Buying property in Monaco: benefits, prospects, prices, features

Monaco is a tiny country on the Mediterranean coast, famous for its postcard views, luxurious living and excellent climate.

Monaco is a dream that more and more visitors come true every year, moving to the principality for good.

The Principality of Monaco has a fast growing, diversified and promising economy. The Principality of Monaco attracts investors with the complete absence of any direct taxation. There is no property tax, the only direct tax in the Principality is the tax on the profits of companies that make up more than 25% of their turnover outside of Monaco.

As far as your investment is concerned, there is no real estate tax, housing tax or capital gains tax.

Monaco is one of the few places in the world that combines the characteristics of a global city, a center of commerce and a holiday destination for the very wealthy. All this, combined with a very limited supply, has led to the fact that for more than five years property prices here have been the highest in the world - the average price per square meter in the Principality in 2022 was 51,912 euros.

The areas of Larvotto, Monte Carlo and the Jardin Exotique attract investors the most!

The price per square meter is 78 thousand euros in prestigious areas and 54 thousand euros in the rest.

The right to purchase real estate for foreign citizens applies to any type of real estate.

There are no restrictions on the purchase of real estate in Monaco for foreigners. There are no income taxes for individuals in the country, but for legal entities the situation is completely different. Monaco has an inheritance tax, the amount of which depends on the degree of kinship (children and grandchildren are exempt from it).

For close relatives, such as sisters or brothers, a rate of 8% of the amount of capital transferred by inheritance is provided. 10-13% are paid by distant relatives, and when receiving an inheritance without family ties, it is necessary to pay 16% of the capital. 

Only residents of the Principality of Monaco pay taxes on inheritance and gift.

Only property that is located in the country at the time of its donation or after the death of the testator is taxed.Property donated to the state or charitable organizations is not taxed. The country does not provide income tax for firms and companies, however, those companies that receive more than 25% of the total turnover outside the country are taxed.

All real estate purchase and sale transactions take place only with the help of notaries, who are responsible for the correct execution of all necessary documents and act as its guarantor.

Larvotto Beach is one of the most glamorous beaches in the world. This artificial pebble beach with developed infrastructure is located near the casino.

Monaco has two picturesque ports: Hercule or Fontvieille. There you can admire the picturesque views of the sea or arrange a boat trip by renting a yacht.

Casino in Monte Carlo is the most recognizable building in the country. The casino was built in 1866. This is the oldest casino in Europe, many people call it the "European Las Vegas". Before lunch, the casino functions as a tourist site, and from 14 o'clock it opens its doors to visitors. In addition to the casino itself, the building also houses three restaurants, an opera house, a club and a dance floor. It is curious that the citizens of Monaco are forbidden to play in the casino - this entertainment is available only to visitors.

Monaco has museums, including the famous Oceanographic Museum and picturesque parks.

The authorities of the Principality continue to lead the line on the development and expansion of the infrastructure of the state. On the lands from the port of Hercule to the Larvotto beach area, the development of the new Marettera district is being carried out, which has become the most expensive in Monaco and, quite possibly, in the whole world.

This project, using innovative ideas and innovative technologies, will increase the land of the state by six hectares, i.e. 3% of the total territory of Monaco, due to the development of the coastline. It is predicted that the cost in premium properties per square meter will reach up to 100,000 euros, which is twice the average housing prices in Monaco.