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Yes, the analysis of Marrakech's property market is included in our pack
Marrakech's property market in 2025 offers compelling opportunities across different price segments and investment strategies. The city has experienced significant growth in foreign investment, with property prices in premium areas appreciating 15% annually over the past five years.
If you want to go deeper, you can check our pack of documents related to the real estate market in Marrakech, based on reliable facts and data, not opinions or rumors.
Marrakech property prices range from 6,000 MAD/m² (€550) for traditional riads in the Medina to 35,000 MAD/m² (€3,190) for luxury villas in Palmeraie, with apartments in city center averaging 13,000 MAD/m² (€1,200).
Investment yields vary from 6-12% depending on property type and rental strategy, with short-term rentals in prime areas delivering the highest returns after management costs and taxes.
| Property Type | Average Price per m² | Typical Size Range | Price Range (EUR) | Rental Yield |
|---|---|---|---|---|
| Medina Riad | 6,000-11,000 MAD (€550-€1,000) | 250-450 m² | €135,000-€450,000 | 8-12% |
| City Center Apartment | 13,000 MAD (€1,200) | 130-180 m² | €156,000-€216,000 | 6-8% |
| Palmeraie Villa | 20,000-35,000 MAD (€1,900-€3,190) | 300-600 m² | €570,000-€1,914,000 | 8-12% |
| Upcoming Areas Villa | 15,000-25,000 MAD (€1,370-€2,280) | 250-500 m² | €342,500-€1,140,000 | 10-14% |
| Budget Zone Apartment | 8,000-10,000 MAD (€730-€910) | 80-150 m² | €58,400-€136,500 | 7-10% |
| Development Land | 2,000-5,000 MAD (€180-€455) | 500-2,000 m² | €90,000-€910,000 | N/A |
What's your main goal in Marrakech—live full-time, rent short-term, rent long-term, or buy to resell later?
Your investment strategy in Marrakech should align with your risk tolerance and timeline expectations.
Short-term rental investment offers the highest returns in 2025, particularly in tourist-heavy areas like the Medina and Palmeraie where properties can achieve 8-12% gross yields. The city's vibrant tourism scene and growing expat community create consistent demand for vacation rentals, especially during peak seasons from October to April.
Full-time living appeals to retirees and remote workers seeking lower living costs and cultural richness. Properties in areas like Gueliz and Hivernage provide modern amenities while maintaining proximity to traditional attractions. Living costs remain 40-50% lower than comparable European cities, making this strategy financially attractive for lifestyle-focused buyers.
Long-term rental investment provides steadier but lower returns, typically 4-7% yields with less management intensity. This approach works well in residential neighborhoods like Targa and Route de Fes, where local demand remains consistent year-round.
Buying to resell later (flipping) has gained popularity due to Marrakech's 15% annual price appreciation in premium areas over the past five years. Renovation projects in the Medina and emerging neighborhoods can deliver 12-18% net margins with 1-3 year holding periods.
Which property types are you weighing—riad, apartment, villa, or land/new-build—and why?
Each property type serves different investment strategies and lifestyle preferences in Marrakech's diverse real estate landscape.
Traditional riads in the Medina represent authentic Moroccan architecture and culture, making them ideal for short-term rentals targeting tourists seeking authentic experiences. Renovated riads typically cost 1.5-5 million MAD (€135,000-€450,000) for 250-450m² built area, with prices varying significantly based on condition and location within the Medina walls.
Apartments in modern districts like Gueliz and Hivernage appeal to professionals and long-term residents. At 13,000 MAD/m² (€1,200/m²), two-bedroom units of 130-180m² offer entry-level investment opportunities with steady rental demand from the growing expat community and local professionals.
Luxury villas in Palmeraie and Hivernage command premium prices of 20,000-35,000 MAD/m² (€1,900-€3,190/m²), featuring larger lots, pools, and gardens. These properties attract high-end short-term renters and affluent buyers seeking privacy and luxury amenities.
Land and new-build opportunities in expansion corridors like Route de Fes offer lower entry points and development flexibility. Raw land costs 2,000-5,000 MAD/m² (€180-€455), allowing investors to customize projects according to market demands and personal preferences.
Which neighborhoods are you open to, and how would you rank prime, upcoming, and budget-friendly areas for your goal?
