Monaco has become a city of millioners. However, there are many citizens in Monaco who are not. The laws 887, 1291, 1235 have a vast scope of matters regulated and among them are the issues of so-called "social" real estate in Monaco meant for the local market.
Some properties in Monaco fall under Law 887. It means that:
- they can be rented only to citizens of Monaco
- they can be rented to people with resident status of 5 years and more or people working in Monaco for more than 5 years
- they can be rented to relatives of the owner only
As most of apartments are rented to non-residents, this is a very strict limitation which is constricts the freedom of the owner.
The norms of the laws 1291 and 1235 are similar and regulate the use of the properties which were existing in Monaco by Sept.1st, 1947 (mostly older villas in Belle Epoque style). The limitations concern renting possibilities again. The properties under the 1291 law can be rented:
- only to citizens of Monaco
- to persons who have been residents of Monaco during last 40 years
- to persons born from Monegasque parents, widows/widowers of Monegasque citizens, former marital partners of Monegasque citizens, etc.
These limitations seriously effect the rights of non-resident owner and make the mentioned properties cheaper due to their limited use. As most of our clients are non-residents of Monaco, we always try to warn them of specific regulations in advance or not to offer units under these laws.
However, they regulate the sphere of tenancy only. If you intend to use the property in Monaco on your own, those laws won't effect you.