Buying and owning property in Fes as a foreigner

Authored by the expert who managed and guided the team behind the Morocco Property Pack

Yes, the analysis of Fes' property market is included in our pack

Who is the author of this content?

SANDS OF WEALTH

A team specialized in real estate investing in MENA countries (Morocco, UAE, Oman, etc.)

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Fes. If you'd like to learn more about us, you can check our presentation page.

How this content was created 🔎📝

At Sands of Wealth, we explore the Moroccan real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Fes, Casablanca, and Marrakech. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

Can foreigners legally buy and own property in Fes, and are there restrictions compared to locals or certain nationalities?

Foreigners can legally buy and own property in Fes with full freehold rights, enjoying the same ownership privileges as Moroccan citizens.

There are no nationality-based restrictions under Moroccan law, meaning buyers from any country receive equal treatment during property transactions. Whether you're from Europe, North America, Asia, or elsewhere, the legal framework remains identical.

The only significant restriction applies to agricultural land, which is generally off-limits to foreign buyers except for special development projects that demonstrate clear economic benefits to Morocco. This means foreigners can freely purchase apartments, villas, commercial properties, and developed residential land in Fes without additional bureaucratic hurdles.

Property ownership rights include the ability to rent, sell, renovate (subject to local permits), and transfer ownership through inheritance or sale to other parties, both foreign and domestic.

Do foreigners need residency status or a specific visa to buy or own property in Morocco?

No residency status or specific visa is required to purchase property in Fes or anywhere else in Morocco.

Many foreign buyers are non-residents who purchase properties for investment purposes, holiday homes, or future relocation plans. The Moroccan government actively encourages foreign investment in real estate as part of its economic development strategy.

However, obtaining a mortgage as a non-resident can be more challenging, as most Moroccan banks prefer applicants with local residency permits and proof of income within Morocco. Cash buyers face no residency-related obstacles whatsoever.

Once you own property in Morocco, it can serve as supporting documentation if you later decide to apply for residency, but property ownership alone doesn't automatically grant residency rights.

Is it necessary to be physically present in Morocco to complete a property purchase, or can it be handled remotely?

Property purchases in Fes can be completed entirely remotely through a power of attorney arrangement with a local notary or lawyer.

The power of attorney must be notarized in your home country and then legalized (apostilled) for use in Morocco. This document authorizes your representative to sign contracts, transfer funds, and complete all necessary paperwork on your behalf.

Physical presence is only required for certain post-purchase activities, such as biometric capture for residency applications, collecting specific documents for tax purposes, or personally inspecting the property. The actual property transfer and registration can be handled remotely.

Many international buyers successfully complete transactions without visiting Morocco until after they receive the keys, though visiting beforehand for property inspection and local market research is always recommended.

It's something we develop in our Morocco property pack.

What is the step-by-step process of buying property in Fes, and which documents are required at each stage?

Step	Action Required	Documents Needed
1. Property Search	Identify property through licensed agent or direct contact	Passport, proof of funds
2. Price Negotiation	Negotiate price (expect 10-15% below asking price)	Financial pre-approval letter
3. Preliminary Agreement	Sign compromis de vente with ~10% deposit	Passport, deposit payment proof
4. Due Diligence	Verify title at Land Registry (ANCFCC), check liens/taxes	Title certificate, non-encumbrance certificate
5. Final Purchase	Complete transaction through notary or adoul	All previous documents plus notarized sale contract
6. Registration	Register transaction with ANCFCC for official ownership	Notarized deed, proof of tax payments
7. Bank Setup	Open Moroccan bank account for transactions above MAD 100,000	Passport, proof of address, property documents

Is hiring a lawyer mandatory for foreign buyers, and if not, why is it strongly recommended?

Hiring a lawyer is not legally mandatory for property purchases in Fes, but it is strongly recommended for foreign buyers navigating the Moroccan real estate market.

Notary involvement is mandatory for title transfer and registration, but notaries primarily handle the technical aspects of document preparation and official registration. They don't provide the comprehensive due diligence and risk protection that lawyers offer.

Lawyers provide additional services including contract review, negotiation support, verification of seller credentials, detailed property history research, tax optimization advice, and protection against fraudulent listings or hidden defects. They also ensure compliance with local regulations and help navigate complex inheritance issues common in Medina properties.

Legal fees typically range from €1,000 to €3,000 depending on property complexity and transaction value, representing valuable insurance against potential losses from title disputes, undisclosed liens, or regulatory violations.