Marrakech's neighborhoods offer distinct investment profiles based on infrastructure, tourist appeal, and growth potential.
1. **Prime Areas (Highest prices, stable appreciation)** - Palmeraie: Luxury villas with 10-15% annual appreciation - Hivernage: Premium hotels and residences near major attractions - Golf City Prestigia: Exclusive gated community with golf course access - La Mamounia area: Ultra-premium location with highest rental rates - Zone Touristique Agdal: Modern developments with strong rental demand2. **Upcoming Areas (Strong growth potential)** - Targa: Infrastructure development driving 10-14% rental yields - Route de Fes: New commercial and residential projects - Sidi Ghanem: Industrial zone converting to mixed-use development - Tamansourt: New city project with modern planning - Marrakech Business District: Emerging commercial hub3. **Budget-Friendly Areas (Entry-level opportunities)** - Bab Doukkala: Traditional neighborhood with gentrification potential - Semlalia: Local residential area with affordable prices - Daoudiate: Peripheral location with development prospects - Hay Mohammadi: Working-class area with rising property values - M'hamid: Outer district with land development opportunitiesPrime areas deliver stability and prestige but require higher initial investment. Upcoming areas offer the best balance of growth potential and affordability, while budget-friendly areas provide entry points for first-time investors willing to accept longer development timelines.
What size and layout do you need (interior m², outdoor space, bedrooms, parking), and what's your minimum/maximum surface?
Property size and layout requirements depend on your intended use and target market in Marrakech.
Short-term rental properties perform best with 2-3 bedrooms spanning 120-200m² interior space. Outdoor areas are crucial—terraces for riads and apartments, pools and gardens for villas—as guests expect authentic Moroccan outdoor living experiences. Secure parking adds significant value, particularly in tourist areas where rental cars are common.
Full-time residence typically requires 150-300m² depending on family size, with emphasis on practical layouts including storage, modern kitchens, and climate-controlled spaces. Outdoor space becomes essential for quality of life, whether a private terrace, garden, or pool area for year-round use in Marrakech's sunny climate.
Investment properties range from compact 80m² apartments suitable for young professionals to sprawling 900m²+ luxury villas targeting high-end markets. The sweet spot for rental income often falls between 150-250m² with 3-4 bedrooms, balancing rental rates with occupancy potential.
Parking requirements vary by neighborhood—essential in modern districts like Gueliz, less critical in pedestrian-focused areas like the Medina where traditional riads may not include parking but remain highly desirable for their authentic character and walking access to souks and restaurants.
Are you seeking turnkey or willing to renovate, and what's your renovation budget and timeline tolerance?
Turnkey properties offer immediate rental income potential but command premium prices in Marrakech's competitive market.
Renovation opportunities exist primarily in the Medina's traditional riads and budget-friendly peripheral neighborhoods. Full renovation costs range from 5,000-12,000 MAD/m² depending on property condition and finish quality. A typical 300m² riad renovation requires 1.5-3.6 million MAD (€135,000-€330,000) over 6-12 months.
Timeline considerations include permit processes, which can extend 2-4 months in historic Medina properties due to cultural preservation requirements. Weather impacts construction during summer months (June-August) when extreme heat limits working hours and material delivery.
Renovation projects offer higher profit margins—properly executed Medina riad renovations can increase property values by 40-60% over purchase plus renovation costs. However, investors need local expertise to navigate building codes, find reliable contractors, and manage quality control throughout the process.
Budget allocation should include 15-20% contingency for unforeseen issues, particularly in older properties where structural, plumbing, or electrical systems may require complete replacement beyond initial renovation scope.
How much can you invest upfront, will you use a mortgage, and what rate/term and eligibility do you expect?
Marrakech property investment entry points start around €100,000 for small riads or apartments and extend beyond €2 million for luxury villas.
Mortgage financing is available to foreign buyers through Moroccan banks with loan-to-value ratios up to 70% of property value. Interest rates currently range from 4-5% annually with maximum terms of 20 years, though most international buyers opt for 10-15 year terms to minimize interest costs.
Eligibility requirements include proof of income, bank statements covering 6-12 months, credit history verification from home country, and down payment of at least 30%. Self-employed individuals face stricter documentation requirements and may need additional financial guarantees.
