Two-Bedroom Waterside Apartment, Muo, Kotor for Sale

A first-line, two-bedroom, two-bathroom ground floor apartment of 56 m² in a stone building in Muo, directly across the bay from Kotor Old Town, with a 35 m² terrace shaded by a vine-covered pergola. Fully furnished, with a secure recessed storage area for paddleboards, bikes and scooters, and plentiful on- and off-street parking directly outside (unallocated, not included with the property). Currently operating as a short-term rental, achieving approximately €20,000 gross this year — a yield of around 7% at the asking price. Kotor Old Town 12 minutes on foot via the Gurdić Bastion; Kotor Bus Station in neighbouring Škaljari (1,000 m / around 14 min walk); Tivat Airport 13 minutes. €285,000.

Few apartments on this side of the Bay of Kotor let you step onto the terrace each morning and look straight across open water at the fortified walls of Kotor Old Town climbing the mountainside behind it. This one does. It sits first line to the sea in Muo — building, terrace, the road, then the water, with the Old Town directly opposite.

The apartment is fully furnished, largely in IKEA pieces, and has clearly been set up to work as a rental. The living room is anchored by a leather sofa — possibly a sofa bed — and a pair of leather-and-bentwood recliners, with a wall-mounted TV and coastal photography prints repeated through the flat, a consistent thread that ties the rooms together. An arched doorway and tall French doors give the entrance area a lighter, more open feel than the footprint might suggest.

The kitchen is semi-open off the living space, fitted with granite worktops and a small granite breakfast bar, and equipped with the usual essentials — fridge, cooker, washing machine and sink.

Both bedrooms sit off a herringbone parquet hallway. The first has a grey buttoned headboard and teal linen against an exposed stone feature wall — a nice reminder of the building's age. The second, at the front of the building with arched windows, is furnished with twin beds and works well for family groups or guests travelling together. Two bathrooms serve the apartment: one more traditional, with a full bath and overhead shower; the other a contemporary walk-in shower room with Jack-and-Jill access — reachable both from the second bedroom and directly from the living room, so it doubles as an easy guest bathroom for anyone using the main living space.

The 35 m² terrace, under its vine-covered pergola, is where the apartment does its best work — shaded outdoor space with the Old Town as a backdrop. Alongside it, a secure recessed storage area keeps paddleboards, rental bikes and scooters out of the way, a small but genuinely useful detail for a property let to active guests.

Parking is not allocated to the apartment, but the street outside offers plentiful on- and off-street space, and Kotor's largest and cheapest public car park is close by — in practice, parking has not been an issue. The apartment is in sound condition and has been well received as a rental, with scope for a new owner to bring in some colourful artwork and their own personal touches.

Bought to live in, to let, or both, it already does the job it was set up to do.

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Key Features

• Asking price €285,000
• First-line position in Muo, with a direct, uninterrupted view across the bay to Kotor Old Town
• Two-bedroom, two-bathroom ground floor apartment, 56 m² — a Jack-and-Jill second bathroom gives each bedroom its own access, ideal for guests sharing
• 35 m² terrace beneath a vine-covered pergola, with secure recessed storage for paddleboards, bikes and scooters
• Semi-open kitchen with granite worktops and a granite breakfast bar
• Fully furnished throughout, mainly IKEA
• Plentiful on- and off-street parking directly outside, plus Kotor's largest, lowest-cost public car park nearby (not allocated to the apartment)
• Currently let short-term — approximately €20,000 gross this year, roughly 7% gross yield at asking
• Kotor Old Town 12 minutes on foot via the Gurdić Bastion (South Gate); Tivat Airport 13 minutes by car

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What Sets It Apart

Most apartments with a direct, unbroken view of Kotor Old Town sit inside the Old Town's own walls or along the Dobrota shore to the north, at a considerable premium over this price point. This one delivers the same first-line outlook and the same twelve-minute walk to the Sea Gate from the Muo side of the bay — with easy street parking and dedicated outdoor storage that Old Town properties, squeezed onto medieval lanes, simply cannot offer. A fully furnished, income-producing apartment with genuinely easy parking and a proven yield close to 7% is not straightforward to find on either side of the water at this level.

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Buyer Lens

An excellent investment property: suits an investor looking for a straightforward, already-performing short-term rental, and equally a buyer who wants a first-line base with Old Town views for their own use outside the booking season.

