Buying Real Estate in Monaco

In Monaco, there are no restrictions on purchasing an apartment, making the process of acquiring real estate straightforward. The purchasing process unfolds in three key stages: the purchase offer, the signing of the sales contract, and the legal transfer of ownership.

The Purchase Offer: A Specific Process in Monaco

Once the buyer selects a property, negotiations with the seller can begin. These negotiations are based on a written offer, presented to the seller through a real estate agency, as verbal offers are not accepted. The purchase offer must include several essential elements, such as:

  • A detailed description of the property;
  • The proposed purchase price and its validity period;
  • Information about the buyer’s identity and proof of residence;
  • The amount of the agency commission and notary fees.

To confirm their intention to purchase, the buyer must pay a deposit, typically set at 10% of the sale price, though the parties may agree on a different amount.

A Written Offer Equals a Commitment

Our team formalizes the purchase offer, including the potential buyer’s details, the property description (number of rooms, floor, building, address, etc.), and the proposed price, before sending it to the seller. If the written offer is accepted, a binding agreement is established between both parties. If the buyer backs out after acceptance, they forfeit the deposit, which is retained by the seller. Conversely, if the seller fails to uphold their commitments, they must pay compensation to the buyer.

The Sales Contract: Signing Before a Notary in Monaco

Once an agreement is reached, a notarized sales contract is drafted and must be signed in the presence of a notary. At this stage, the buyer must settle the following payments:

  • Notary fees, averaging 6.25% of the property’s value;
  • The real estate agency’s commission, typically 3% of the purchase price plus 20% VAT;
  • The remaining balance of the purchase price.

Legal Transfer of Ownership: Finalizing the Transaction

This step, carried out by the notary, involves authenticating the sales documents by affixing their seal and signature. The notary ensures the buyer’s commitment to purchase and the seller’s intent to sell, thereby certifying the sales contract, its content, and its date.

The legal transfer of ownership takes place on the day of the contract signing. The buyer can then enjoy their new real estate investment in Monaco.

Both Monegasque citizens and foreign nationals can acquire property in Monaco by following this process. To assist you in your property search, trust Azura Properties Monaco, and let industry experts guide you.