How Much Is a House in Monaco?

Monaco, a small sovereign city-state on the French Riviera, is a global center of luxury and exclusivity. It attracts the ultra-wealthy seeking a unique lifestyle and a favorable financial environment. The principality offers a distinctive real estate market characterized by high demand and limited supply. Monaco’s allure extends beyond its glamorous facade, encompassing a stable political climate and high personal security. These attributes contribute to its status as a premier location for property investment.

Understanding Monaco’s Property Market

Monaco’s property market consistently ranks among the most expensive globally, reflecting its unique appeal and scarcity of land. In 2024, the average price per square meter for resale properties reached approximately €51,967. This figure represents a significant increase, underscoring the market’s robust nature. Overall, the total value of real estate transactions in Monaco reached a record high of €5.9 billion in 2024.

The market features a predominant supply of apartments, ranging from compact studios to expansive penthouses. While studios and one-bedroom apartments are available, larger properties with three or more bedrooms constituted over 70% of new sales in 2024. The average price for a new-build property in 2024 was significantly higher than resales, at €36.4 million. Villas are exceedingly rare in Monaco due to dense urbanization and limited land, making them highly exclusive.

Property prices vary substantially across different districts. In 2024, Larvotto recorded the highest average price per square meter, reaching up to €97,563, influenced by new developments like Mareterra. Monte-Carlo followed with an average of €53,911 per square meter, with Fontvieille and La Condamine also showing averages above €53,800.

Key Factors Affecting Property Value

The value of property in Monaco is influenced by several factors beyond general market trends. Location plays a significant role, with certain districts commanding higher prices due to their prestige and amenities. The Carré d’Or in Monte-Carlo, known for its proximity to the casino and luxury boutiques, consistently features some of the most expensive real estate. Larvotto, particularly along Avenue Princesse Grace, is another prime area, boasting beachfront properties and panoramic sea views.

Property type also impacts valuation, with penthouses and rare private villas typically commanding a premium over standard apartments. While apartments dominate the market, the limited number of villas contributes to their exceptional value. The size and layout of a property directly correlate with its price.

Amenities significantly contribute to a property’s appeal and price. Features such as unobstructed sea views are highly valued and can substantially increase a property’s market price. Other desirable amenities include private parking, which is a scarce and valuable asset in Monaco, along with concierge services, swimming pools, and modern renovations. The condition of a property, whether newly built, recently renovated, or requiring extensive work, also plays a part in its final valuation.

The Property Purchase Process

Acquiring property in Monaco involves a structured process, typically overseen by a notary, who acts on behalf of the state to ensure legal compliance. The initial step for a prospective buyer is to find a suitable property, often through a real estate agency. Once identified, the buyer submits a formal written offer to purchase, outlining the proposed price and terms.

Upon acceptance of the offer by the seller, both parties sign a preliminary contract, known as a “compromis de vente.” This contract legally binds both parties and requires the buyer to pay a deposit, typically 10% of the purchase price, into an escrow account held by the notary. The notary then conducts thorough due diligence, including legal checks on the property to verify ownership and ensure no encumbrances.

Buyers are responsible for securing financing, whether through a mortgage or by demonstrating proof of funds. The final stage of the purchase process is the signing of the definitive deed, or “acte de vente,” before the notary. At this point, the remaining balance of the purchase price, along with all associated fees and taxes, is settled. Following the signing, the notary registers the new owner, completing the transfer of title.

Additional Costs of Property Acquisition

Beyond the agreed-upon sale price, purchasers of property in Monaco incur several additional financial obligations. Notary fees cover legal services and registration of the transaction. For individuals or Monaco civil companies purchasing a resale property, notary fees are typically 1.5% of the purchase price. For new properties, the notary fee also stands at 1.5%.

Registration taxes, also known as transfer duties, are another substantial expense. For resale properties acquired by individuals or Monaco civil companies, the registration duty is 4.75% of the sale price. If the property is a new build, a reduced registration duty of 1% applies. However, for new construction, a Value Added Tax (VAT) of 20% is due in lieu of registration tax. If purchased by certain types of companies or foreign companies, registration duties can potentially reach 10%.

Real estate agency fees are typically borne by the buyer, amounting to 3% of the sale price plus 20% VAT, resulting in a total of 3.6% of the purchase price. Ongoing property expenses include syndic (co-ownership) fees for apartments, which cover building maintenance and communal services. These can range from €300 to €800 per month for smaller apartments and €1,000 to €3,000 per month for luxury buildings with extensive amenities. Monaco generally does not levy annual property taxes or wealth taxes on individuals.