The
property in Morocco is fast becoming an overseas investor favorite due
to its transparent economy and huge potential on this flourishing
market. The media has indeed elevated its status by such large projects
as the 'Vision 2010' which encompassed vast economic developments and
widespread upgrades to the tourist sector.
There has been an increase in televised programs and newspapers that continuously publicize the rise of the Moroccan property market, with statistics now showing that currently 3 out of 5 African properties owned by Europeans overseas are within Morocco. This figure is very likely to increase as the government continues to push more initiatives to favor foreign investment and tourism, a win-win situation as the country's economic growth steadily increases and foreign investors will eye a much more favorable market amongst its nearby competition of the likes of Spain, Egypt, Turkey and even Dubai, which are struggling with the pace at which Moroccan properties are rapidly converting.
According to the World Travel and Tourism Council (WTTC), tourism in Morocco is set for steady growth within the next 5 years by between two and four percent. More tourism means the need for more accommodation; the property rental in Morocco is booming and attracting investors in the plenty. Luxury hotels are being built and upgraded all over the country; to name Marrakech that will be opening 20 large 5 star hotel within the festive season alone.
Among the British who now see Morocco real estate as a better option than its Spanish counterpart, so do the Spanish, the French and the Italians. Where the Spanish property market is over saturated with higher risk and prices, the Moroccan property market is still young and has a lower risk to returns ratio.
Moroccan property investor view points:
• Excellent all year round weather conditions
• Purchase tax only 1.0% on the total price
• Government registration fee 4%.
• Legal fees 0.5%.
• Property Agency commission 2.5% - 3%
• Rental income taxed at 13.5%. Rental income is free from tax for the first 5 years.
• 20% Capital Gains Tax if sold within 5 years, 10% to 10 years, 0% thereafter.
• Casablanca and Marrakech property prices average at around €2,000 m².
• Local property rental market yields at around 7% - 10%
• Real Estate prices may increase by as much as 35% in some hot spots
There has been an increase in televised programs and newspapers that continuously publicize the rise of the Moroccan property market, with statistics now showing that currently 3 out of 5 African properties owned by Europeans overseas are within Morocco. This figure is very likely to increase as the government continues to push more initiatives to favor foreign investment and tourism, a win-win situation as the country's economic growth steadily increases and foreign investors will eye a much more favorable market amongst its nearby competition of the likes of Spain, Egypt, Turkey and even Dubai, which are struggling with the pace at which Moroccan properties are rapidly converting.
According to the World Travel and Tourism Council (WTTC), tourism in Morocco is set for steady growth within the next 5 years by between two and four percent. More tourism means the need for more accommodation; the property rental in Morocco is booming and attracting investors in the plenty. Luxury hotels are being built and upgraded all over the country; to name Marrakech that will be opening 20 large 5 star hotel within the festive season alone.
Among the British who now see Morocco real estate as a better option than its Spanish counterpart, so do the Spanish, the French and the Italians. Where the Spanish property market is over saturated with higher risk and prices, the Moroccan property market is still young and has a lower risk to returns ratio.
Moroccan property investor view points:
• Excellent all year round weather conditions
• Purchase tax only 1.0% on the total price
• Government registration fee 4%.
• Legal fees 0.5%.
• Property Agency commission 2.5% - 3%
• Rental income taxed at 13.5%. Rental income is free from tax for the first 5 years.
• 20% Capital Gains Tax if sold within 5 years, 10% to 10 years, 0% thereafter.
• Casablanca and Marrakech property prices average at around €2,000 m².
• Local property rental market yields at around 7% - 10%
• Real Estate prices may increase by as much as 35% in some hot spots
The Moroccan property market is currently at a boom, this is the time to invest if you are capable: visit to .
Article Source:
http://EzineArticles.com/?expert=Ahmed_Yermak
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