Should you buy property in your own name or through an SCI in Monaco?

In Monaco, the vast majority of real estate acquisitions are made in the buyer’s own name. This method is straightforward, easy to implement, fiscally advantageous for Monaco residents, and perfectly suited for personal use — whether it be a main residence, a second home, or an individual rental investment. It also allows for flexible management and clear inheritance planning, particularly due to the absence of inheritance tax in direct lineage.

However, certain profiles or projects may require a more structured approach, notably through an SCI (Société Civile Immobilière). While not a Monegasque structure, an SCI can be established in France or abroad (such as Luxembourg, Switzerland, etc.) and used to acquire real estate located in Monaco. This option must be considered carefully, as it entails specific tax, legal and inheritance implications.

An SCI may offer several advantages in certain cases:

• Shared ownership structure: when several family members or partners wish to co-own a property, the SCI allows for clear rules to be established (decision-making, resale, rental management, cost-sharing, etc.).

• Anticipated succession planning: the company shares can be gradually transferred to heirs, enabling custom succession plans while retaining control over the asset.

• Protection of personal assets: the property is held by a separate legal entity rather than directly by an individual, which may be advantageous in cases of divorce, joint ownership disputes, or legal issues.

• Flexible management: the SCI offers freedom in its statutory organisation, such as appointing a manager, setting approval or exclusion clauses, and adapting to specific family or international circumstances.

That said, this structure is not always the simplest or most advantageous in the Monegasque context:

• More complex formalities: creating and managing an SCI requires the intervention of a lawyer or notary, dedicated accounting, and transparency requirements (notably concerning beneficial ownership).

• Different taxation: a French SCI is subject to corporate or income tax in France, which may cancel out the tax advantages of Monaco residency — especially the exemption from income tax.

• Limited suitability for personal use: if the property is intended to be your main residence in Monaco, purchasing in your own name is often more appropriate, particularly for simplifying the residence card application process.

In summary, buying through an SCI may be a wise choice for organising family assets, preparing a succession, or setting up shared ownership, as long as the project is coherent and guided by expert advice.

At Dameno | Monaco Real Estate, we work with you to evaluate the benefits and limits of each acquisition method, in close coordination with your legal, tax, or family advisors. Our goal is to offer the most suitable solution based on your personal situation, your asset strategy, and the Monegasque regulatory framework.