Why is investing in residential property in Morocco worth it?
Real estate investment is gaining popularity among tourists in Morocco over the last couple of years. It is not only beachfront holiday property that is in demand, but also residential property.
Explaining this phenomenon
Morocco always had picturesque beaches with white sand and tropical weather. Due to its proximity to Europe, the atmosphere here is akin to European resorts. Its centralized global positioning also helps in its selection as a holiday destination by many a tourist.
Despite all this, Morocco was lying unexplored for centuries due to the apathy of the local policymakers and tug-of-war between neighboring countries to exploit it to their selfish interests. All these resulted in the country turning into a safe haven for criminals, drug dealers and anti-social elements.
The tides turned for Morocco, when the government with the strong backing of King Mohammed started improving the country’s economy and infrastructure with various policy decisions. Moroccan economy, whose growth dragged in the 3% range, witnessed a surge from 2006 onwards.
Morocco benefits from its growing economy
Not only did this give the required impetus to the government to carry on with their good work, it also boosted the country’s image worldwide. Large-scale infrastructure development projects are underway to improve transport and accommodation facilities. New airports, motorways, railway stations and port are being constructed to make traveling easier, safer and faster.
A tunnel connecting the country with Spain is in the pipeline, which will help boost the tourist flow from Europe. Beachfront villas, houses, apartments, hotels and resorts are being constructed to accommodate the ten million tourists expected this year.
Moroccan government is inviting foreign participation in developmental projects. Already top players from the UAE have invested millions in Morocco and the prospects looks bright with the government promoting the scheme with tax cuts and easy processing.
Real estate welcoming foreign investment
Morocco is also encouraging foreign nationals to purchase newly constructed accommodation. On offer are tax exemptions from rental income for the first five years and exemption from capital gains, if the property is held for 10 years or more. The Moroccan banks are pitching in with easy mortgage loans for people from abroad.
Tourists are opting for holiday property in Morocco as a good investment for their own future holidays and additional income from letting it out as vacation rental. However, Morocco is also a perfect place to set up retirement home. The life here will be like an eternal holiday.
The banks even have a scheme called ‘bridge loan’, which provides short-term loan to cover the purchase of property in Morocco until the property sale in home country is settled. This is specifically aimed at foreigners who want to settle in Morocco after selling off property in their home country.
The government has implemented various policy decisions to make the investment safe and foolproof for foreigners. Just follow the rules and regulations and employ a real estate agent and lawyer to help find the most lucrative deal.
Filed Under: Real Estate Tips
