Buying a Waterfront Property in Monaco: The Guide

Published on October 5, 2025 and written by Cyril Jarnias

Nestled in the Heart of the French Riviera, Monaco Captivates the Imagination

Monaco, situated in the heart of the French Riviera, attracts luxury and tranquility enthusiasts with its breathtaking Mediterranean views and year-round sunny climate. However, purchasing a seafront property in Monaco requires a thorough understanding of the local real estate market, renowned as one of the most exclusive in the world.

An Exclusive Real Estate Market

In this article, we guide you through each essential step, from selecting the perfect property to understanding legal nuances, to transform your coastal residence purchase into an experience as delightful as our illustrious principality itself.

Monaco’s Coastal Gems: Where to Invest?

Monte-Carlo, Fontvieille, and Larvotto represent Monaco’s coastal jewels, each offering a unique identity and attractive investment opportunities.

Neighborhood	Main Characteristics	Specific Attractions
Monte-Carlo	Heart of Monegasque luxury, Casino Square, palaces, high-end boutiques	Prestigious buildings like Park Palace or Mirabeau; vibrant cultural and nightlife
Larvotto	Modern waterfront with private/public beaches, refined restaurants	Iconic beach, immediate proximity to Monte-Carlo; iconic residences (e.g., La Réserve)
Fontvieille	Recent waterfront district with private port, lush parks	Stunning Mediterranean and hill views; peaceful setting favored by athletes and celebrities

Coastal neighborhoods show sustained demand for:

• Spacious seafront apartments in secure residences
• Penthouses with panoramic terraces
• Properties with exclusive locations near the port or beaches

Current Real Estate Market Trends:

• Continuous price increases per square meter, driven by limited supply against strong international demand.
• In Larvotto and Fontvieille: properties often trade between €60,000 to over €100,000/m² depending on exact address and amenities.
• Recent developments (e.g., Mareterra) further energize this ultra-high-end segment.

Outlook:

Prospects remain bullish due to Monaco’s land scarcity combined with an attractive tax environment. New extensions like Mareterra are expected to continue attracting private investors seeking asset security and long-term appreciation.

Essential Legal & Tax Aspects:

• No wealth tax or capital gains tax on real estate for individuals residing in Monaco.
• Free purchase for foreigners subject to obtaining prior administrative approval (complete file required).
• Notary fees capped around 6% (including registration fees).
• It is advisable to be assisted by a local professional to optimize legal/tax structuring according to investor profile.

Recent Examples Illustrating Coastal Market Potential:

• Acquisition in La Réserve (Larvotto): seaview apartment resold in under two years with over 20% profit, following recent beachfront renovations.
• Investment in Seaside Plaza (Fontvieille): penthouse purchased at launch appreciated after delivery due to the high standing of the port district.

Practical Tips Before Purchase:

• Check the general/financial condition of the chosen co-ownership
• Anticipate administrative delays related to international status
• Inquire about future urban projects that may influence rental or property value

Decoding the Waterfront Purchase Process in Monaco

The process of purchasing a seafront property in Monaco follows a strictly regulated path, particularly suited to the specificity of the local market, renowned for its exclusivity and legal security.

Key Steps in the Purchase Process

• Research and Selection: Identify the ideal property, ideally with the help of a real estate agent specialized in the Monegasque market.
• Written Offer Submission: The offer must include your personal information, a precise description of the property, the proposed price, and conditions (financing, signing date). Only written offers are considered; they are legally binding for both buyer and seller if accepted.
• Deposit: A down payment between 5% and 10% of the price is placed in the notary’s escrow account. If the buyer unjustifiably withdraws after acceptance, this amount may be forfeited.
• Preliminary Agreement or Authentic Deed: Most transactions proceed directly to final signing before a notary. This document details all conditions (price, financing, possible preemption rights).
• Notarial Verifications: The notary conducts Land Registry searches to ensure the seller is the legal owner and checks for any easements or urban constraints. They also validate the parties’ identities.
• Final Signing at the Notary: The authentic deed officially transfers ownership.

