Authored by the expert who managed and guided the team behind the Morocco Property Pack
Everything you need to know before buying real estate is included in our Morocco Property Pack
Morocco's property market has experienced remarkable growth in 2025, with average house prices reaching approximately $225,000 including all fees and taxes.
Understanding house prices in Morocco requires examining multiple factors including location, property type, and additional costs that can add 6-10% to the purchase price. Whether you're considering buying for investment, relocation, or flipping, the Moroccan real estate market offers diverse opportunities across major cities like Casablanca, Marrakech, and Rabat.
If you want to go deeper, you can check our pack of documents related to the real estate market in Morocco, based on reliable facts and data, not opinions or rumors.
As of September 2025, the average house price in Morocco is around $225,000, with significant variations by city and property type.
Apartments in Casablanca average 13,900 MAD/m² while villas command 20,500 MAD/m², with luxury properties in Marrakech reaching 25,000-30,000 MAD/m².
| City | Apartment Price (MAD/m²) | Villa Price (MAD/m²) |
|---|---|---|
| Casablanca | 13,900 | 20,500 |
| Marrakech | 12,500-16,000 | 25,000-30,000 |
| Rabat | 15,500 | 22,000 |
| Tangier | 11,500 | 18,000 |
| Rental Yields | 4-7% (long-term) | 8-14% (short-term) |
| Mortgage Rates | 4.5-6% (fixed) | 3.75-5% (variable) |
| Total Buying Costs | +6-10% of property value | Including taxes and fees |
What is the current average house price in Morocco, including all fees and taxes?
The average house price in Morocco as of September 2025 stands at approximately $225,000 (around 2.25 million MAD).
This headline figure doesn't tell the complete story because purchasing property in Morocco involves several additional costs that buyers must factor into their budget. Registration taxes range from 4% to 7% of the property value on a progressive scale, with higher rates applying to luxury properties. Notary fees add another 1% to 2.5% to your total cost.
VAT represents a significant expense, charged at 18% for primary residences and 20% for luxury properties or those exceeding 2 million MAD. Annual property tax equals 10% of the assessed rental value. When you combine all these expenses, the total buying costs typically add 6% to 10% to the headline purchase price.
For a property listed at $225,000, you should budget an additional $13,500 to $22,500 for fees and taxes, bringing your total investment to approximately $238,500 to $247,500. This calculation assumes you're purchasing a standard residential property rather than a luxury villa.
How do prices differ between apartments and villas in Morocco?
Apartments and villas show substantial price differences across Morocco, with villas commanding significantly higher prices per square meter.
In Casablanca, apartments average 13,900 MAD per square meter (approximately $1,380/m² or $128/ft²), while villas reach 20,500 MAD per square meter (roughly $2,030/m² or $188/ft²). This represents nearly a 50% premium for villa properties over apartments in the same market.
The price gap reflects several factors including land costs, construction complexity, and buyer preferences. Villas typically offer more privacy, outdoor space, and prestige, which Moroccan buyers value highly. Urban apartments remain the more affordable option for first-time buyers and investors seeking rental income.
It's something we develop in our Morocco property pack.
What are the average prices per square meter in major Moroccan cities?
| City | Apartment Price (MAD/m²) | Villa Price (MAD/m²) |
|---|---|---|
| Casablanca | 13,900 | 20,500 |
| Marrakech | 12,500-16,000 | 25,000-30,000 |
| Rabat | 15,500 | 22,000 |
| Tangier | 11,500 | 18,000 |
| Agadir | 10,800 | 16,500 |
| Fes | 9,200 | 14,800 |
| Meknes | 8,500 | 13,200 |
How do neighborhood prices vary within Morocco's major cities?
Neighborhood selection dramatically impacts property prices, with premium areas commanding 2x to 3x the city's average per square meter price.
