Monaco Real Estate Market: A 2023 Overview and Trends for 2024
2024-06-20
Monaco's Resilient Real Estate Sector: 2023 Review and 2024 Forecast
As we progress in 2024, Monaco's real estate market remains a focal point for investors and luxury property seekers worldwide. Despite the ongoing economic challenges, the principality has demonstrated resilience, especially in its real estate sector. In this article, we’ll delve into the latest trends and insights from the Monaco real estate market in 2023, providing you with a comprehensive overview that can guide your investment decisions.
Record-Breaking Transaction Values Amid Declining Sales
In 2023, Monaco witnessed 416 real estate transactions, marking a decline of 105 transactions compared to 2022. Despite this reduction, the total transaction value soared to a record €3.23 billion, surpassing previous years. This trend underscores a significant shift towards high-value properties, driven by changing buyer preferences.
Shift in Buyer Preferences
A notable trend in 2023 was the decline in sales of smaller flats, such as studios and 1-bedroom units. Buyers increasingly favored larger, more luxurious properties, which is reflected in the record-breaking transaction values despite the lower number of sales.
Prices Per Square Meter Continue to Climb
In 2023, despite a decrease in the number of sales, Monaco's real estate market saw record-breaking transaction values. The mean price per square meter for resales reached €51,418, marking a modest 1% increase from the previous year and approaching peak levels seen in 2021. This upward trend was evident across most districts, with five out of seven districts achieving their highest prices to date.
Monaco's property market is characterized by soaring prices and innovative development projects. Over the past decade, the average price per square meter has risen remarkably by 71%, from €37,242 in 2014 to €51,418 in 2023, with some districts like Larvotto averaging €65,857. Although there was a modest 1 % growth in 2023, most of the district saw an increase, surpassing all-time records in five out of seven districts.
Monte-Carlo and La Rousse dominated property transactions in 2023, accounting for over 60% of all real estate transactions. La Rousse, with 31.7% of transactions, emerged as the most popular district for property resales since 2019, followed closely by Monte-Carlo at 30.7%.
Despite fewer transactions, Monaco Real Estate Market remains highly sought-after, with agents actively fulfilling client requests in these exclusive districts. Almost every district saw an increase in average price per square meter in 2023. Notably, La Condamine recorded a 19.7% rise to €54,099 per square meter, and Les Moneghetti saw an 18.3% increase to €46,511 compared to the previous year. Reflecting its ultra-exclusivity, Larvotto recorded the highest price per square meter at €65,857, up 5.6% from 2022.
District-Wise Analysis
Monte-Carlo and La Rousse continued to dominate the market, accounting for over 60% of resale transactions. These districts are home to some of the most luxurious properties in Monaco, and their popularity remains unchallenged.
La Rousse experienced a 4.2% increase in the number of resales, reclaiming its position as the top district for transactions for the first time since 2019. Meanwhile, Les Moneghetti saw a significant 31.8% decrease, highlighting a shift in buyer interest towards more central and prestigious locations.
Ten-Year Trends in New Property Prices
In the first nine months of 2023, 28 new properties were sold. Although this figure is 68.2% lower than the previous year's record, it remains higher than in 2021. The primary reason for this decline is the lack of flat completions. Two-thirds of the transactions were for off-plan properties, while one-third were for flats completed within the last five years.
Nearly half of all properties sold had four or more bedrooms, including three villas. This category of flats remained stable compared to 2022, while all other categories experienced significant declines.
In 2023, nearly half of the new flats sold had four bedrooms or more. One in two new flats sold for more than €28 billion, with an average price of €37.1 billion—almost three times the figure for 2022. This sharp rise in both mean and median prices can be attributed to the type of properties sold, with 60.7% of transactions involving flats with three or more bedrooms.
Ten-year change in the number of sales by flat type:
The ten-year trend shows a remarkable increase in both mean and median sale prices. In 2023, the mean price of new flats was €37.1 million, and the median price was €28.5 million. This indicates a strong preference for high-end, spacious properties among buyers.
The Future of Monaco’s Real Estate Market
Looking ahead, the Monaco real estate market shows no signs of slowing down. The introduction of new ultra-luxury residences and the continued development of eco-district projects will only enhance the Principality’s appeal. With its unique combination of safety, stability, and luxury, Monaco remains a top destination for those seeking an exclusive and prosperous lifestyle.
Monaco Properties is at the forefront of this dynamic market, offering expert guidance and a curated selection of the finest properties available. Whether you are looking to invest in a luxury apartment, a charming villa, or a commercial property, our team of experienced agents is here to help you navigate the thriving Monaco real estate landscape. Contact us today to explore the exceptional opportunities that await in the heart of the Mediterranean’s most prestigious Principality.
Conclusion
The 2023 Monaco real estate market has demonstrated resilience and adaptability in the face of global economic challenges. While the number of transactions has decreased, the total transaction value and average property prices have reached new heights. This trend indicates a growing preference for high-end, luxury properties, making Monaco an attractive destination for affluent buyers. Whether you are looking to invest in Monaco's real estate or stay updated on market trends, understanding these dynamics can help you make informed decisions. As we move further into 2024, monitoring these trends will be crucial for anyone involved in Monaco's real estate market.
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SOURCE : Real Estate Observatory, 2023 (February 2024) Department of Tax Services, Monaco Statistics
About Us
Since 2001, Monaco Properties has been a cornerstone in the Monaco real estate market, recognized for our expertise, integrity, and discretion. Specializing in connecting discerning individuals with the finest properties for sale and rent in the prestigious Principality of Monaco, we uphold the highest standards as proud members of the Chambre Immobilières de Monaco.
Our dedicated team is deeply passionate about Monaco’s thriving real estate market, committed to providing personalized service tailored to meet the unique needs of our clients. Whether you seek insights into Monaco real estate trends or are considering investing in a luxurious property in this iconic place, we are here to guide you every step of the way.
At Monaco Properties, we don't just find you an apartment; we help you discover your dream home. Embark on your Monaco real estate journey with us, and let our experienced team assist you in navigating one of the world’s most dynamic and exclusive property markets.
Contact us today to explore the unparalleled opportunities that await in Monaco's luxurious landscape.
Over the years, we have earned multiple prestigious awards and accolades, including:
● European Property Award 2022/2023: Best Real Estate Agent in Monaco awarded to Martina BORBELYOVA from Monaco Properties.
● European Property Award 2023: Best Real Estate Agency Website and Best Property Agency/Consultancy Website in Monaco for our innovative online platforms, www.monacoproperties.mc.
● Luxury Lifestyle Awards 2024: Named 'Best Luxury Real Estate Agency Marketing in Monaco' for our exceptional marketing strategies.