Cash purchases remain common and offer negotiation advantages, as sellers prefer certainty and faster closing times. All-cash buyers can often secure 5-10% price discounts compared to financed purchases, particularly in competitive market situations.
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What's your target all-in purchase budget after closing costs—stamp duty, notary, agency, registration, taxes, HOA—and ongoing costs?
Total acquisition costs in Marrakech extend significantly beyond the advertised property price.
Closing costs typically add 9-10% to the purchase price, including stamp duty (4% of property value), notary fees (1.5%), real estate agency commission (2-3%), registration taxes, and VAT on new construction properties. For a €450,000 property purchase, expect additional closing costs of €40,000-€45,000.
Ongoing ownership costs include property management (8-15% of rental income for short-term rentals), maintenance and repairs (1-2% of property value annually), insurance (0.2-0.5% annually), and local taxes including rental income tax for investment properties.
Homeowners association fees apply to gated communities and luxury developments, ranging from 500-2,000 MAD monthly depending on amenities and services provided. These fees cover security, landscaping, pool maintenance, and common area upkeep.
Budget planning should account for utility setup fees, internet installation, furnishing costs for rental properties (20,000-100,000 MAD depending on property size and quality level), and potential renovation or improvement costs during ownership.
What are the current price ranges per m² and total ticket for each chosen property type in your target areas, with 2–3 recent example purchase prices?
Current market prices in Marrakech vary significantly by location and property type as of September 2025.
| Property Type & Location | Price per m² | Recent Sale Example | Property Details |
|---|---|---|---|
| Medina Riad (renovated) | 8,500-11,000 MAD (€775-€1,000) | €340,000 (300m²) | 4BR, traditional architecture, rooftop terrace |
| Gueliz Apartment | 13,000 MAD (€1,200) | €165,000 (140m²) | 2BR, modern building, parking included |
| Palmeraie Villa | 25,000 MAD (€2,280) | €800,000 (350m²) | 5BR, pool, 1,200m² plot, golf access |
| Hivernage Luxury Apartment | 18,000 MAD (€1,640) | €295,000 (180m²) | 3BR, hotel services, pool access |
| Targa New Villa | 15,000 MAD (€1,370) | €410,000 (300m²) | 4BR, modern design, private garden |
| Route de Fes Development | 12,000 MAD (€1,095) | €220,000 (200m²) | 3BR townhouse, gated community |
Recent transaction examples include a renovated 280m² riad in Mouassine (Medina) selling for €315,000, a 160m² apartment in Gueliz for €195,000, and a 420m² villa in Palmeraie for €950,000 with pool and mature gardens.
Price variations within neighborhoods can reach 30-40% based on specific location, property condition, and unique features like historical significance in riads or golf course views in Palmeraie villas.
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.
If you plan to rent, what are the projected gross and net yields for short-term vs long-term in those areas, after taxes, management, and occupancy assumptions?
Rental yields in Marrakech vary significantly between short-term and long-term strategies across different property types and locations.
Short-term rentals in prime tourist areas achieve gross yields of 8-12%, with luxury villas and authentic riads performing at the higher end. Net yields after management fees (12-15%), taxes (20% on rental income), maintenance, and vacancy periods typically range from 6-8% annually.
Long-term rentals provide more stable but lower returns, with gross yields of 4-7% depending on location and property type. Net yields after taxes and maintenance costs generally fall between 3-5%, but offer advantages including lower management intensity, reduced turnover costs, and more predictable cash flows.
Occupancy assumptions for short-term rentals average 65-75% in prime areas during peak seasons (October-April), dropping to 45-55% during summer months. Properties with pools maintain higher occupancy during hot seasons when outdoor amenities become essential for guest satisfaction.
Tax considerations include 20% income tax on rental earnings for non-residents, plus professional tax (taxe professionnelle) for commercial rental activities. Property expenses including maintenance, management, and improvements can be deducted from taxable rental income.
If you plan to resell, what are the likely renovation costs, resale comps, holding period, and after-cost profit margin you'd accept?
Resale strategy success in Marrakech depends on property selection, renovation execution, and market timing.
