FQA

The main factor in assessing the value of a property is its size. The following parameters have the most impact on the price per square meter:

- Location
- Condition of the building (age and quality of construction for buildings, and land class for agricultural land)
- Number of floors
- Installations (type of heating, condition of water and sewage systems, as well as the state of electrical installations)
- Windows and doors
- Construction materials used
- Condition of the roof
- Condition of the facade
- Garage / parking space

Foreign citizens from European Union countries can buy real estate in Serbia without restrictions, except for agricultural land. Citizens of other countries can purchase real estate in Serbia with the approval of the Ministry of Justice, and only from countries with which the Republic of Serbia has a signed reciprocity agreement. Foreign citizens who have established a company in Serbia can buy real estate in the name of the company without restrictions.

Foreign citizens can sell real estate in Serbia. However, they need to comply with certain procedures and regulations, including potential approval from the Ministry of Justice, depending on their nationality and the type of real estate.

The real estate transfer tax in Serbia is 2.5% of the market value of the property. This tax is paid by the buyer of the property at the time of ownership transfer.

Property tax is, among other things, paid on the ownership rights to real estate. The property tax obligation applies to legal and natural persons who hold ownership rights to real estate located in the territory of the Republic of Serbia. Property tax is permanent in nature, its amount is determined annually, and it is paid every three months or quarterly.

The real estate transfer tax in Serbia must be paid within 15 days from the day the obligation to pay arises, which is usually the day the sales contract is signed.

If you are an adult citizen of the Republic of Serbia, with residence in Serbia, and if from July 1, 2006, until the date of notarizing the purchase contract, you have not owned or co-owned an apartment in the territory of the Republic of Serbia, the seller from whom you are purchasing your first apartment meets the conditions prescribed by the Law on Property Taxes for tax exemption. This applies to an apartment area of up to 40 m² for you, and for members of your household who, since July 1, 2006, have not owned or co-owned an apartment in the territory of the Republic of Serbia, up to 15 m² per household member.

Yes, the seller of the property in Serbia pays the real estate transfer tax when selling. The tax is calculated based on the difference between the purchase price and the selling price or on the market value of the property, depending on which is higher.

Yes, in Serbia, the buyer must notarize their signature on the sales contract, along with the seller's signature, for the contract to become legally binding. The notarization of signatures is done at a notary or another authorized institution.

Capital gain is the difference between the purchase price and the sale price of a property. By law, the capital gains tax is 15%. Individuals subject to capital gains tax are those who acquired the property within the last 10 years. Therefore, anyone who acquired property prior to this period is not subject to capital gains tax. Exemption from capital gains tax is possible if you purchase another property to solve your housing needs within 90 days of selling the previous property.

Yes, it is possible to conclude and notarize a sales contract abroad. However, it is important that the contract complies with the laws of the country where the notarization is performed. Additionally, it may be necessary to have the contract translated into Serbian and notarized by the relevant authorities in Serbia for it to be legally valid.

When buying real estate, it is important to check several key aspects to ensure a safe and successful transaction:

- Ownership documentation: Verify that the seller is the legal owner of the property and that there are no liens or mortgages on the property.
- Building permit: Ensure that the property was constructed in accordance with applicable laws and that all necessary documents and permits are in place.
- Condition of the property: Conduct a thorough inspection of the property to identify any defects or necessary repairs.
- Legal status: Check if there are any legal disputes related to the property, such as disputes with neighbors or citizenship issues.
- Land registry: Confirm that the property is correctly registered in the land registry and that there are no barriers to the transfer of ownership.
- Infrastructure and environment: Research the quality of infrastructure in the area, including access to roads, schools, shops, and public transport.
- Maintenance costs: Check the expected maintenance costs of the property, including taxes, utilities, and other expenses.