Foreign buyers without local language skills or market knowledge particularly benefit from legal representation to avoid common pitfalls that could result in significant financial losses.

What taxes, fees, and additional costs should foreigners expect when purchasing and later reselling property in Morocco?

Total transaction costs for purchasing property in Fes typically range from 8-12% of the purchase price, including various mandatory fees and taxes.

Purchase costs include notary fees (1-1.5% of purchase price), registration tax (5%), real estate agency commission (2.5-4%), and miscellaneous expenses for translation, document authentication, and VAT on certain services. Bank account setup is mandatory for transactions above MAD 100,000.

Annual property tax is assessed based on the property's cadastral value, typically ranging from 0.5-1.5% for urban properties in Fes. This tax supports local municipal services and infrastructure development.

Resale costs include potential capital gains tax of up to 20% on the profit (calculated as sale price minus purchase price and improvements), new agent fees, and notary/registration charges for the new buyer. Capital gains tax rates may be reduced for longer holding periods.

Additional ongoing costs include utilities connection fees, property management fees if using rental management services, and regular maintenance expenses that vary significantly between modern apartments and traditional riads requiring specialized upkeep.

Are mortgages available for foreigners in Morocco, what are the typical rates and conditions, and what tips help improve approval chances?

Mortgages are available for foreign buyers in Morocco, but approval requirements are more stringent than for local residents.

As of September 2025, interest rates typically range from 4-7% annually, depending on the lender, loan amount, collateral value, and borrower profile. Moroccan banks generally offer better rates than international lenders for local property purchases.

Most lenders require a valid Moroccan residence permit, proof of stable income (usually minimum 3-6 months of bank statements), debt-to-income ratio below 33%, and down payment of at least 20-30%. Some banks may accept non-resident applications with higher down payments and additional guarantees.

1. Establish residency status before applying2. Maintain a Moroccan bank account with regular deposits3. Provide comprehensive financial documentation from your home country4. Consider using property as collateral to improve terms5. Work with banks that have experience serving foreign clients6. Demonstrate ties to Morocco through business or family connections

It's something we develop in our Morocco property pack.

How are property purchases and rental income taxed for foreigners, and are there fiscal agreements with other countries to avoid double taxation?

Property purchases in Fes are subject to Moroccan tax laws, with rental income taxed according to progressive tax brackets that apply to both residents and non-residents.

Rental income is taxed at progressive rates starting from 0% on the first MAD 30,000 annually, then 10% up to MAD 50,000, 20% up to MAD 60,000, 30% up to MAD 80,000, and 38% above MAD 80,000. Property-related expenses including maintenance, management fees, and depreciation can be deducted from taxable income.

Morocco maintains bilateral double taxation agreements with over 70 countries, including France, Spain, UK, Germany, Italy, Canada, and the United States. These agreements typically allow for tax credit mechanisms or exemptions to prevent paying taxes on the same income in both countries.

Foreign property owners should consult tax professionals in both Morocco and their home country to optimize their tax strategy and ensure compliance with reporting requirements. Some countries require disclosure of foreign rental income even when covered by tax treaties.

Capital gains from property sales may also be eligible for reduced taxation under certain bilateral agreements, particularly for residents of EU countries and other nations with comprehensive tax treaties with Morocco.

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 the average property prices across different neighborhoods in Fes, and how do they compare with other Moroccan cities and regions?

Property prices in Fes are significantly more affordable than Morocco's major economic centers, making it attractive for budget-conscious foreign buyers.

Modern apartments in Ville Nouvelle (the newer French colonial district) start around €100,000 for 2-3 bedroom units, while luxury villas in upscale neighborhoods like Agdal or Route d'Imouzzer range from €250,000 to €500,000+ depending on size and amenities.

Historic riads in the Medina (Fez el Bali and Fez el Jdid) show enormous price variation from €60,000 for basic properties requiring significant renovation up to €600,000+ for fully restored palatial riads with multiple courtyards and luxury finishes.

City	Average Apartment Price	Average Rental Yield
Fes	€100,000+	5-6%
Casablanca	€180,000+	5.6-7%
Marrakech	€200,000+	6-8%
Rabat	€160,000+	5-6%
Tangier	€120,000+	6-8%

Which areas in Fes are most popular among foreigners, and which offer the best balance of liveability, rental demand, and future capital appreciation?

