Why Morocco attracts diaspora investors
Morocco remains one of the most accessible and dynamic real estate markets on the African continent. For the French-speaking diaspora, it combines a rare advantage: a legal framework open to non-residents, gross rental yields significantly higher than those in France (3 to 4 %) or Switzerland (2 to 3 %), and long-term momentum driven by the 2030 World Cup, co-hosted with Spain and Portugal. According to data from the Office des Changes, foreign direct investment in Moroccan real estate grew by 55 % year-on-year. Here are the real figures you need to know before getting started.
Price per m²: a city-by-city overview
The 2025 real estate report from the Mubawab portal, based on nearly 100 000 listings, provides average apartment prices in the four major cities: Rabat remains the most expensive city at 17 514 MAD/m², followed by Marrakech (16 060 MAD/m²) and Casablanca (15 310 MAD/m²). Tanger sits at around 11 400 MAD/m², with peaks above 16 000 MAD/m² in upmarket neighbourhoods such as Malabata.
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These averages conceal significant neighbourhood-level disparities: in Rabat, Souissi peaks at 23 451 MAD/m²; in Casablanca, premium areas (Anfa, Gauthier) exceed 20 000 MAD/m², while extensions such as Dar Bouazza capture a large share of demand. A second source, the agency agenz, corroborates these levels with 2025 prices of 14 500 MAD/m² in Rabat, 13 900 MAD/m² in Casablanca and 13 000 MAD/m² in Marrakech.
Over one year, the official real estate asset price index (IPAI) from Bank Al-Maghrib and the ANCFCC confirms measured growth in the 4th quarter of 2025: +2,1 % in Casablanca, +1,6 % in Rabat, +2,4 % in Marrakech and +1,9 % in Tanger, with transaction volumes up 8 %.
Comparative city table
| City | Indicative price per m² (MAD) | Indicative gross yield |
|---|---|---|
| Rabat | 14 500 – 17 500 | 5 – 6,5 % |
| Casablanca | 13 900 – 15 300 | 5 – 7 % |
| Marrakech | 13 000 – 16 000 | 6 – 9 % |
| Tanger | 11 400 – 12 800 | 5 – 8 % |
Average apartment prices per m² (Mubawab 2025, agenz 2025); gross rental yields, before charges and taxes.
Rental yields: long-term lets or tourist rentals
The national average gross rental yield stands at around 6,7 %, a high level compared to Europe. However, the differences between cities and between uses are decisive.
Long-term rentals
This is the most liquid and most predictable profile. In Casablanca, the country’s economic hub, the gross yield hovers around 5 to 7 %: an 80 m² apartment in Maarif rents for approximately 8 000 to 12 000 MAD/month. In Rabat, a stable market underpinned by demand from government bodies and expatriates, the yield is more moderate (5 to 6,5 %). In Tanger, the industrial momentum (Tanger Med, free zones) sustains rental demand from executives, with yields of 5 to 8 % depending on the neighbourhood.
Short-term tourist rentals
Marrakech dominates this segment: driven by near-permanent tourism (approximately 8,5 million visitors in 2025), furnished seasonal rentals generate gross yields of 7 to 9 %, or even 10 % in the best neighbourhoods such as Route de Safi. The median yield calculated on active listings (Yakeey and Sarouty) is approximately 7,2 %. Caution, however: the actual net yield is generally 1 to 2 percentage points lower, once vacancy, service charges and management fees are deducted. Short-term rentals also require intensive management and municipal authorisations.
Legal framework for non-residents
Unrestricted purchase for urban properties
A foreign non-resident may purchase a built property (apartment, villa, commercial premises) without prior authorisation and without any residency requirement. A Moroccan bank can even finance up to 80 % of the price, subject to a statutory declaration confirming that the buyer does not own another residence in Morocco. The only major restriction concerns agricultural land: its acquisition by foreigners is prohibited (dahir of 13 June 1990, and prohibition on the sale of rural land to foreigners since 1973). A waiver exists via the non-agricultural vocation certificate (VNA), but the process is lengthy and the definitive certificate is only issued once the project is completed.