Step	Description
Research	Selection assisted by an experienced real estate agent
Written Offer	Binding document – precise details required
Escrow Deposit	5–10% of price paid to the notary
Legal Verifications	Land title & regulation checks
Authentic Deed Signing	Official transfer before notary

The Importance of Specialized Real Estate Agents

Working with an experienced professional familiar with Monaco allows:

• Access to sometimes confidential properties,
• Negotiation in a competitive market,
• Guidance through local administrative complexity.

Central Role of the Notary

The Monegasque notary ensures:

• Total legal compliance,
• Secure fund transfer via their escrow account,
• Correct registration with cadastral authorities.

Restrictions for Non-Residents

No specific restrictions apply to foreigners wishing to purchase property in Monaco; they therefore have equal access to the local real estate market.

Additional Acquisition Costs

Indicative list:

• Registration/authentic deed fees: generally around 6% including various taxes
• Real estate agency fees: approximately 3% + VAT on these fees
• Notary fees: included in overall costs
• Mandatory home insurance (specific to seafront)
• Enhanced maintenance due to marine climate (increased corrosion)

Specificities & Considerations for Maritime Properties

Owning a “feet in the water” residence involves:

• Increased monitoring against humidity/salinity affecting structure & technical installations
• Higher maintenance budget (facades exposed to salt/mistral)
• Potentially higher insurance premium(s)

Practical Tips for Navigating This Exclusive Market:

• Gather precise information on each applicable regulation before any offer
• Demand absolute transparency during land verifications conducted by the notary
• Systematically request multiple quotes for specific seafront insurance

Professional assistance from the first visit through final signing remains essential to secure your investment against Monaco’s unique requirements.

Expert Tips to Secure Your Coastal Investment

Expert Tips for Purchasing a Seafront Property in Monaco:

• Verification of Coastal Erosion and Environmental Risks:
  • Study shoreline stability, especially in areas near the beach or exposed to weather.
  • Review technical diagnostics (general building condition, energy performance) to anticipate potential renovation or adaptation work.
• Local Regulations on Coastal Construction:
  • Inform yourself about strict rules governing any transformation or new construction on Monaco’s seafront. Some properties benefit from specific statuses requiring precise administrative authorizations.
  • Verify compliance with norms for outdoor spaces (balconies, terraces), which can significantly enhance property value.
• Recommended Specific Insurances:
  • Subscribe to a multi-risk home insurance adapted to properties exposed to sea air and potential flood or salt corrosion risk.
  • Consider enhanced civil liability insurance if the property is used for seasonal rentals.

Analysis of Monaco’s Real Estate Market:

Key Elements	Importance
Price Trends	Neighborhoods like Larvotto show strong demand and high rental potential due to their prime location.
Exposure & Sea View	Decisive criterion for future valuation; prioritize properties with direct beach access and unobstructed views.
Comparison with Other French Coastal Regions	Monaco’s prices are among the highest; it’s essential to compare locally before any investment to optimize returns.

Consultation with Specialized Professionals:

• Engaging a local real estate agent offers:
  • Access to exclusive properties not listed publicly
  • Legal and administrative security throughout the process (title verification, obtaining authorizations)
• Consulting a real estate law expert allows:
  • Mastery of all legal implications related to Monaco’s specific regime
  • Tax optimization of the operation according to your status

Taxation Related to Property Purchase in Monaco:

Essential Points to Consider

• No income tax and no property tax or residence tax for Monegasque residents.
• Reduced transfer duties compared to European standards but potential presence of specific notary fees during transfer.

Impact on Profitability

“The advantageous tax context attracts foreign investors seeking asset stability and succession optimization. However, it’s always necessary to include all ancillary costs in your forecast so the investment remains profitable over time.”

Key Takeaway:

Seeking advice from local professionals remains essential to secure each step – from technical study to complete tax analysis – during any high-end coastal purchase.