The new-build market:
For the first time in 10 years, and after the record year of 2022 with 146 new flat deliveries, there were no new apartment deliveries in 2023 in the Principality.
However, this did not stop sales of off-plan properties, or those delivered less than 5 years ago: there were a total of 28 transactions in 2023, all completed in the first 9 months, for a total of €1,039.5m. Nearly half of all sales were of properties with 5 rooms or more (including 3 villas).
For the properties sold in the new-build market in the Principality of Monaco:
- Total sales still in excess of one billion euros (€1,039.5m). This is the second highest year since the Observatory was set up in 2006, after 2022 (€1,190.3m),
- An average price of €37.1m, 3 times higher than in 2022, and
- A sharper distribution of sales, with 6 out of 10 flats sold for more than €20m.
The resale market:
There was a sharp fall in property resales in 2023, with just 388 transactions, the lowest level since 2012. This decline mainly concerns studios and 2-room apartments, while resales of 3- and 4-room apartments are on the rise.
Given the type of property sold in 2023 in the Principality, the value of resales has fallen (-6.7%) more moderately than the number of resales (-10.4%) to reach €2,192.3m.
The price per square metre of resales rose to €51,418, almost reaching its 2021 record level of €51,912.
The average price of resales, at €5.7m, is up by 4.1% and is close to its 2019 record level (€5.8m).
Once again, the type of property resold plays an important role in understanding the figures for 2023:
- The fall in prices per square metre for studios (-8.9%), 2-room apartments (-14.3%) and 3-room apartments (-2.8%) offsets the increase in prices for 4-room apartments (+5.1%) and 5-room apartments and more (+18.7%).
- This explains the fall in the average price of studios (-0.3%) and 2-room apartments (11.3%), while that of 3-room apartments and more is reaching record levels: €5.5m for a 3-room apartment (+6.1%), €9.3m for a 4-room apartment (+11.1%) and €17.5m for a 5-room apartment (+19.4%).
Neighbourhoods :
Finally, whilst there are no figures on the situation for new-build properties, the Observatoire provides some interesting data on the distribution of properties resold in 2023:
- Once again, it is the La Rousse and Monte-Carlo districts that are seeing the most property resales (62.4% in these districts).
- The price per square metre is rising in all districts, except Monte-Carlo, where it is falling by 6.2%. 5 of the 7 neighbourhoods even exceeded their historical levels, with the highest increases recorded in the following areas
- La Condamine, which exceeded €50,000 for the first time, with an average price of €54,099 and an increase of 19.7%,
- Les Moneghetti, with an average price of €46,511 per square metre, an increase of 18.3%,
- And finally, the Exotic Garden, which for the first time exceeds €40,000, with an average price per square metre of €46,511, an increase of 10%.
- And, unsurprisingly, Larvotto remains the neighbourhood with the highest average price per square metre, at €65,857.
Taking the new and existing property markets together, the Principality's property market fell by 20% in terms of volume and 8.7% in terms of value in 2023.
In concrete terms, this means :
- 416 transactions in 2023, i.e. 105 fewer than in 2022, which is not so surprising given that the previous year saw a sharp rise in the property market and a record year in terms of new apartment deliveries.
- The fall in value is less significant, thanks in particular to the increase in average new-build prices, driven by the Mareterra project, which have almost tripled from €13.5m in 2022 to €37.1m in 2023, while the average price for existing homes has also risen slightly, from €5.4m to €5.7m.
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