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Marrakech's real estate market is experiencing robust growth as we reach mid-2025, driven by strong tourism recovery, foreign investment, and major infrastructure developments. Property prices have surged 3-7% annually across most neighborhoods, with luxury villas in areas like Palmeraie seeing even higher appreciation of up to 15% year-over-year.
The market shows clear segmentation between high-demand areas like Hivernage and Gueliz attracting international buyers, and emerging suburban zones like Agdal and Route de l'Ourika offering better value for money with rental yields reaching 10-14%. As of June 2025, the average price per square meter ranges from 13,000 MAD in central apartments to over 30,000 MAD for luxury villas in prime locations.
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.
Marrakech's property market shows strong momentum with villa prices up 11% over the past year and apartments rising 2-3%, while rental yields range from 6-14% depending on location and property type.
Foreign buyers dominate the luxury segment at 55% of transactions, while infrastructure projects like the 2030 World Cup preparations and high-speed rail connections are boosting suburban area prices by 9-12% annually.
| Property Type | Area | Price per m² (MAD) | Rental Yield | 12-Month Change |
|---|---|---|---|---|
| Luxury Villa | Palmeraie | 25,000-30,000 | 8-12% | +15% |
| Modern Apartment | Gueliz/Hivernage | 13,000-16,178 | 6-9% | +2-3% |
| Traditional Riad | Medina | 12,000-15,000 | 6-8% | +3-5% |
| Suburban Villa | Agdal/Targa | 8,000-12,000 | 7-10% | +9-12% |
| Investment Property | Route de l'Ourika | 6,000-9,000 | 10-14% | +8-10% |
What's the average price per square meter in Marrakech right now, and how has it changed over the past 6 to 12 months?
As of June 2025, the average price per square meter in Marrakech varies significantly depending on the area and property type.
For apartments in central areas like Gueliz and Hivernage, prices range from 13,000 to 16,178 MAD per square meter. Luxury villas in premium zones such as Palmeraie command between 25,000 to 30,000 MAD per square meter, representing the highest prices in the city.
Over the past 6 to 12 months, the Marrakech property market has shown strong upward momentum. Villa prices have surged by 11% during this period, while apartments experienced more moderate growth of 2-3%. The overall market has seen annual price increases of 3-7%, with suburban areas remaining approximately 30% cheaper than city centers.
Traditional riads in the Medina are priced between 12,000 to 15,000 MAD per square meter, while emerging suburban areas like Agdal and Route de l'Ourika offer more affordable options at 6,000 to 12,000 MAD per square meter.
Which neighborhoods are currently experiencing the fastest price growth or strongest demand?
Palmeraie leads the market with the strongest price growth, experiencing 15% annual appreciation due to its status as the premier luxury villa destination.
Hivernage continues to attract significant investment as a luxury tourism hub, generating consistent 5-8% annual appreciation. The neighborhood benefits from its proximity to high-end hotels and restaurants, making it particularly attractive to foreign buyers seeking rental income opportunities.
Agdal and Targa are emerging as the fastest-growing suburban areas, with prices increasing 9-12% annually. These neighborhoods benefit from ongoing infrastructure investments and offer better value propositions compared to central areas. Route de l'Ourika has become an attractive growth corridor, showing strong rental yield potential of 10-14%.
Gueliz maintains steady demand due to its modern amenities and business district appeal, though growth is more moderate at 3-5% annually. The Medina, while historically significant, shows slower appreciation of 3-5% as buyers increasingly prefer modern amenities in newer developments.
How do property prices compare between short-term trends and long-term patterns?
Short-term trends over the past 6-12 months show accelerating growth, with the overall market rising 3-7% in central areas and suburban zones experiencing even stronger gains of 8-12%.
Looking at long-term patterns over the past 5 years, prime zones like Palmeraie have delivered cumulative appreciation of 45-60%. This represents significantly stronger performance than inflation, though 2024 saw a slight real price decline when adjusted for inflation in some segments.
The luxury villa segment has consistently outperformed, with Palmeraie properties showing the strongest long-term appreciation. Suburban areas that were previously overlooked are now catching up rapidly, with Route de l'Ourika and Agdal showing 20% expected price growth by 2027.
Central apartment markets in Gueliz and Hivernage have shown more stable, consistent growth patterns over the 5-year period, making them reliable investment choices for conservative investors. The market demonstrates clear cycles, with peak performance typically occurring during major tourism recovery periods and infrastructure development phases.