In Casablanca, expensive neighborhoods like Anfa and Les Princesses represent the pinnacle of luxury living, while emerging areas such as Maarif Extension and Aïn Sebaâ offer growth potential at lower entry prices. Budget-friendly options exist in peripheral areas and newly developed suburban districts.
Marrakech showcases extreme price variations, with the prestigious Palmeraie district commanding luxury villa prices, while up-and-coming areas like Agdal and Targa provide more accessible entry points. Rabat's Souissi neighborhood represents the diplomatic and government elite housing market.
Prime locations benefit from superior infrastructure, security, proximity to business districts, and established communities. These factors justify the premium pricing but also provide better long-term value retention and rental potential.
Can you provide specific purchase price examples across different cities and neighborhoods?
Real-world examples illustrate the dramatic price ranges across Morocco's property market.
In Casablanca's central Gauthier district, a 2-bedroom apartment spanning approximately 80 square meters costs between 1.1 and 1.5 million MAD ($110,000 to $150,000). This represents middle-market housing in the economic capital.
Marrakech's luxury Hivernage neighborhood commands premium prices, with a 300-square-meter villa reaching 7 to 9 million MAD ($700,000 to $900,000). These properties target international buyers and wealthy Moroccans seeking prestigious addresses.
Tangier's new coastal zones offer more accessible pricing, with 90-square-meter apartments selling for 1.0 to 1.2 million MAD ($100,000 to $120,000). Rabat's exclusive Souissi area features villas priced between 5 and 8 million MAD ($500,000 to $800,000).
Don't lose money on your property in Morocco
100% of people who have lost money there have spent less than 1 hour researching the market. We have reviewed everything there is to know. Grab our guide now.
How have house prices changed over the past year and five years?
Morocco's property market experienced unprecedented growth in 2024-2025, with national average house prices jumping 75.8% year-over-year.
This historically sharp surge represents an exceptional period rather than typical market behavior. Major cities showed more moderate growth rates of 3% to 7% annually, while the luxury segment, particularly Marrakech's Palmeraie district, recorded increases of 11% to 15%.
Over the past five years, the market experienced fluctuations with mild or flat growth before 2023, followed by the sharp upturn since 2023. Economic reforms, infrastructure development, and increased foreign investment contributed to recent price acceleration.
Regional variations remain significant, with tourist destinations and major urban centers outperforming smaller cities and rural areas. The luxury market consistently outpaced mainstream residential property appreciation.
What are the forecasts for house prices over the next 1, 5, and 10 years?
Property price forecasts suggest continued growth with more moderate rates than the recent surge.
For 2025-2026, experts predict national growth of 3% to 7%, with higher increases in tourist zones and metropolitan areas. Infrastructure development and urbanization continue driving demand in these markets.
Five-year projections indicate average annual growth of approximately 3.75%, with premium urban and tourist locations potentially exceeding this rate. Government infrastructure investments and economic diversification support these optimistic forecasts.
Ten-year outlook remains positive due to urbanization trends, infrastructure development for the 2030 World Cup, and expanding tourism sector. Barring global economic shocks, steady growth appears sustainable across Morocco's major property markets.
It's something we develop in our Morocco property pack.
How do costs compare between living in the property versus renting it out?
Investment strategy significantly impacts your total returns and tax obligations in Morocco's property market.
Short-term rentals through platforms like Airbnb generate yields of 8% to 14%, with the highest returns in tourist zones like Marrakech and Tangier. However, these require high occupancy rates and active management to achieve maximum profitability.
Long-term rentals offer more stability with yields of 4% to 7%, involving less regulation and management burden. Owner-occupiers benefit from lower VAT rates (18% instead of 20%), residence-linked tax breaks, and exemption from capital gains tax after five years of occupancy.
Tax implications vary significantly: rental income faces a 10% tax rate based on assessed rental value, while capital gains tax reaches 25% (waived for main homes after five years of Moroccan or MRE occupancy). These factors heavily influence optimal investment strategies.
