European citizens are increasingly interested in the offerings of Moroccan real estate, making them the leading investors. After a difficult decade, the sector is picking up momentum again. How is the real estate market faring? What are the prices per square meter? Let's take a look at investment opportunities.

Investing in Morocco: All the advice you need to know

European citizens are increasingly interested in the offerings of Moroccan real estate, making them the leading investors. After a difficult decade, the sector is picking up momentum again. How is the real estate market faring? What are the prices per square meter? Let's take a look at investment opportunities.

Moroccan real estate: current situation

After a real estate boom in the early 2000s and a surge in prices, the Kingdom of Morocco was not spared from the 2008 financial crisis and the Arab Spring, which completely reshuffled the deck. Indeed, the volume of transactions plunged, resulting in a simultaneous drop in prices. According to Les Échos, while the trend is more stable in cities like Casablanca or Rabat, prices have sharply declined in other major cities such as Tangier or Marrakech. The attractiveness of the country—stable climate, low cost of living, remarkable cultural heritage—continues to attract an increasing number of tourists. However, in recent years, European citizens are not only attracted by the quality of life but also by the appealing real estate prices and the prospect of foreign investment. Thus, Morocco still has a lot to offer; its geographical proximity to France and the political stability of the country are gradually bringing back foreign investors.

The importance of titled real estate

If you wish to invest in Morocco, there are some rules and precautions to follow. The acquisition of a property known as "titled" is highly recommended due to the security it provides. It is registered with the National Agency for Land Conservation, Cadastre, and Cartography (ANCFCC).

A titled property offers you two guarantees:

        • Facilitated resale;

        • Simplification in case of transmission to heirs.

What is a Melkia?

Untitled real estate properties are called "Melkia." It is a legal document attesting to the ownership of a property, which holds value but is nonetheless limited. Therefore, it is safer to have a property registered with a land title.

Real estate loan in Morocco

It may be advantageous for a French citizen to borrow in Morocco rather than in France because banks in Morocco are more lenient with reduced personal contributions. However, some conditions are necessary for eligibility:

      • Open a convertible dirhams account in a Moroccan bank;

      • Have a down payment equivalent to 30% of the property value in dirhams;

      • Provide guarantees to cover the mortgage (salaries, etc.);

      • Transfer your contribution by wire and inform the Moroccan Operations Office.

      • Investing in Morocco: What are the tax advantages?

Indeed, for a foreign investor, the tax attractiveness is significant. Any French citizen wishing to acquire a second home in Morocco will be exempt from property tax for a period of three years. As a non-resident buyer, you will be able to transfer the entire selling price of your property to France upon resale. For retirees who have chosen to establish fiscal residency in Morocco and live in the country for more than 183 days per year, they may be eligible for a reduction in the taxable amount of their pension. However, to benefit from this, their retirement pension must be transferred to a non-convertible dirhams bank account managed and opened by a Moroccan bank.

There are indeed real buying opportunities in Morocco; however, it is necessary to gather thorough information and exercise caution before venturing into foreign investment.