Monaco real estate sector has indeed experienced an exceptional start to 2025, with residential sales reaching €2.6 billion between January and March. This marks a record-breaking first-quarter performance for both new-build and resale transactions, according to IMSEE‘s Q1 2025 economic report.
Key highlights from Q1 2025:
- Overall Sales Surge: Residential sales hit an unprecedented €2.6 billion, demonstrating strong demand.
- New-Build Dominance: New-build sales accounted for a significant portion, totaling €1.9 billion across just 42 transactions. This volume of activity is rarely seen and was only surpassed in value by 2024.
- Resale Market Exceeds Expectations: Resale activity saw 128 properties change hands, a 42.2% increase from the same period last year. This is the second-highest Q1 total since 2014.
- Record Resale Value: The value of resale transactions reached €734.9 million, a substantial increase of 31.2%, breaking the previous record by more than €170 million.
- Drivers of Growth: The handover of apartments in the Bay House residences (part of the Testimonio II project) and the Mareterra eco-district significantly contributed to this surge. These highly anticipated developments introduced a substantial amount of ultra-prime housing stock, attracting strong demand from international buyers.
Overall market outlook and trends:
The data from Q1 2025 points to a resilient market characterized by scarce inventory and the successful launch of premium developments. This robust performance across both new-build and resale sectors continues to solidify Monaco’s appeal for buyers seeking long-term investments.
Experts anticipate continued appreciation in Monaco real estate market due to strong demand and limited supply. The principality’s unique combination of limited land availability, stable political environment, favorable tax policies (no income, capital gains, or wealth taxes), and world-class infrastructure makes it a highly desirable destination for High-Net-Worth Individuals (HNWIs) and Ultra-High-Net-Worth Individuals (UHNWIs).
The increased appeal of larger apartments is also a notable trend, partly driven by changes in Monaco’s residency rules, which require accommodation to match household size. Developments like Mareterra, particularly in the Larvotto district, have seen significant price per square meter increases and are setting new benchmarks for ultra-prime properties.