What returns can you expect from buying to resell properties in Morocco?
Property flipping in Morocco offers attractive returns for well-executed projects, particularly in heritage and tourist markets.
Renovated riads and traditional houses in Marrakech generate ROI of 13% to 18% for properly managed projects. The luxury and heritage tourism segments provide the strongest demand for these upgraded properties.
The smartest flipping opportunities focus on underpriced, easily renovated traditional properties in up-and-coming central districts. High-end new builds offer slimmer margins due to their already-premium pricing and limited value-add potential.
Success requires understanding local renovation costs, building regulations, and target buyer preferences. International buyers particularly value authentic Moroccan architecture combined with modern amenities and infrastructure.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Morocco versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What are current mortgage rates and how do financing costs affect affordability?
Mortgage financing in Morocco offers competitive rates with reasonable lending terms for qualified borrowers.
As of September 2025, fixed mortgage rates range from 4.5% to 6%, while variable rates span 3.75% to 5%. Banks typically finance 70% to 80% of property value, requiring 20% to 30% down payment from buyers.
Fees and taxes add 6% to 10% above the sale price, with new properties under 2 million MAD enjoying lower VAT rates. Urban areas command the best rates and easier loan approval due to stronger employment markets and property values.
Foreign buyers face additional requirements including proof of income, bank guarantees, and sometimes higher interest rates. Local banks prefer financing established urban properties over rural or unique architectural projects.
How do Morocco's house prices compare with similar regional markets?
Morocco offers competitive pricing compared to European and regional markets while providing superior value propositions.
Moroccan city center prices in Casablanca and Rabat ($1,500 to $1,800 per square meter) remain significantly lower than Southern European markets like Madrid (over $5,000/m²) or Paris (over $11,000/m²). This price differential attracts European buyers seeking affordable second homes.
Compared to regional African markets, Morocco costs less than Cairo (approximately $2,000/m²) or Tunis, while commanding higher prices than sub-Saharan African cities. The global property price index ranks Morocco in the mid-range—affordable relative to Europe but moderate within Africa.
Value propositions include political stability, infrastructure quality, cultural attractions, and proximity to Europe. These factors justify the premium over some African markets while maintaining affordability versus European alternatives.
Which investment options make the most sense in today's market?
1. **For Primary Residence**: Established safe neighborhoods in Casablanca or Rabat offer the best combination of amenities, infrastructure, and resale value for long-term living.2. **Short-term Rental Investment**: Marrakech and Tangier properties near tourist attractions provide highest yields through Airbnb and VRBO platforms, with seasonal demand supporting premium rates.3. **Long-term Rental Strategy**: Coastal cities like Agadir or Essaouira offer steady rental demand from domestic and international tenants seeking lifestyle locations.4. **Property Flipping Projects**: Traditional riads in Marrakech or Fes provide renovation opportunities targeting luxury tourism and heritage buyers seeking authentic experiences.5. **Emerging Growth Areas**: Suburban zones near new infrastructure developments or World Cup 2030 project locations offer medium-term capital appreciation potential at lower entry costs.It's something we develop in our Morocco property pack.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Morocco's property market offers diverse opportunities across price ranges and investment strategies, from affordable apartments in emerging neighborhoods to luxury villas in established districts.
Success requires understanding local market dynamics, financing options, and regulatory requirements while matching investment strategy to personal goals and risk tolerance.
Sources
- Aparthotel - Morocco Property Analysis
- Veles Club - Morocco Real Estate Costs
- Orchid Island - Morocco Real Estate Taxation 2025
- Global Property Guide - Morocco Taxes and Costs
- Agenz - Morocco Property Prices
- Global Property Guide - Morocco Square Meter Prices
- Properstar - Morocco House Prices
- Properstar UK - Morocco House Prices
- Sands of Wealth - Marrakech Real Estate Market Trends
- Sands of Wealth - Morocco Price Forecasts