MONACO RESIDENCY APPLICATION

Navigating the Path to Monaco Residency

Monaco, a haven of luxury, favorable tax policies and a prestigious lifestyle, has attracted individuals seeking an extraordinary living experience. Attaining residency in Monaco is a coveted goal, promising a world of opportunities and privileges. This guide outlines the essential steps and requirements for obtaining Monaco residency, ensuring you embark on this journey with confidence.

1. FINANCIAL PREREQUISITES:

Monaco’s elevated living standards demand financial stability from its residents. To meet this requirement, you need to deposit and maintain a minimum of EUR 500,000 in a Monaco-registered bank account under your name throughout the residency tenure. The exact deposit amount might vary based on personal circumstances and chosen banking institutions.

2. SECURING ACCOMMODATION:

The path to Monaco residency involves securing appropriate housing. This can be achieved through:

Purchasing or renting a property in Monaco.
Being a director or unit holder of a company that owns a Monaco apartment. Ensure your chosen accommodation meets the size requirements for your family and consult real estate agencies like Monaco Properties to adhere to local regulations.

3. LONG-STAY VISA:

Non-EU/EEA nationals must obtain a long-stay visa from France before accessing Monaco.

4. CRIMINAL RECORD:

Applicants are required to provide a clean criminal record certificate from countries of residence for the past five years.

5. NECESSARY DOCUMENTATION:

To initiate the residency application process, gather a comprehensive set of documents, including:

Completed residency application forms.
Valid passport or national identity card.
Birth and marriage certificates (if applicable).
Proof of address and Monaco accommodation.
Evidence of financial stability, including bank statements and income details.
Curriculum vitae and professional references.
Clean criminal record certificate

6. PROFESSIONAL SUPPORT:

Navigating the Monaco residency process can be intricate. Engaging experienced professionals, such as Monaco Properties specializing in Monaco residency, can guide you through the process, verify your documents, and provide valuable advice.

The structured application process for Monaco residency includes:

While timelines vary based on individual situations, a typical Monaco residency timeline involves:

Monaco Residency Process

To obtain Monaco residency, you’ll progress through several stages, including:

Applying for a long-stay visa (for non-EU citizens) through the French Consulate or Embassy.
Gathering the necessary documentation for the Monaco residency permit. Participating in an interview with the Residents Section of the Monaco government.
Receiving the temporary residence permit (valid for one year) and subsequently renewing it for three consecutive years.
Attaining the permanent residence permit (valid for three years) and renewing it as required.

APPLICATION TIMELINE

While timelines vary based on individual situations, a typical Monaco residency timeline involves:

Month 1: Applying for a long-stay visa (non-EU citizens).
Month 2: Compiling documentation for the residency permit.
Month 6-7: Receiving the temporary residency permit.
Year 1: Annual renewal of the temporary residency permit.

APPLICATION PROCESS

Preliminary Assessment

Documentation Compilation

Consult professionals like Monaco Properties to assess your eligibility and ensure alignment with criteria.

Gather essential documents, such as identification, financial statements, criminal record proof, and a commitment statement for residing in Monaco.

Application Submission

Interview and Evaluation

Residency Permit Issuance

Submit the complete application and supporting documents to the relevant Monegasque authorities responsible for residency matters.

If your application meets requirements, an interview with the Monaco Public Security Department is scheduled for further assessment.

Successful completion of the evaluation results in the coveted Monaco residency permit, granting the privilege to reside in the principality.

Legal processes in detail

There are a number of legal procedures to complete ahead of a Monaco property changing hands and being registered in a new name. Here are the steps in detail.
1. Offer to purchase

In Monaco, the first stage of the legal process is when the buyer makes a formal written offer to purchase the property. This states the price that the buyer is willing to pay and how long the offer will be valid for (usually between two to five days). The offer becomes null and void after the validity period if the seller has not responded in time.
2. Choice of Notary 'Notaire'

Once the offer has been accepted in writing by the seller, the parties appoint a Monaco notary ('notaire'), it is possible that the same notary will act for both parties. The role of the notary is crucial throughout all stages of the sale, from the preliminary searches through to sale and registration. In addition to the notary, who can also assist on the civil law and process to organise the future transmission of the asset, some buyers choose to appoint a lawyer to help with certain aspects of the purchase, such as, for example, estate planning.
3. Compromis de Vente & Payment of Deposit