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Local Amenities

Muo is a quiet stone village strung along the western shore of the bay, facing Kotor Old Town across the water — close enough to reach on foot in minutes, far enough to sit outside the crowds and prices inside the walls. It's still a place locals live and shop, with a village bakery, pharmacy and hospital all within a couple of minutes on foot, and Kotor's daily green market, restaurants and Old Town amenities a short walk beyond. The village itself is compact and walkable, water on one side, the mountain road on the other.

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On Foot

• Pekara Vrmac (bakery) — moments away in Muo itself, well loved locally for its burek
• Medicor Pharmacy Peluzica — 150 m / 2 min
• Kotor City Hospital — 210 m / 3 min, open 24 hours
• Marmo grocery store — nearby in Škaljari, small but well stocked
• Winter swimming pool "Zoran Džimi Gopčević" — around 7 min, part of a municipal sports complex that also has a football pitch
• Mediterranean Nights — a genuinely good waterfront restaurant right in Muo, worth booking for sunset
• Marenda steak house — 4.7★, around 10 min, on the walk toward the Old Town
• BBQ Tanjga (Tanjga Family Restaurant) — a former butcher's turned locally celebrated roast-meat institution, around 10 min; 4.6★ from close to 1,900 reviews on TripAdvisor and a regular Travellers' Choice award-winner, consistently placing among Kotor's top ten restaurants
• Daily green market outside the Old Town walls — fruit, veg and a well-known fish stall run by COGI, plus local cheese, olives, olive oil and wild mushrooms, around 15 min
• Gurdić Bastion, Kotor's South Gate and the closest entrance to the Old Town — 800 m / 12 min

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Medical

• Kotor City Hospital / Kliničko-bolnički Centar Kotor — 210 m, open 24 hours
• Medicor Pharmacy Peluzica — 150 m
• Dental Studio Dr Vuković — Old Town, English-speaking, highly rated

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Schools

• JU Osnovna škola "Njegoš" Kotor — nearest state primary, in town
• Arcadia Academy — 12–13 minutes / 5.1 km
• Knightsbridge Schools International — 21 minutes / 11 km

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By Car

• Kotor Old Town and supermarkets (Voli, Aroma, iDEA) — 2–3 minutes
• Porto Montenegro — 23 minutes / 11 km
• Luštica Bay — 20 minutes / 12 km
• Tivat Airport (TIV) — 13 minutes / 7.7 km
• Podgorica Airport (TGD) — 1 hr 39 / 79 km
• Dubrovnik Airport (DBV) — 2 hr 7 / 68 km (border crossing — allow extra time in season)

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Public Transport

Kotor Bus Station, in neighbouring Škaljari, is about 1,000 m — around 14 minutes on foot — giving direct coastal connections without needing a car.

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Agent's Honest Take

Muo is one of the real advantages of buying on this side of the bay — all the charm of Kotor's old stone buildings, waterside and walking distance from the Old Town, without the restrictions that come with owning inside the citadel walls. This apartment has that view, easy parking right outside, and two proper bathrooms serving two bedrooms — genuinely unusual for an apartment this size, and exactly what makes it so popular with renters who want their own space from one another, ideal for two couples or a family sharing. It has already proven itself as an investment, returning a yield above what's typical for the area, and there's scope for a new owner to add some colourful artwork and personal touches along the way. Buy it as a rental and it's already earning; keep some weeks back for yourself outside the booking season, and it doubles as a genuinely well-positioned place to stay.

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NT Realty is a boutique real estate agency based in Tivat, Montenegro. Founded by Peter Flynn, who first came to the Bay of Kotor in 2005 as a property investor and has since built businesses across real estate development, architecture, and interior design, the agency is run alongside Maša Flynn — architect and former Head of Design at Porto Montenegro, where she delivered over €60 million of projects on time and on budget. Between them they bring a depth of local market knowledge that is difficult to find elsewhere in the region.

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The team specialises in properties for sale and long-term rentals across the Bay of Kotor, Tivat Bay, and the Luštica Peninsula — from Porto Montenegro and Luštica Bay to private homes throughout the wider region. Our job is to guide buyers, sellers, and tenants through the process clearly, honestly, and without unnecessary complexity.