Buying in Montenegro?

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Frequently Asked Questions

What is a good rental yield in Montenegro?
This page does not grade yields. The published reference point is Global Property Guide's Q2 2026 average gross yield of 4.84% for Montenegro, which the same source says is typically 1.5 to 2 points higher than net.
Is Budva's yield higher than Tivat's?
On Global Property Guide's Q2 2026 averages, yes: 5.01% gross for Budva against 4.36% for Tivat.
Can a foreigner Airbnb an apartment in Montenegro?
Yes. The law allows a local or foreign natural person who owns the unit to let it to tourists, once it is entered in the Central Tourism Register.
How much is tourist tax in Montenegro?
Each municipality sets it within €0.10 to €1.00 per person per night. The accommodation provider collects it.

Header photo: DinoMNE, CC BY-SA 3.0, via Wikimedia Commons. All credits: image credits.

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Disclaimer

Brinkman Data Analytics is an independent research service. Not financial, investment, tax, or legal advice. All yield figures are estimates based on historical research data and are not guaranteed. International real estate carries risk of partial or total loss of capital.