Property is an excellent investment and can deliver maximum returns. A well-constructed investment property portfolio in Marrakech can provide very healthy capital appreciation returns over the long term and a tax efficient income in retirement. Morocco was recently voted 3rd best investment destination in 'International Property Investor' magazine.
Marrakech Property are able to provide specialist advice on buying a Marrakech property for investment as many of our clients buy property overseas for this purpose.
The most important thing to remember when viewing Marrakech properties solely for investment is to remove all emotion from the purchase and think only of the facts that investment property in Marrakech offers:
- Safe Investment - Property Law based upon Napoleonic principles with Notary supervised property registration similar to France and Spain.
- Easy repatriation of investment when you re-sell in the future.
- Low property taxes with no rental tax in Morocco for 5 years.
- Capital gains tax initially 20% on profits but after 5 years it falls to 10% and after 10 years it is 0%.
- No inheritance tax if passed to a family member.
- Marrakech property prices are 50% less than other European resorts.
If you would like to receive detailed information please contact us by email or telephone and ask for an Investors Pack. This includes an in depth analysis of investment properties in Morocco.
What kind of people is the area attracting?
Marrakech is attracting investors, second home buyers, holiday makers and independent travellers. Morocco is committed to increasing investment in the tourism sector, the Vision 2010 project forecasts tourists visiting the country will have increased from 2.2 million in 2002, to 10 million by 2010. The government has also pledged a huge budget into improving the infrastructure and facilities available. The best time to buy an investment property in Marrakech is now.
A critical factor when considering Marrakech properties for investment is the communication network. Most major cities in Europe have direct economy flights to Marrakech. In addition, the national airline Royal Air Maroc is currently expanding their network both internally and into Europe and America.
What are the realistic indicators for growth in the city and the rental demand for both holiday and residential property?
The investment property market in Marrakech is booming with realistic growth of about 15% plus a year, this figure is based on growth performance over the last 2 years. With prices about 50% - 70% below the equivalent property specs in other major cities, there is still considerable growth to be realised from the investment property market in Marrakech.
The quality of the Marrakech property developments for investment and facilities that are being built are equal to luxurious European resorts at a fraction of the cost. The build density is extremely low and there is no saturation of the landscape that has been witnessed in large areas of Spain. Buying costs are also over 50% less. All of these factors are influencing and increasing demand for investment property in Marrakech.
Rental demand is proving to be extremely strong with established resorts reporting 75 - 85% occupancy. There are advantageous property taxes in relation to rental with no rental tax in Morocco for 5 years.
The progressive political and economical climate in the country that is being driven by King Mohammed VI will only strengthen this situation.
Interested in Marrakech property for investment? Contact us for further details