Ville Nouvelle remains the most popular district among foreign residents and investors due to its modern amenities, international schools, healthcare facilities, and Western-style infrastructure.

Key neighborhoods attracting foreign buyers include Avenue Hassan II and surrounding areas for their central location and commercial viability, Florence district for upscale residential properties, Route d'Imouzzer for luxury villas with mountain views, and Agdal (known as "new Fes") for modern developments and growing expatriate community.

The historic Medina attracts buyers seeking authentic Moroccan experiences and tourism rental opportunities, particularly restored riads that can command premium short-term rental rates from cultural tourists and visitors to the UNESCO World Heritage site.

1. **Ville Nouvelle**: Best overall balance of liveability and rental demand2. **Agdal District**: Highest future appreciation potential with new developments 3. **Avenue Hassan II**: Strong commercial rental demand and central location4. **Florence**: Established expat community with quality housing stock5. **Route d'Imouzzer**: Premium villa market with scenic mountain views6. **Medina Historic Quarter**: Unique tourism rental opportunities with cultural appeal

Modern districts offer greater convenience for daily living with international amenities, while Medina properties provide higher rental yields through tourism but require specialized management and maintenance expertise.

What do the latest data show about rental yields, tourism numbers, growth forecasts, and liveability scores in Fes?

Rental yields in Fes average 5-6% annually for modern apartments in established neighborhoods, with some restored Medina riads achieving higher returns through short-term tourist rentals.

Tourism numbers have shown consistent upward trajectory with ongoing infrastructure improvements including the expansion of Fes-Saïss Airport, new international flight connections, and enhanced road networks connecting to other major Moroccan cities. The city benefits from its status as Morocco's cultural and spiritual capital.

Growth forecasts for 2025-2027 indicate moderate property value appreciation driven by increased domestic migration from rural areas, growing university student population, and expanding tourism sector. Government investments in heritage preservation and modern infrastructure are expected to boost property values particularly in well-connected neighborhoods.

Liveability scores favor modern districts like Ville Nouvelle and Agdal, which offer international schools, modern healthcare facilities, shopping centers, and reliable utilities. These areas attract Moroccan professionals, expatriate families, and international students attending local universities.

The city's affordability compared to Casablanca and Marrakech, combined with its rich cultural heritage and improving modern amenities, positions Fes as an emerging destination for both lifestyle buyers and rental investors seeking strong yields in Morocco's secondary cities.

It's something we develop in our Morocco property pack.

What are the most common mistakes or pitfalls foreigners face when buying property in Morocco, and how can they be avoided?

Title issues in the Medina represent the most common and costly mistake, as many historic properties have unclear ownership, contested inheritance claims, or lack proper legal documentation.

1. **Skipping comprehensive due diligence**: Always insist on ANCFCC-certified non-encumbrance certificates and professional title verification2. **Buying untitled land or disputed properties**: Only purchase properties with clear, registered titles3. **Ignoring heritage restrictions**: UNESCO World Heritage zone properties may have renovation and conversion limitations4. **Inadequate legal representation**: Using notaries alone without additional lawyer protection5. **Currency transfer violations**: Failing to use proper banking channels for fund transfers6. **Underestimating renovation costs**: Particularly for traditional riads requiring specialized craftspeople7. **Overlooking tax obligations**: Not understanding ongoing property taxes and rental income reporting requirements8. **Poor location research**: Buying in areas without proper infrastructure or declining neighborhoods

Hidden defects and seller misrepresentations can be avoided through independent property inspections, especially for older buildings where structural, plumbing, or electrical issues may not be immediately apparent.

Capital control issues arise when buyers attempt to transfer large sums through unofficial channels or fail to properly declare funds with Moroccan authorities, potentially complicating future property sales or profit repatriation.

Working with experienced local lawyers, using reputable real estate agents, conducting thorough property inspections, and maintaining proper documentation throughout the purchase process significantly reduces these risks and protects your investment in the Fes property market.

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.

Sources

1. Kensington Morocco - Guide to Buying Property in Morocco
2. Sands of Wealth - Morocco Real Estate for Foreigners
3. Befez Estate - How to Buy Real Estate in Fez
4. Veles Club - Property Investment Morocco
5. Sands of Wealth - Morocco Residency Investment
6. Law Gratis - Property Law in Morocco
7. Lafraouji Lawyers - Real Estate Transactions Morocco
8. CBL Law Firm - Property Acquisition Morocco