As an investor, why invest in Monaco? The Principality is a prime destination for property investment because of its luxury living environment. Its geographical location by the sea, its stable economy and the exclusive market all contribute to the area’s reputation. Buying a property in Monaco also opens the door to considerable tax benefits.
A country that offers its residents a peaceful living environment
Many investors wonder why they should invest in Monaco. Safety is one of the Monaco’s main advantages. Monaco has one of the lowest crime rates in the world. To guarantee a safe environment, the Monegasque authorities count on a massive police presence combined with an advanced surveillance system.
This constant vigilance contributes to Monaco’s relaxed way of life. Residents of Monte Carlo can enjoy all that Monaco has to offer without fearing for their safety. They benefit from high-quality services, modern infrastructure and top-notch cultural events. Such a lifestyle reassures investors who want to become property owners in Monaco.
A destination renowned for its luxury and quality of life
Buying a luxury apartment in Monaco allows you to enjoy a prestigious location. Bordered by the Mediterranean Sea, the Principality enjoys a warm, sunny climate. This privileged area located in the south of France has contributed to the reputation of Monaco and Monte Carlo.
Monaco is renowned for its luxury apartments and its high-end establishments, many of which boast a pool, rooms offering exceptional, panoramic views of the sea and the port, and parking. It attracts a wealthy clientele in search of a luxurious lifestyle. Synonymous with prestige, luxury and elegance, Monaco is an attractive location for investors from all over the world.
Investing in Monaco does, however, come at a price. The limited supply and high standard of properties for sale, from 1-room studios and 1-bedroom apartments to property with 5 or more bedrooms, make Monaco an exclusive market. In 2024, the average price per square metre of resales was almost €52,000.
The tax advantages of buying property in Monaco
Beyond the beautiful living environment, why invest in a home in Monaco? Financing a purchase in Monaco allows you to benefit from an advantageous tax regime. Monaco’s tax system is one of the Principality’s main advantages for investors looking to make a profit.
Anyone holding a Monegasque residence permit is exempt from direct taxation. Monaco has no income tax or wealth tax. However, French residents are not affected and remain taxable in France.
Proof of residence in the Principality is one of the requirements for obtaining a residence permit. Investing in Monaco’s luxury real estate market is doubly attractive if you want to benefit from Monaco’s tax regime.
An exclusive real estate market conducive to rental investment
Real estate is an interesting sector for those wanting to know how to invest in Monaco. The Principality offers a secure environment for real estate investment. Its solid economy and political stability make it a reassuring destination for investors.
Whether your search brings you to the Monte Carlo area or another district of Monaco, investing in an apartment or villa with a view to renting it out can be profitable, provided you understand the dynamics of the market. Rental yields in Monaco, which rarely exceed 2%, don’t tell the whole story. Investors are more interested in long-term capital appreciation.
Demand is high, but real estate is scarce and comes at a price due to Monaco’s size. This situation has contributed to a steady rise in prices over the last ten years. As a result, property values are also increasing, boosting overall profitability to 7% a year.
Are you still wondering why you should invest in Monaco? Benefit from the expertise of real estate agencies in Monaco to make your property investment a reality. At Coletti Real Estate, we’re with you every step of the way, from purchase of everything – from a luxury 1-bedroom apartment to a 5-bedroom villa – through to property management.
