Monday, 6 February 2023

Monaco vs. Andorra

So have you ever wondered why people move to Andorra? We will give you an idea by comparing Monaco to Andorra. You might be surprised about the facts we are going to reveal in this article.

Let us start with the similarities of the two countries known as tax havens. Andorra as well as Monaco are located in Europe and use the Euro as a common currency. Both countries are members of the United Nations, but neither one forms part of the European Union. Monaco and Andorra furthermore list within the ten countries with the longest life expectancy worldwide.

Monaco and Andorra – Differences

But other than these factors, Monaco and Andorra are two completely different countries. Take their population density for example. Monaco’s country size is around 2 km2, whereas the population currently marks 37,800. Although it is the world’s second smallest country, its population density is one of the highest in the world. In 2015 there were 19,010 people living on every square kilometre. Remember, they only have two. Andorra on the other hand possesses a much larger land area. An approximate population of 85,000 distributes evenly on 468 km2. It is a country where you can get away from the hustle and buzzle of big cities to enjoy true peace of mind without having to look into your neighbour’s window.

Consider for example rental prices. Compared to Andorra renting a flat or house is about 7 to 10 times more expensive in Monaco, where you will get a smaller, less comfortable flat for your money. Buying or renting property in Monaco also involves costs for commissions and general legal costs. Although this also applies to Andorra, there is a considerable difference between paying a 10% commission on a directly similar property being 300,000€ in Andorra to a 2,500,000€ for one in Monaco. If you are interested in finding out more about real estate in Andorra, the Auge Grup offers multilingual consultancy services for any property related requests.

Benefits of living in Andorra

The average age in Andorra is about 43 years, whereas in Monaco it’s almost 52. So the age group able to afford to live in Monaco is almost ten years older than in Andorra. But what about Monaco’s great location you might wonder. The benefit of Monaco is its direct border with the Mediterranean Sea, but considering that beautiful beaches are only a 2,5-hour drive away from Andorra, weakens this argument remarkably.

So ultimately it comes down to deciding if you prefer the prestige of Monaco or a mountain paradise that offers you just about the same tax benefits, affordable real estate opportunities and a great connection within Europe.

I for myself opted for Andorra. The country’s fresh air, great sport activities and a quick connection to the Mediterranean Sea are just too attractive to miss out on. So I recommend, come and visit beautiful Andorra and decide for yourself.