Buying property in Monaco: process, costs and what to know

Buying property in Monaco

Monaco's real estate market is among the most expensive in the world, with prices driven by extreme scarcity of land, high demand and the Principality's tax advantages. Despite this, the market attracts buyers from around the globe, and there are no restrictions on foreign ownership.

Who can buy

Anyone of any nationality can purchase property in Monaco. You do not need to be a resident. However, owning property does not automatically grant you a residence permit. If residency is your goal, property ownership supports your application but does not replace the formal process through the Surete Publique.

The market

Property prices in Monaco typically range from approximately 50,000 to 60,000 EUR per square metre, with prime locations and penthouses commanding significantly higher prices. Studios start from around 1 million EUR and larger apartments can reach tens of millions.

New developments appear periodically but supply is extremely limited. Most transactions involve resale properties. The main areas include Monte-Carlo, Larvotto, La Condamine, Fontvieille and the Carre d'Or.

The purchase process

1. Property search: work with a licensed estate agent (agent immobilier). Agents registered with the Chambre Immobiliere Monegasque are regulated.
2. Offer and negotiation: once you find a property, make an offer through your agent. Negotiation is standard.
3. Preliminary agreement: a compromis de vente (preliminary contract) is signed by both parties, with a deposit of around 10% placed in escrow.
4. Due diligence: your notary and legal adviser verify the property title, charges, building regulations and any encumbrances.
5. Final deed: the acte de vente is signed before a Monaco notary, usually within two to three months of the preliminary agreement. Full payment is made at this stage.
6. Registration: the notary registers the sale with the Monaco property registry.

Costs at purchase

• Registration fee: 6% of the purchase price (paid by the buyer)
• Notary fees: approximately 1.5% of the purchase price
• Agent fees: typically 3% to 5%, often paid by the seller but check the terms
• Legal fees: if you use an independent lawyer, fees are negotiated separately

There is no annual property tax in Monaco, no wealth tax and no capital gains tax for individuals.

Key considerations

• Financing: Monaco banks can provide mortgage financing, though deposit requirements are typically higher than in other countries (30% to 50% minimum)
• Residency: if you plan to apply for a residence permit, your property purchase strengthens your dossier
• Building charges: apartment owners pay monthly building charges (charges de copropriete) for common area maintenance, concierge, lifts, etc.
• Rental potential: if you do not plan to live in the property full-time, rental yields in Monaco are moderate but demand is consistent