FAQs

Frequently Asked Questions about Investing in Morocco Property

What are my buying costs?
You would need to budget for 6.5% on top of the purchase price.

What is the buying Process?
€3000 reservation on a credit card, the balance of 30% in 30 days, 70% on completion.

Can I get a mortgage?
You can get a 70% mortgage based on the purchase price of the property. This will be arranged through a Moroccan bank. Interest rates are from 5.5% variable and from 7.5% fixed.

Can I sell before completion?
No.

What tax do I have to pay on rental income?
You are exempt for the first 3 years from paying income tax. After 3 years UK investors will pay income tax on 60% of the income. The tax rate in the Tangiers region is 22%. In other parts of Morocco it is 44%

How much is Capital Gains Tax?
It is 20% if you sell within 5 years. After 5 years it is 10% (if profit is over €92k). After 10 years of ownership it is 0%.

Are there any annual property taxes?
You are exempt for the first 5 years of ownership. After 5 years you receive a 75% discount if the home is your holiday home or your permanent residence! Tax ranges from 0% - 30% depending on property value.

How much is Inheritence Tax?
It is 0% for family members. We recommend that you make a Moroccan will.

Is there a Double Taxation agreement with the UK?
Yes.