Morocco property prices double in one year

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Morocco property prices have doubled over the past 12 months and look set to rise further over the next three years.

Speakers at The Property Investor Show said the country has a developed economy and strong infrastructure, with rail and motorway links connecting key regions around Marrakech, Fez and Casablanca.

Furthermore, the Moroccan government believes the culture and ancient history of the north-African nation is the equal of any country in the region and has committed to commit to attract ten million visitors by 2010.

Add to this the benefit of tax breaks for British buyers looking for investment in the Moroccan housing market and the region gets more and more attractive to investors.

Prices in high demand areas, including Casablanca and Marrakech, average around £2,000/sq.m and predictions show prices could increase by 40 per cent within three years.

Today Morocco is a promising emerging market and a huge growth in developments to the region is living proof of this. The Moroccan government's commitment to increase the numbers of tourists is a real incentive for developers and investors alike.

 

[morocco property]

I think today Morocco is a promising emerging market and a huge growth in developments to the region is living proof of this. The Moroccan government's commitment to increase the numbers of tourists is a real incentive for developers and investors alike.
As the country offers everything from economical apartments to million pound villas, Morocco property investment is attracting all types of investors, from the first time buyer to the more seasoned investor, all of which are keen to tap into this emerging market.
Morocco property investment is proving to be very lucrative with prices doubling within a year, and according to property reports, property price growth is set to continue well into next year. Property experts predict growth figures of 40% within the next three years with a rental yield of 10%.

 

[moroccomania]

Hey morocco-propert

Can you tell us where you got the 40% growth figures and 10% yields? Would be handy to see some reference please.

Thanks!

 

[imported_allnewmorocco]

more like 30% in the year not sure where the facts are for prices doubling ???

 

[imported_esmerelda]

On what do you base these figures. beware agents spiel. I have heard some incredible figures & it's tosh! If anyone says that off plan units have increased by x% - well they have if the agent says so but noone's actually resold anything have they? so an agent can quote any figure.It's meaningless until you try to resell. Also many of these developments have large no. of units & will attract large volume investors all looking to flip just before exchange...just about the same time you want to!
Morocco is like any other country there are hotspots where prices have seen real rises of between 15-20% (as opposed to agent doublespeak) and others where it's remained flat.

 

[imported_allnewmorocco]

I personnall bought at Mirador Golf near Cabo negro 2 years ago the development is all but finished and selling for £60k as many spanish buyers now in that area as its easy to get to unlike the UK I paid £33k so in just over two years this development has almost doubled

Units at the complete Jawhara Smir phase 2 which went on sale 2.5 years ago at £35-£37k are now selling for upwards of £70k

Its also still pretty cheap still compared to Spain and new developments being released with prices here at just below £1000 psqm

 

[Lee Filkins]

Esmerelda: I totally share your views. At the end of the day of the a price for any commodity is what one is willing to pay and the other is willing to accept.

I have always stressed that if you get in an off plan you should have the best development. In a Country like Morocco there is plenty of developers doing the same thing and they will be released in the market more or less at the same time. The locals do not have the capacity to under pin the market. As far as foreignors are concerned they will be at the next so called hot spot.

 

[imported_jayboy]

Hello Camel,

I've read a few threads now and respect you opinion and judgment. I'm looking to invest in Saidia of approximately 200k. This is a hell of a lot of money for me, however the townhouse I'm considering buying is within a few minutes of the beech and in an ideal location for amenities. Do you think this will be a good investment in the long term? What would you expect in rental yields for such a property?

 

[Myasilah]

Be aware of some real estate agents, most of them from overseas...they are more in marketing than real estate ...all they are looking for is to sell...they don't know anything about the country. They know about how to sell any real estate in any country. Make sure you do lot of research. These agents are everywhere even in the forums they pretend being buyers of off plan properties...or invested in certain projects...It happened to me amd many partners...so be carefulof the game everywhere.

 

[imported_esmerelda]

I know you addressed this to Camel, but I'll stick my six pennorth in...for what it's worth! I am not a big style property investor, but we have an off plan apart., some land in TUrkey & 3 renovated houses in Morocco. My rule is to buy what I would I be happy to holiday in or at a push, live in (cos if it all goes awry...you might have to!!). Never rely on holiday let rental to cover the mortgage...you might get lucky at Saida but there are a heck of a lot of units being built up there so...a lot of competition...plus do you know how much building is going on in Morocco right now building new units....(more competition!) they actually ran out of concrete suplies a couple of months ago there was so much demand! If rental income is key to your strategy you migt consider a smaller, cheaper unit...rental returns can be greater on that. Also there are a lot of threads on House Price Crash - UK, America and Australia on Saida if you want more views. Good luck with whatever you decide to do.

 

[imported_esmerelda]

OK myasilah.com.....er.....aren't you an estate agent also???? Cos it looks like you have your own web site????

 

[Lee Filkins]

Esmeralda: I once again share your views and your strategy, i.e.

1) one should not rely on holiday rental income.

2) Saidia will have to many similar properties onto the market & if you do not have a large net work to pull in the tourist you will be struggling.

3) The building works are going at a frantic pace to meet the 2010 deadline. I fear for the quality and the finish.

It is for the reasons above is that I believe that in a market cycle like Morocco its better to get the top end development and the best property. When the push comes to shove these development will hold value

 

[jalemero]

I am booked to go on a viewing trip to Saidia to view what will be the site of the blue pearl golf development, (originally Atheana golf). First time on a viewing trip and the first time to Morocco...any advice would be appreciated. I heard that Atlas Blue airlines will be commencing flights to Oujda this summer...does anyone know if this is happening?

 

[imported_Mr Ri]

Jalemero.

I went over to Saidia last year and have now bought on The Greens. My advice would be to take sometime to compare all the apartment developments you can rather than just focus on one. This, at least, gives you a perspective on what you are getting for your money. Also have a look around the general area, the golf courses (in various stages of development),marina, commercial area, hotels and Saidia town, to get a feel for the entire resort, and the relative position of the various developments. Its a very large resort, you will likely be surprised by the sheer scale.
In terms of flights to Oujda, there some details on the following site -> click here

Good luck and let us know how you get on.

 

[jalemero]

Hi Mr R....

Thanks for the advice...we will also be looking at the Greens, but not much left within our budget.

Can I ask which agent you used and if you are happy with their service so far?

Fly out next Saturday...will post on my return what we thought of the area...heard the marina is due to open officially on 15th June so will look at that.

Thanks again.

 

[imported_Mr Ri]

Our agent was Moroccan Sands who have been fine. We haven't needed so much assistance from the agent, because the developer of The Greens, Azur Developments, have been quite good at addressing any issues that we have had directly.

It is certainly the case that some agents are set-up to support their clients throughout the process and others provide minimal service once they've got the sale. So you are wise to seek some assurances in this area.

 

[jalemero]

Our viewing trip is arranged by Moroccan Sands.....Have been impressed with the service so far. At no point have I felt under pressure by them.

 

[imported_allnewmorocco]

i think Morocco has some way to go and has been good investment for me i think prices have doubled since 2005 so 30% p/a growth i bought in Tangier-Asiliah-Tetouan which is now getting good press drop my a line if you want to discuss

 

[imported_agentyumi]

Morocco has indeed a great potential for capital growth and for future yielding projects and infrastructures. There is an estimated 15% of growth each year and double digits are expected in the coming years.