Navigating Property Acquisition in Monaco
A Step-by-Step Guide how to buy an apartment in Monaco
Monaco, the jewel of the French Riviera, offers not just stunning landscapes but also a luxurious lifestyle that many dream of. If you're considering making Monaco your home, the process of acquiring property here is a unique and captivating journey. In this article, we'll walk you through the step-by-step process of purchasing property in the Principality of Monaco.
Step 1- Written offer (Offre d’Achat)
- Clearly Expressing Your Intentions Before you even think about signing a sales agreement leading to the property deed, you start with a written offer to purchase. This offer serves not only to communicate your intention to the seller but also involves a deposit of 10% of the total transaction amount, submitted to a notary to make it credible.
This written offer is not a mere formality; it's a legal commitment that binds both the potential buyer and the seller. The key details that must be included in the offer are the buyer's identification, a detailed property description, the agreed-upon price, a validity period for the offer, the seller's response process, and the amounts for notary fees and real estate agency commissions, both of which are the responsibility of the buyer.
The deposit, usually set at 10% of the sale price, can vary depending on specific circumstances. In Monaco, it's often established through a simple bank check from a bank in the Principality or a bank transfer after the offer is accepted. Unless stated otherwise by the buyer, the notary will not cash the check without mutual agreement.
Once the seller accepts your offer, you are committed to the purchase. If the buyer decides to withdraw from the transaction after the seller has accepted the sale price, the deposit becomes the property of the seller. Conversely, if the seller backs out, the deposit is refunded to the buyer, and the notary may impose a penalty equal to the deposit amount on the seller.
Step 2: The preliminary contract (Compromis/Promesse de Vente)
- is a crucial document that precedes the signing of the authentic property deed. It contains more detailed information than the initial written offer to purchase and is notarized to confirm the intentions of both parties. This step is particularly pertinent in complex transactions.
The authentic property deed, prepared by a notary, confirms the specifics of the sale and the agreement between the buyer and seller. This deed is legally binding and carries the same weight as a final court judgment. It officially establishes the new property ownership on a specified date, offering comprehensive protection of your interests.
Step 3 - Completion (Acte de Vente)
- The sale is completed at the Notary's office with the final payment, including Notary fees and transfer taxes, which the buyer covers. After signing the 'Acte de Vente,' the Notary transfers the deposited funds, registers the new owner and any mortgage at the deeds registry.
Budget Overview : As a member of the Chambre Immobilier Monégasque, MONACO PROPERTIES agency commits to adhering to the established fee schedule. The property acquisition costs include:
- Registration and notary fees, which amount to 6% of the property sale price in the case of a private sale.
- Real estate agency fees, totaling 3% plus a 20% VAT on the 3% of the property sale price.
- An upfront payment of 10% of the property sale price, submitted at the time of the offer to purchase.
- These fees, along with the remaining sale price, are payable on the day of the property deed signing before a notary in the Principality.
Conclusion: The process of acquiring property in Monaco is as unique as the destination itself. It combines legal precision with financial commitment, culminating in the transfer of property ownership in one of the world's most exclusive and desirable locations. With a notary overseeing the transaction, the authenticity and legality of the deal are assured, giving peace of mind to buyers in this luxurious corner of the French Riviera.
Discover the exclusive offers of our agency Monaco Properties here, or contact us for more information at:
Tel. +377 97 97 33 97
Whatsapp : +33 6 40 62 65 76
Email : info@mpmonaco.com