The convertible dirham account: key to repatriation
For a non-resident, the decisive point comes at the time of purchase, not at resale. By financing the property with imported and declared foreign currency, and by using a convertible dirham account opened with a Moroccan bank (a scheme regulated by the Office des Changes), you establish proof that the capital originates from abroad. It is this traceability — account statements, international transfer orders, bank certificates — that will later authorise the repatriation of the sale proceeds, including both capital and capital gains. A purchase financed in non-convertible dirhams does not provide the same guarantee of retransfer.
Acquisition costs: budget 6 to 8 %
The listed price is not the price paid. Budget approximately 6 to 7 % in costs for a cash purchase, and up to 8 to 9 % with a mortgage. The breakdown:
- Registration duties: 4 % of the price for a built residential property (5 % for bare land, 6 % for commercial premises);
- Land registry (ANCFCC): approximately 1 to 1,5 % plus fixed fees;
- Notary fees: approximately 1 % (degressive scale set by law), plus VAT at 10 %;
- Agency fees: generally 2,5 to 3 % of the price.
Tax considerations
- Rental income: liberatory withholding tax of 10 % (annual gross rent below 120 000 MAD) or 15 % (from 120 000 MAD) for non-residents;
- Capital gains tax on resale (TPI): 20 % of the net profit, with a minimum of 3 % of the sale price. The primary residence held for more than 6 years is exempt;
- Annual local taxes: urban tax (10 % of the rental value, with a 75 % allowance for the primary residence) and communal services tax (10,5 %).
High-potential cities and areas
- Casablanca: market depth and liquidity; Dar Bouazza dominates villa demand, Casablanca Finance City attracts a creditworthy business clientele.
- Rabat: stable safe-haven value; Agdal, Hay Riad and Souissi neighbourhoods for capital appreciation security.
- Marrakech: the country’s highest yields through seasonal rentals; medina riads and the Hivernage and Guéliz neighbourhoods.
- Tanger: the long-term bet — the expansion of Tanger Med, Cité Mohammed VI Tanger Tech and preparations for the 2030 World Cup are supporting both prices and demand.
Risks to anticipate
- Localised price correction: the market went through an adjustment phase in 2025, particularly in the mid-range segment where supply was in surplus, before stabilising.
- Untitled properties: part of the older housing stock (melk, habous) is not registered; favour a titled property or seek enhanced legal expertise.
- Repatriation blockage: without proof of foreign currency importation at the time of purchase, the transfer of sale proceeds may be blocked, even after tax has been settled.
- Regulatory risk for short-term rentals: municipal authorisations and tourist tax obligations must be observed.
- Agricultural land and VNA: during the blocking period, the property can neither be resold nor rented.
Frequently asked questions
Can a foreign non-resident freely purchase a property in Morocco?
Yes, for built properties in urban areas: no prior agreement or residency requirement is needed. Only agricultural land is prohibited for purchase by foreigners, unless a non-agricultural vocation certificate (VNA) is obtained.
What costs should you realistically budget for when buying property in Morocco?
Between 6 and 8 % of the price on average: 4 % in registration duties, approximately 1 to 1,5 % for land registry fees, approximately 1 % in notary fees (plus VAT at 10 %) and 2,5 to 3 % in agency fees. With a mortgage, budget closer to 8 to 9 %.
How do you repatriate funds after selling a property purchased in Morocco?
The right to repatriation is established at the time of purchase: finance the property with imported and declared foreign currency, via a convertible dirham account, and keep all supporting documents (transfer orders, statements, bank certificates). Without this traceability, the transfer of sale proceeds abroad may be refused by the Office des Changes.
Also read: Investing in real estate in Africa — a full comparison of 6 markets.
