FREQUENTLY ASKED QUESTIONS WHEN YOU SELL REAL ESTATE

1. What are the best locations to live in Belgrade?

We suggest you to buy a house or a villa in residential neighborhoods such as Senjak and Dedinje, especially if you are with the family and if you decide to live in an area with lots of greenery. The advantage of these locations in addition is to many parks and good connections to the city center, close to international schools as well as air quality since it is one of the highest points in Belgrade. Also we should not forget that the greatest number of diplomats decided to buy houses or apartments right on the sites. To buy a villa in this part of town is a hit. If you want to buy a luxury apartment and you like living in more urban part of the city decide to downtown Belgrade (primarily for the part about Knez Mihailova Street and old town called Stari grad, and Vracar area). The advantage of urban life is that is very close to cafes (by which Belgrade is famous) restaurants, theaters, cinemas and parks like Kalemgdan and Tasmajdan, and finally close to rivers Sava and Danube. If you choose to be very close to the business center, we recommend New Belgrade, Bezanijska kosa and Zemun area. Also near the Sava and the Danube river and its proximity and good communications with the city center. A lot of new buildings and apartments for rent and sale are in Novi Beograd while Bezanijska kosa and Zemun was built mainly of houses(typical). High demand and less attractive parts of the city, such as Vozdovac, Banovo hill (especially with this part of town where for a very decent money you can rent an excellent house and find everything that exists in Senjak and Dedinje and the largest park in Belgrade-Kosutnjak) and the Red Cross (large number of new apartments for rent and sale on the market today in locations such as Red Cross and Vozdovac).

2. What are the best locations for headquarters office space in Belgrade for my company?

We suggest you to buy your office space in the new business district of Belgrade known as New Belgrade. Good communication with the center of the city, highway and Belgrade airport, makes New Belgrade excellent business environment. A lot of new commercial and residential buildings and apartments for rent and sale are in New Belgrade. The new buildings mostly have 24 hour security and parking. If you want to take a break during the work, the most famous Belgrade restaurants and rafts on the river will have the honor to welcome you. Also very important is that you can buy an apartment in New Belgrade, close to your work. We also must noted that in residential neighborhoods such as Senjak and Dedinje, there are mainly houses that have been adapted for office space and can be sold which in itself gives you the advantage of unlimited possibility of parking, and you are in a very quiet part of the city .. Buy a villa or a house to work in a quiet part of town is a hit. If you want to buy refurbished luxury apartment or bisiness office, as an office building and be at the center surrounded by all state institutions decide to downtown Belgrade (primarily the area around Knez Mihailova Street, the old part of town Dorcol, and Vracar ).

3. HOW MUCH IS THE AGENCY FEE WHEN SELLING THE REAL ESTATE?

Agency fee for mediation services in the sale is 3% of the agreed purchase price. It is payable upon signing the preliminary contract and providing down payment.

4. HOW MUCH IS THE TAX ON THE TRANSFER OF ABSOLUTE RIGHTS AND WHO PAYS?

Transwer of absolute rights is 2.5%, of the assessed value of property by a competent Republican Public Revenue - Tax Department in the Municipality where the property is located. The legal obligation to pay this tax is on a burden of the seller, but perennial common practice to pay taxes the Buyer on behalf of Seller, in order that Buyer have absolute protection that the tax be paid.

5. Is when buying the property for living in same, releases paying sales tax?

Yes! If you do not own the property in the territory of Serbia from 01.07.2006. are exempt from paying taxes on the transfer of absolute rights for the real estate to 40 sqm. If purchased properties have more than 40 m2 transfer tax law, you pay only the difference in quadrature. Also in addition to every member of the family who does not own the real estate, and live with you in the same household, are exempt from paying the taxes additional 15 m2.

6. How long is the legal term for application payment of the sales tax?

The legal term for application payment of the tax on transfer absolute rights. Sales tax is 10 days from the date of certification of the sales agreement with the competent Republican Public Revenue- Tax departments of the Municipality where the property is located.

In addition to the certified sales contract should submit a preliminary basis for acquisition for the Seller - means a contract (in copy) that he acquired ownership of the property with the tax clause - with seal RUJP the same.

In addition to the certified sales contract required should submit a preliminary basis for acquisition for the Seller - means a contract (copy) that he acquired ownership of the property with the tax clauses - seal R.U.J.P. the same.

The taxpayer has a period of 15 days from the date of the decision to pay the amount and submit proof R.U.J.P. to on all copies of the Treaty which he bought the property clause put- seal of the regulated (charged) sales tax.

