Usually when it comes to Monaco it returns to mind as glamor of the Casino de Monte-Carlo, passion of a Formula One Grand Prix, the beautiful Princess of Monaco, the Opéra de Monte-Carlo, the Oceanographic Museum of Monaco. Located on the French Riviera between France and Italy, this “playground for the rich and famous” offers an unrivalled lifestyle with the azure waters of the Mediterranean Sea and the breath-taking landscapes on the background.
The Principality of Monaco (Principauté de Monaco) is a sovereign city-state and microstate located on the south of France, in Western Europe, on the coast of the Ligurian Sea, just 20 km far from Nice. The area of the country is only slightly more than 2 sq km, the principality stretches along the coast and has the actual length of about 4 km. This is one of the most secure, prosperous and densely populated countries in the world. All of the Principality of Monaco is divided into several Quartiers, running one into another, i.e. La Condamine (business centre and port), Monaco-Ville (old town located on a rocky headland), Monte Carlo (world gaming centre, the most expensive and prestigious district of Monaco with the most luxurious residences), Fontvieille (new district with stadiums, residences, the International University of Monaco).
As in any other developed European country, they pay great attention to children and education in Monaco. So there are kindergartens, public, private and international schools, lycées, the Princess Grace Académie de Danse Classique and the International University of Monaco in the principality.
The main donors to the economy of the Principality of Monaco are tourism, gambling, construction of residences. Sustained capital inflow in Monaco is facilitated with two important components of the economy of the principality: guaranteed bank secrecy and the world-famous low taxes, attracting billions of dollars from abroad. As you know, the tax system of Monaco is one of the most liberal in the world. For example, the income of individuals, including foreigners, is not taxable at all. There are no taxes for luxury, heritage and increase of market capital either. Thanks to this taxation loyal to foreigners Monaco is considered one of the most attractive state for investment in Western Europe. Sometimes they call principality the most prestigious offshore in the world.
Real estate in Monaco
According to data of “Knight Frank” company, the cost of square metre of elite real estate made Monaco the country with the most expensive real estate in the world in 2013 (for comparison, cost of elite housing in New York was on the sixth place, London on the third place in the same year).
The name itself – Monaco – is associated with wealth and prestige. It is unlikely that there will be many other addresses, so obviously talking about the status of the owner, as the address of the real estate in Monte Carlo. Living in Monaco means to be part of a special elite world of the European high society. It’s been long time since aristocracy, wealth and luxury became synonymous with Monaco.
It is difficult to find any negative points in Monaco. Dramatic cascades of hills with fantastically beautiful historic architecture on them, ideal climate, the absence of income tax made Monaco real estate one of the most popular in the world.
However, even with such a demand for real estate and such popularity among tourists and visitors, Monaco continues to develop. Over the last years, Monaco is constantly in the process of a kind of rejuvenation – many new bars, restaurants, shops, hotels have been opened lately in the principality, and renovation in the existing ones is performed. Monaco becomes more cosmopolitan city, focused on the influx of young people and emphasizing its updated modern image.
According to experts, last economic crisis only spurred the real estate market of Monaco – buyers from Europe flocked to Monaco in search of a stable and safe haven for investments. Same as Europeans buyers from America and Asia also highly appreciate real estate market of Monaco and this interest grows every year. Tax legislation of Monaco is very loyal to buyers of property thus an owner does not have to pay large amounts of taxes, as the Principality of Monaco does not fall under the jurisdiction of the Carrez law. The reliability and the highest liquidity of real estate in Monaco, its high profitability (about 4 percent per year in renting and from 7 to 10 percent at resale) add attractiveness for its buyers.
However, it is not so easy to meet this huge demand. The resale real estate market of Monaco is traditionally very conservative. Despite the high prices, happy owners of real estate in Monaco are not in a hurry to sell it out, and offers of real estate in the resale property market in Monaco are quite rare. There is same tense situation in the new real estate market, thus, they have to construct complex engineering embankment in the sea for new buildings, and every new offer of real estate is in great demand even before the completion of the construction. Not surprisingly, real estate in Monaco is always more expensive than similar offerings throughout the Cote d'Azur. The difference in price of real estate on the French Riviera and Monaco can be up to three to five times.
Those who want to buy real estate in Monaco should consider that the price of an apartment in Monaco could start from one million euros. For this money you can buy a small apartment in Monaco up to 100 sq m. If a buyer wants to buy an apartment in Monaco inexpensively, he should be prepared for the fact that this is indicative price base.
