Covid-19 and the property market: is it business as usual in Monaco?

Faced with the crisis, Monegasque real estate has shown resilience. John Taylor Monaco

On Friday 29 January, the Institute of Statistics and Economic Studies in Monaco (IMSEE) published a report on the 2020 property market. So, how has Covid-19 impacted buying and selling in the Principality?

At the dawn of 2021, it’s time to take stock. The first observation on the real estate market? Last year, only 26 new apartments were delivered. And as in 2019, plan sales account for the majority of transactions (75%). However, the number of sales (16) remains much lower than in the last five years. The total amounts to 218.7 million, of which 97.5 million for the 4 rooms and 71 million for the 5 rooms and more.

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The economic crisis that has hit the world could explain these changes, such as travel restrictions or the reluctance to get acquainted with the site for fear of being contaminated by Covid-19. This even though many agencies have demonstrated adaptability by offering virtual visits.

Le Larvotto: most expensive neighbourhood

Depending on the neighbourhood, prices vary. They range from 37,500 euros per m2 in the Exotic Garden to 65,520 euros in the Larvotto. The IMSEE explains that last year there were seven transactions in Larvotto which allowed its average price to be recalculated. This was not possible for Monaco-Ville with only one transaction whose surface area was known.

Thus, as in 2017 and 2018, Larvotto (re)becomes the most expensive neighbourhood. The average price per m2 of resales remained stable at 47,619 euros (-1.1%). 48,799 in 2019 and, over ten years, it has increased by 52.3%.