Renovation costs for comprehensive upgrades range from 5,000-12,000 MAD/m² depending on property condition and finish quality. A typical 300m² riad requiring full renovation needs 1.5-3.6 million MAD (€135,000-€330,000) investment for modern systems, traditional materials, and luxury finishes.
Recent resale comparisons show renovated riads in desirable Medina locations achieving 40-60% value increases over purchase plus renovation costs. For example, a €200,000 riad purchase with €150,000 renovation selling for €500,000+ represents strong profit margins for patient investors.
Optimal holding periods range from 1-3 years, allowing completion of renovation work, market absorption of improvements, and capture of annual appreciation trends. Properties held longer than 5 years may face additional capital gains tax implications for non-resident sellers.
Acceptable profit margins should exceed 12-18% net after all costs including purchase, renovation, holding costs (taxes, insurance, maintenance), and sale expenses (agent commissions, legal fees). Conservative investors target 15-20% minimum margins to justify renovation risks and time investment.
How have prices in those areas moved versus 5 years ago and versus 1 year ago, and what's driving the change?
Marrakech property market has experienced substantial growth over recent years, with significant variation between premium and mainstream segments.
Five-year price trends show premium areas like Palmeraie appreciating 15% annually, while mainstream neighborhoods averaged 3-7% annual growth. This divergence reflects growing demand from international buyers for luxury properties versus steady local demand for mid-range housing.
Past year performance shows moderation from previous peaks, with apartment prices increasing 0.3% while luxury properties continued growing 5-8%. The 2024 surge of 20% in premium segments has stabilized as market absorption caught up with speculation-driven demand.
Key market drivers include foreign investment increases of 55% since 2024, driven by European buyers seeking second homes and investment properties. Tourism recovery post-pandemic has restored confidence in short-term rental markets, supporting property values in tourist-focused areas.
Infrastructure improvements including highway expansions, new airport terminals, and planned high-speed rail connections to Casablanca continue attracting long-term investment. Government incentives for foreign investment and simplified property purchase procedures have reduced bureaucratic barriers for international buyers.
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Given today's market, which areas and property types look smartest, how does Marrakech stack up on price/yield against similar cities, and what's the 1-, 5-, and 10-year outlook?
Current market conditions favor specific property types and locations offering optimal risk-adjusted returns in Marrakech's evolving landscape.
Smartest investment opportunities include renovated riads in accessible Medina locations, new villas in emerging neighborhoods like Targa and Route de Fes, and luxury properties in established areas benefiting from infrastructure improvements. These segments combine growth potential with rental income stability.
Comparative analysis shows Marrakech delivering superior value versus competing destinations. While Casablanca apartments average 14,500 MAD/m² with 6-9% yields, Marrakech offers similar prices but higher tourism-driven returns. Against European alternatives, Marrakech provides significantly lower entry costs with comparable or superior yield potential.
One-year outlook remains positive with continued foreign investment and tourism recovery supporting demand. Price growth should moderate to sustainable 5-8% annually in premium segments, while mainstream areas may see acceleration as affordability attracts broader buyer pools.
Five-year projections suggest continued outperformance driven by infrastructure completion, tourism development, and government policy support. Areas with planned transport links and commercial development should see above-average appreciation, while established luxury zones maintain steady premium positioning.
Ten-year outlook depends on Morocco's broader economic development and regional stability. Assuming continued growth and political stability, Marrakech property market should mature while maintaining attractiveness for international investment, with yields potentially moderating as prices reach regional equilibrium levels.
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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.
Marrakech's property market in 2025 presents compelling opportunities across multiple investment strategies and price points.
Success requires careful analysis of your goals, thorough due diligence on specific properties and neighborhoods, and realistic expectations about costs, yields, and market timelines in this dynamic North African destination.
Sources
- Marrakech Price Forecasts - Sands of Wealth
- Top Neighborhoods Marrakech Luxury Investment - Orchid Island
- Morocco Price Forecasts - Sands of Wealth
- Exploring Marrakech Property Market Trends - Marrakech Sunset
- Riad Marrakech For Sale - Barnes Marrakech
- Villa Prices in Marrakech - Les Villas de Myriam
- Marrakech Which Area - Sands of Wealth
- Morocco Real Estate Market Dynamic Shifts - LinkedIn
- Morocco Price History - Global Property Guide
- Marrakech Changing Real Estate Landscape - John Taylor