Guide to Buying Property in Morocco
The Moroccan Property Market
In the 21st century, Morocco is the country on the African
continent that is experiencing one of the fastest growing and fastest paced real
estate markets in the region. There are a number of reasons why this is the case,
chief amongst them is the fact that Morocco has enjoyed relative stability for an
extended period of time. In addition, the climate in many parts of the country is
very appealing to people from many different countries around the world.
With the brisk business that is being conducted in the Moroccan real estate market,
many foreign nationals have invested in the country's real estate. Foreign nationals
have been found to be investing in commercial real estate as well as in vacation
properties. Further, some foreign nationals -- particular those from France -- have
invested in property in Morocco. (France has a
long association with Morocco, the Kingdom of Morocco having once been a French
colony.
Investment Property in Morocco
As references, foreign nationals have been active investors in the
Moroccan real estate market. Foreign nationals can be found holding all types
of real estate in the Kingdom, including commercial, industrial and residential
properties of different varieties (including vacation real estate).
On balance, investments in Moroccan real estate has proven to be a sound and solid
investment. The value of real estate in Morocco has
increased steadily over time. There has not been an overheating of the market in
Morocco as has been experienced in some countries around the world. When a market
overheats, the end result usually tends to be a collapse of the real estate market
at least to some degree .
Residential Property in Morocco
Some foreign nationals have taken to purchasing single family
houses in Morocco. The majority of these foreign nationals that do purchase
single family dwellings are from France -- again, because of the historical association
between the Republic of France and the Kingdom of Morocco.
There has been a noticeable up tick in the past decade in the number of non-French
foreign nationals who have taken to purchasing single family residences in that
country. Primarily, these foreigners are buying these single family properties for
holiday purposes. These second residences are being bought because many people have
learned how lovely the climate is in many parts of Morocco .
Residential Real Estate - Apartments in Morocco
The Moroccan government has taken some pretty aggressive steps in attracting foreign
commercial interested into the country. In this regard, the trade in apartments
in the commercial centers of the country has been brisk since the turn of the century.
More often than not, foreign nationals that have been found investing in this type
of real estate are doing so because they need more long term residences in country
while they are involved in some sort of commerce based project.
Some foreign nationals have taken to developing apartment buildings and complexes
which they are then in turn leasing to other foreign nationals who find themselves
in Morocco for extended stays due to business related obligations. This has proven
to be a fairly lucrative venture for many of these foreign nationals.
Again, the French have been leading the way in this type of investment and development.
However, other foreign nationals are becoming more involved in this type of development
and ownership as the country continues to work at brining more foreign business,
investment and capital into the Kingdom.
There are also a growing number of foreign nationals who have invested in apartment
complexes and buildings in hopes of attracting some of the tourist trade that ventures
into the Kingdom annually. Many visitors intend to stay in country for an extended
period of time on holiday, making an apartment a very attractive housing option
while visiting Morocco .
Holiday Property in Moroccan Holiday Resorts
During the couple of decades, a growing number of people have taken to spending holidays
in the Kingdom of Morocco. Indeed, the government of the country has made a concerted
effort to attract tourists to the country. Attracting tourists has become a primary
concern of the government since the dawn of the 21st century.
With this in mind, there has been a significant demand for vacation real estate
in the Kingdom. Many foreign nationals are buying real estate for vacation purposes
in different regions of the country. In this regard, a majority of these foreign
nationals are purchasing this type of real estate for their own usage. Foreign nationals
for an array of different countries have taken to spending extended holidays in
Morocco.
In addition to property
for sale in Morocco for a foreign national's personal use for holiday travel,
some foreign nationals have come to understand that there is money to be made through
the ownership of real estate that can be used for holiday and vacation purposes.
Thus, a significant number of foreign nationals have purchased vacation real estate
throughout the Kingdom which they, in turn, are leasing and renting to other people
for use during holiday stays in the country.
For some foreign nationals, this type of investment has proven very lucrative, particularly
in light of the concerted effort that the government of the Kingdom is making to
attract visitors and tourists to the country .
Specific steps to buying a property in Morocco
Over the course of the past decade, the government of Morocco has worked to attract
more foreign investment in the country, including efforts to encourage more foreign
nationals to purchase and invest in property in the Kingdom of Morocco. To this
end, the government of Morocco has taken pains to simplify the process through which
foreign nationals can purchase and take possession of property in the Kingdom.
In short, the government is committed to encouraging an infusion of foreign investment
and capital into the Kingdom. Naturally, a more liberal course of foreign ownership
of real estate plays a vital role in enhancing the overall activity of foreign investors
in the economy of Morocco.
In Morocco, as in many nations around the globe in this day and age, the first step
to buy property in Morocco is the making of a verbal
offer by the potential buyer to the seller. More often than not, the oral indication
of intent to purchase of conveyed from the potential buyer to the seller through
an agent. Agents do play pivotal roles in the buying and selling of
Morocco property. Indeed, it is a rare real estate transaction that does
not involve the services of a real estate agent.
If the seller accepts the offer, or propounds a counteroffer that ends up being
accepted in turn by the potential buyer, a preliminary contract is drafted. Normally,
in Morocco, this document is the handiwork of a lawyer. There are standard forms
that can be utilized for this purpose. However, most foreign nationals indicate
that they feel more comfortable having an individual and specific agreement drafted
by a qualified lawyer.
Following the execution of this preliminary agreement, the buyer is involved in
obtaining financing for the real estate purchase. The seller is occupied working
to make certain that there are no encumbrances on the property that might impair
the ability of the seller to convey the property to the buyer when the real estate
transaction moves to conclusion.
At the point in time that this initial contract is executed, the buyer is obliged
to put a deposit on the real estate. Generally the deposit is in the amount of upwards
to 30% of the total purchase price of the real estate that is the subject of the
transactions. In some instances, a buyer will have up to thirty days from the date
that the initial contract is signed to post the deposit required by the terms and
conditions of that agreement. The balance will be do at the time that the final
agreement is executed between the parties to the sale.
There are some mortgage lenders doing business in the Kingdom that cater specifically
to foreign nationals that are interested in buying real estate in the country. By
using such a mortgage lender, many foreign nationals have found completing the real
estate purchase process in Morocco to be an easier process overall.
In order to consummate the sale, it is necessary for a foreign national to open
a bank account within the Kingdom of Morocco.
Ultimately, the parties to the real estate transaction will execute a final contract
that will result in the conveyance of the real estate from the buyer to the seller.
At this time, the property is registered with the government of the Kingdom and
the buyer becomes the owner of record of the real estate in question.
Generally speaking, the registration process can be consummated in a pretty short
amount of time. In most instances, this phase of the property buying process normally
can be wrapped up and concluded within a matter of days
Property Abroad always recommends using a
Solicitor or Lawyer
Further information on Morocco