Monaco’s real estate market

The Monegasque real estate market is an unusual one, where standard property market mechanisms do not apply.

The current decline in the number of sales is reflective of a period of transition and uncertainty. Potential buyers are biding their time, waiting to see how the economic and geopolitical climate develops before going ahead with their purchase. The situation in Ukraine, for example, is having repercussions on the financial market and investor confidence. As a result, prices in the luxury property market are presently stable.

Competition from Dubai and the prudent attitude adopted by Russian clients are also having an impact on Monaco’s economy, especially in the luxury real estate sector.

Monaco remains a destination of choice for international investors looking to take advantage of the Principality’s attractive tax advantages and luxurious lifestyle. The supply of luxury properties exceeds demand, and real estate projects are taking longer to complete. Although this has yet to have an impact on the value of luxury properties across this exclusive destination.

The Riviera luxury real estate market appears to have settled down, with a number of transactions closer to the historic average. Sales are concentrated in secondary areas further inland, where prices remain high yet more affordable than in the most prestigious localities.