Naturally, the closer apartments in Monaco to casinos and beaches, the higher the price of such real estate. The most expensive apartments are in Monte Carlo. The majority of offers start from 20 thousand euros per square metre, but can easily rise to 45–50 million euros per sq m and even twice than this, if a buyer wants to buy apartments in Monte Carlo, for example on the Avenue Princess Grace or in so-called Golden square “Carré d'Or” – quarter around the famous Monte Carlo Casino.
Due to its compactness, real estate of Monaco is classified not only by areas, neighbourhoods, but even by separate buildings. They are, for example, luxury residences with swimming pools, gyms, fitness clubs, security and even a full range of hotel services. Unlike expensive apartments in Monte Carlo, an apartment in a residence in the district of Fontvieille can be cheaper, i.e. 15–25 thousand euros per square metre.
Buyers are often interested in the opportunity of buying a house in Monaco. It is worth noting that because of the lack of area a villa in Monaco is a pretty rare thing. Moreover, offer to sell a house in Monaco is even rarer. Of course, the price of a house in Monaco will be costly. However, this does not stop buyers. Certainly, the opportunity to buy a house in Monte Carlo is akin to one’s dear dream coming true.
Real estate rent in Monaco
Naturally, property in the principality also guarantees a steady income from the rental of apartments in Monaco. A rent apartment in Monaco is a mutually beneficial deal for both the tenant and the owner of the apartment. Despite the availability of high-quality hotels, tourists and guests often prefer to rent an apartment in Monaco. Characteristically, the demand for rental property in Monaco is even more than the demand for a purchase. And this demand is not limited to apartments; many people want to rent a luxury apartment, the others want to rent a villa in Monaco, a house in Monte Carlo or rent a commercial real estate. Thanks to constant all-season influx of tourists there is all year-round demand for rental in Monaco. Clients wishing to rent apartments in Monte Carlo distinguish themselves from the others – most often, they are people of certain circle with high level of income who come to Monte Carlo for business meetings or for luxurious stay. Thanks to numerous festivals, celebrations, sports events, real estate owners in Monaco and Monte Carlo in particular, can easily rent out their housings at very competitive prices. For example, during the Formula 1 racing an apartment with track view can be rented approximately for a thousand euros per day.
Real estate sale in Monaco
Experts recommend a business with real estate sale in Monaco for those buyers who want to get a guaranteed high return. Buying real estate in Monaco with a view to its further resale is absolutely reliable way to increase capital. Selling even a small apartment in Monaco, which was bought a few years ago, can be a considerable profit for its owner. Thanks to crisis resistance, market stability, loyal taxes, steady growth of property prices Monaco leads the pack in terms of speculative transactions.
Real estate agency on the French Riviera “Cote d'Azur Realty”
Buyers of real estate in Monaco can be described as very demanding, sophisticated people with exquisite taste and, of course, with wide financial opportunities. Such buyers understand that real estate in Monaco is ideal as a safe investment, its liquidity is guaranteed and the demand will be high at all times. Real estate in Monaco is an undisputed symbol of wealth and prestige.
Despite its reputation, the real Monaco is somewhat different from the image that we are used to draw to ourselves under impression of holiday in the high season and pictures from TV screen. Real Monaco is revealed only to its residents, who were lucky enough to buy a property in Monaco or apartment in Monte Carlo. This Monaco perhaps is slightly less glossy and polished, but warmly welcoming, cosy, calm, balanced, kind and bright. There are a plenty of cafes, restaurants, bars, boutiques and prices in most of them, oddly enough, are much more affordable than prices of comparable level in the similar places of London or Geneva. Everything that a sophisticated user expects to find in a large modern metropolis, can just as well be found in an area of two square kilometres in Monaco. Furthermore, Monaco offers the widest range of cultural and sporting events for every taste. For its permanent residents Monaco offers such an outstanding quality of life, which can be found in just very few places in the world. And that all is in an ideal location on the sunny Riviera, in the heart of old Europe.
Buying real estate in Monaco
Our real estate agency on the French Riviera “Cote d'Azur Realty” will gladly help you to join the elite club of owners of real estate in Monaco. We can offer a wide range of properties in different price categories corresponding to different aesthetic demands – from a nice bourgeois flats to the most ultra-modern apartments in Monaco. Contact us and we will do our best to make your dream a reality.