Once the buyer's offer has been accepted, the buyer and seller sign a preliminary contract called a 'compromis de vente' The buyer must pay a deposit. This is typically equal to 10% of the purchase price. The deposit should be paid into an escrow account held by the notary.
5. Completion

Before completion can take place, the remaining purchase price, the registration fees and notary/real estate agent fees must be paid to the notary. Signature of the sale deed takes place at the notary's office. However, the buyer can sign at a distance via a power of attorney prepared by the notary.
6. Registration

After signature, the notary will register the sale with the Monaco Land Registry. In the interim period, after signature by the parties and before registration, the buyer receives a completion certificate (attestation de vente), which can be used as proof of ownership.
Costs and Fees

Purchase of real estate itself In general, on the purchase of "second-hand" property, costs and fees will amount to 6.25% of the purchase price and will be due by the Purchaser. This 6.25% comprises registration duty (4.75%) and notarial fees (1.5%). This rate applies where the purchase is made by individuals or a Monaco SCl. A higher rate of 7.5% registration duty applies if the acquisition is made by, say, a foreign company: on top of this will be the notarial fees of 1.5% making a total due of 9% provided certain conditions are met by the structure in question (eg the appointment of a fiscal representative who identifies the ultimate beneficial owners). This 7.5% duty will increase to 10% as regards transactions involving entities whose beneficial owners are not individuals or entities of which the individual beneficial owners are not disclosed, so that in total 11.5% will be due in these circumstances In some cases (e.g. where the property is new or under construction) registration duty will not apply and rather the sale price will include value added tax (TVA) at the rate of 20%. Notarial fees and transcription duty amounting to a total of 2.5% will be due, payable by the Buyer, regardless of whether the Buyer is an individual or a corporation. Purchase of a foreign property-holding company Where the real estate is owned by a foreign company, the Buyer may possibly be able to buy this structure: in this case, registration duties of 4.5% on the property value will be levied on the change of beneficial ownership pursuant to the sale.
Tax Implications

Monaco levies no income taxes, capital gains taxes or wealth taxes on individuals. French nationals resident in Monaco nonetheless pay income tax and wealth tax in France in certain circumstances. Monaco gift and estate duties exist but only on Monegasque-sited assets. The rate of such duties is 0% on dispositions to parents, a surviving spouse, children or remoter issue. On other dispositions, gift and estate duties are due at differing rates depending upon the degree of relationship between donor and done; the maximum rate of 16% applies in the case of dispositions to non-relatives. Duty is payable by the recipient.
Acquisition Fees, Taxes and Succession Rules

Monegasque law will generally be paramount insofar as Monegasque real estate succession matters are concerned. In principle, if you own the real property in your own name and regardless of your nationality or where you reside, on your death, title to the property will pass in accordance with Monegasque law, which reserves a major portion of your estate to your descendants (legitimate and illegitimate). Where you have no descendants, your ascendants will largely benefit. It is also though now possible for an individual to choose his/her national law to govern his/her assets (including real estate) thus allowing the individual to dispose of his/ her assets free from any rules of reserved heirship. In respect of personality, Monaco will refer to the succession laws of your country of nationality. Professional advice should be taken on the inheritance implications of your purchase in terms of the Monegasque rules of succession.
Can my family join my Monaco Residency Permit application?

Yes, your spouse/partner and children above 18 can be included. Note that minors under 16 may not obtain a residence card but could be eligible for a “Travel document for minors.”
Is there an age limit for the main applicant?

Yes, the main applicant must be 18 or older for the Monaco Residency Permit.
Are specific education or work experience criteria required?

No, Monaco does not impose these requirements. Yet, relevant qualifications and experience can be beneficial.
Is a language prerequisite for the Monaco Residency Permit?

No, no language requirement exists. However, French knowledge aids integration.
Can the applicant work in Monaco?

Yes, as a resident, you enjoy the same benefits as citizens, contingent on fulfilling requisites and contributing to the public health system.