Finance for your Real Estate Investment in Morocco - (2024)

FAQs

Finance for your Real Estate Investment in Morocco -? ›

In order to finance the purchase or construction of real estate, foreign non-residents have the opportunity to obtain loans in the local currency from Moroccan banks. From a landlord's perspective the returns on property investment – the rental yield earned – are good, investing in Morocco.

Fez - Morocco has appeared in the list of top six international markets for real estate investment in 2022, according to a note from global real estate investment expert Live and Invest Overseas (LIOS). The North African country ranked fifth behind Panama, Colombia, Brazil, and Montenegro and before the Philippines.

So plan ahead. If you have your eye on a property, get a promise of sale signed and then get to work on your finance. To resume, getting a mortgage in Morocco is a relatively simple affair. All the big banks offer packages to non-resident foreigners for the purchase of titled property.

Real estate investment offers many advantages in Morocco, including assessment and depreciation with tax transfer, leverage, higher cash flows, and diversification.

As a foreign national, you can become the sole owner of 100% of your property in Morocco. This is facilitated by the fact that you do not need to be a resident to open a bank account in Morocco. It should also be noted that around 10% on top of the final selling price will also be added to the final selling price.

Last, Morocco being a country of rapid economic growth, you can expect to enjoy some good added values, together with a high rental return, 6 to 8 %, from your real estate investments. In conclusion, real estate investment in Morocco is an advantage.

Out of the 23.6 million adults in Morocco, 75.5% have a net worth of less than $10,000 (around MAD 90,000). Around 23.6% are worth between $10,000 and $100,000, and 1.3% have a net worth ranging between $100,000 and $1,000,000. Finally, only 0.1% of Moroccan adults are worth more than a million dollars.

Property tax is assessed on the rental value of the property. The general property tax rate is 10% of the assessed rental value, as determined by the local tax authorities.

Unless specifically excluded by a treaty, foreign-source income earned by a Moroccan resident is taxable in Morocco. Residents are entitled to tax credits for withholding tax (WHT) paid on certain types of income from other tax treaty countries.

Yes, American expats abroad can take out a personal loan. However, some limitations or restrictions can make the process difficult. For example, a U.S bank account is a must-have for taking out an international personal loan.

Is $1000 dollars a lot in Morocco ? ›

Yes, compared to American standards, $1,000 will go a long way in Morocco. Since the Moroccan cost of living is $409 per month, it's possible to live very comfortably in Morocco for $1,000 a month.

Casablanca covers the richest and most sophisticated aspects of Morocco life, style, and architecture.

If you plan to stay in Morocco for more than 90 days, you will need to register with the police and apply for a residence permit, known locally as a Certificat d'Immatriculation.

As a US citizen, if you want to travel to Morocco for tourism or other short-term purposes, you are not subject to any visa requirements at all. US citizens, along with several others, are exempt from Morocco visas and can visit the country with just their passport and a return flight ticket for up to 90 days.

Residence Permits

After moving to Morocco, you will need to obtain a residence permit (carte de séjour) if you are planning on staying for longer than 90 days. You can obtain this permit from the immigration authorities (Bureau des Étrangers) at the central police station in your district.

If you have a good income, people in your life that speak the language, and are open to trying out new ways of living, Morocco could be a great choice. However, it is not particularly an easy place to live for many people.