7. Can foreign citizens are allowed to buy real estate in Serbia?

Foreign nationals can buy property in Serbia according to the principle of reciprocity of their country with Serbia. In connection with this legal issue, in the event that there is no reciprocity, must seek the agreement of the Ministry of Justice. The process of getting approval takes about 30 days. Reciprocity exists with almost all countries of the European Union, America, Canada, Australia, China, Russia, and another 50-odd countries.

8. Transfer Right of use Telephone, electricity and infostan

PTT connection is transferred from the Buyer to the Seller by the validation of the Purchase Agreement for Real Estate, joint and simultaneous departure of buyer and seller in customer service PTT, where the buyer submits the request to change the names of users PTT connection, and Vendor request for cancellation and transfer the same to your new address. It is necessary to bring a photocopy of the Contract on sale of real estate and photocopies of identity cards.

Right of use of EDB meter performs the Buyer, departure to the relevant service of electric distribution companies Belgrade with a copy of the Contract on sale of real estate and last payment slip for electricity. Depending on the municipality where the property is located, goes to Masarikova or Pozeska street.

Transfer of Infostan or utilities, Buyer done by going to the relevant branch of Infostan on the municipality where the property is located, with a copy of the Contract on sale of real estate.

9. Where is certified contract on sale?

Certified in the territorial jurisdiction court. The act of certification must attend personally both parties.

10. How to register the property?

The subject property must be recorded and charted, and that for the same exist a valid use permit on behalf of investors who built the building, and from that moment the original certified copy of the Purchase Agreement, in which the current owner will prove his ownership. This means that if there is no knowledge if the property a subject to Purchase Agreement is register or not, the first step is checking in the Land Registry, or Real Estate Cadastre.

If the property is not registered, the question is why? If the entire building is not registered, must first register the same, which should be an obligation of investors, apropos, the one who gave the apartments on sale. It is simply impossible to expect that property owner has documentation prior to the purchase, especially if we are talking about the old buildings 30, 40, 50 years old, which is still because of inefficiency of certain municipalities, companies-investors, holder's right of disposal and use, not registered. It is certainly for the registration, and if subject to fulfillment of conditions, it is necessary to take the request with all required attachments and proof of paid stamp duty for registration.

11. Capital gain

Capital gain is the difference between bought and sold real estate value, and according to the law it is 10%. Taxpayers of capital gains are persons who acquired the property after 24. of January 1994. So, all those who have acquired property for any reason prior to that date, are not taxpayers of capital gains.

Exemption from capital gains is done by purchasing another property that solves the housing problem and within 90 days from the date of sale of the apartment.

12. What is required from documents for the sale of real estate?

Seller proving his ownership on the basis of legally valid documents, which must be originals, certified by the competent court, with Clauses of R.U.J.P. competent municipality that the tax is regulated on the transfer of absolute rights. It is necessary to have a new ezcerpt from land books- proprietary list, apropos, extract from the real estate list. If property is not registered, it is necessary to have complete documentation, starting from the first to the current owner, in originals, all certified, equipped R.U.J.P. seals revenue administration by competent municipality, about regulated tax on transfer of absolute rights. So, there should be a legal sequence from the first owner till today, to the moment when the conditions call for it buyer, or current owner of the real estate, could register the same on his own name.

13. Obligations of the Seller

Until the moment of signing and verifying the main Purchase Agreement, the Seller have obligations to settle all its obligations arising from postal services, EDB, Infostan, and property tax. On the day of signing Purchase Agreement, the Seller is obliged to submit the Infostan conclusive with previous month, Certificate R.U.J.P. of the competent municipality that has settled all liabilities based on property tax, last electricity and telephone bill.

The seller is also obliged from the moment of signing the Purchase Agreement to hand over the keys to the Buyer of the real estate emptied of things, with standard equipment. Obligation of the Seller is to provide a birth certificate and notarized statement from the spouse, apropos, other persons of which it can be sought, depending on the particular case, and to perform additional documentation proving their ownership, if necessary.

14. Obligations of the Buyer

The buyer is obliged to pay the commission to mediator, court fees for certification of Preliminary contract, contract, or annex, transfer in authorized bank, tax on transfer of absolute rights, transfer taxes in subscription rights (PTT, EDB…), as tax for registration of real estate on their behalf, if subject to fulfillment of conditions.

15. Handover real estate

Handover real estate or entry into possession is a process that goes through several stages:

• Departure before signing and certification of the Purchase Agreement into Real Estate, where it makes the examination of whether is the real estate empty from people and things.
• Departure to the agency and certification of the Purchase Agreement in Court
• Payment of the purchase price to bank
• Coming of the into property which was bought and official handover of the keys