BEAUTIFUL COVID FREE MONTENEGRO
IS NOW THE NEW TAX CINDERELLA IN EUROPE….
Montenegro not only has a stunning waistline, this little beauty has already strutted it’s stuff in the chic “must visit” parade amongst the super yacht rich. It also has a much more important hidden attraction. It will be seriously less taxing for high net worth individuals to own a property and even live there.
After Covid 19
No one can predict the very real financial crises that Covid-19 will leave on the already cash strapped governments of France, Italy , Greece , Portugal, UK and Spain. However early indications are that these countries are going to experience a dramatic swerve to the left in government and any luxury property owner in these countries is going to be an easy target for excess taxation. Local governments will start to increase local taxation which could see luxury properties taking a 1000% tax hike. National governments will be ruthless in the collection of the 0.5 to 1.5% wealth tax on their GLOBAL income, even if it is only a second home. Inspectors will be out in force slapping tax assessments on the gates of any property that they think can afford to pay more and more and even more. It is rumored that both Spain and Portugal will end up with almost “communist” regimes who will spend no time in grabbing excess wealth into the fold.
Buyers need now to look at regimes that have not had a huge cash call from Covid and who already have an established tax residency scheme which is fair and reasonable.
Why Montenegro?
Montenegro fits the bill precisely. It was declared Covid Free on 25th May (Having reported 324 confirmed cases of COVID-19 illness and nine deaths). There is now a high net worth residential scheme with a tax cap that is very reasonable. Montenegro has all the charm and beauty of the French Riviera, but as the Riviera was in the 1960’s. Quaint villages, delicious windy coast hugging roads with hints of a cornice. Breathtaking drop down mountains, Adriatic fjord scenery and a boat owners playground that is very hard to beat.
Where to buy - Porto Montenergo
Tivat airport , the gateway to the Bay of Kotor and the Lustica Peninsula, is only a stones throw from all the fun and the action of this vibrant summer playground. Players find their “Monaco” in chic Porto Montenegro, where the super yachts are so super they take two entire days to refuel. Others , take the fast tunnel to marvel at the 12th century walled town of Kotor. The well-organised take a fast rib into the bay of Kotor and enjoy a delicious local lamb with vranac wine under the milkwood trees at Star Mlini restaurant in Ljuta. Then go for a swim at any one of the numerous beaches and then take a coffee and a stroll in Kotor.
Where to buy - Lustica Bay
Many visitors now turn left and follow the honey, the birds and the bees and breathe in the natural lavender of the Lustica peninsula. This bio-sphere is emerald green punctuated with quaint tiny villages all with little fishing harbours. The prize at the end of a twenty minute drive is the sensational Lustica Bay Resort. Commanding a very privileged view straight out to the Adriatic, this marina village with a Chedi Hotel to match is quite THE destination.
The private beach and the stunning Amara Beach Club makes for the relaxed “do nothing” afternoon but the more adventurous will be looking to explore the coves of Zanjic, try some fresh fish at Ribarsco Vela or take a quick rib hop across to the enchanting fishing village in Bigova.
Lustica Bay, the brain child of multi-billionaire Samih Sawiris, is the new investment buzz word in the Eastern Mediterranean. With an excellent range of property choice from one bedroom studios to super luxury villas. All qualify for the high net worth residency tax scheme. Recently, the most popular purchases have been the managed suites in The Chedi on the marina with a 3% annual return for around 300,000 euro. Owners love the luxury and cache of the hotel without any personal headaches in the management of the property, the tax address and of course a cosy return. Just a few steps and they are on a rib with the wind in their hair on their way to a hidden cove or one of the many historic islets that dot the Montenegrin coastline without a tax care in the world. What bliss !!