What's the current rental yield by property type and area?
| Property Type | Location | Rental Yield | Occupancy Rate | Key Advantages |
|---|---|---|---|---|
| Luxury Villas | Palmeraie | 8-12% | 70-80% | Premium nightly rates, high tourist demand |
| Modern Apartments | Gueliz/Hivernage | 6-9% | 85-90% | Steady long-term tenants, business travelers |
| Traditional Riads | Medina | 6-8% | 65% | Cultural appeal for short-term rentals |
| Suburban Villas | Agdal | 7.5% | 80% | Family demand, growing expat community |
| Investment Properties | Route de l'Ourika | 10-14% | 75% | High yield potential, emerging area |
Are there seasonal fluctuations in demand or pricing, and how should that affect your timing to buy?
Marrakech's real estate market experiences significant seasonal fluctuations that smart buyers can leverage for better deals and timing.
Peak seasons during spring (March-May) and autumn (September-November) see short-term rental rates increase by 20-30% compared to off-season periods. These periods also coincide with higher property transaction volumes and reduced negotiation flexibility for buyers.
Summer months (June-August) present the best buying opportunities, with sellers often offering discounts of 10-15% to close deals before the slow season. Properties typically take longer to sell during this period, giving buyers more negotiating power and time for due diligence.
Winter months (December-February) offer moderate buying conditions, with reasonable pricing and decent inventory levels. However, short-term rental income potential is lower during these months, which should factor into investment calculations.
For optimal timing, consider purchasing during summer for the best prices, then renovating or preparing the property for the high-demand autumn and spring seasons when rental income peaks.
Which property types are seeing the highest appreciation or turnover lately?
Luxury villas are experiencing the strongest appreciation, with Palmeraie properties leading at 15% annual growth due to limited supply and strong international demand.
Modern apartments in central areas like Gueliz are showing steady but moderate appreciation of 2-3% annually, though they maintain high turnover rates due to their appeal to both local and foreign buyers. These properties offer the most liquid investment option in the current market.
Eco-friendly developments and sustainable properties are emerging as a new growth category, with developments in Agdal showing 5-8% annual appreciation as environmentally conscious buyers increasingly prioritize green features.
Traditional riads in the Medina maintain cultural appeal but show slower appreciation of 3-5% annually. However, they offer unique charm for short-term rental markets and maintain consistent demand from tourists seeking authentic experiences.
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What's the demand like from foreign buyers versus local buyers right now, and how does that shape the market?
Foreign buyers dominate the luxury segment, representing 55% of high-end property transactions, with European and Middle Eastern investors leading the charge.
International buyers primarily focus on Palmeraie villas, Hivernage apartments, and premium properties in Gueliz, driving prices up in these areas through competitive bidding. Their preference for turnkey properties with rental potential has shaped the market toward modern, well-appointed developments.
Local Moroccan buyers concentrate on suburban areas like Sidi Ghanem, Targa, and emerging neighborhoods where they can find better value for primary residences. This domestic demand has been crucial in developing these suburban markets and supporting overall price stability.
The foreign buyer preference for short-term rental properties has created a specific market segment focused on tourism-friendly locations near attractions, restaurants, and cultural sites. Local buyers, seeking long-term family homes, have driven demand for larger properties in residential communities.
This dual-market dynamic creates opportunities for investors who understand both segments and can position properties to appeal to the appropriate buyer type.
Are there notable infrastructure or tourism projects underway that could impact specific neighborhoods in the next 1–3 years?
The 2030 FIFA World Cup preparations are significantly boosting property values along Casablanca Road and in Agdal, where major infrastructure improvements are planned.
The new high-speed rail line connecting Kenitra to Marrakech is expected to dramatically increase demand in Targa and Route de l'Ourika areas, with properties in these zones already seeing 8-10% appreciation in anticipation. This rail connection will reduce travel time to Casablanca and Rabat, making Marrakech more accessible for business travelers and commuters.
A major new convention center with 20,000-seat capacity is under construction near the Medina, scheduled for completion by 2026. This development is likely to boost short-term rental demand in surrounding areas and increase property values within a 5-kilometer radius.
Tourism infrastructure improvements, including airport expansion and new luxury hotel developments in Palmeraie, continue to support property values in premium areas. The government's Vision 2030 tourism strategy includes significant investments in Marrakech's tourism infrastructure.
These projects collectively represent billions of dirhams in investment that will reshape the city's property landscape over the next three years.
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How liquid is the market—how long does it typically take to sell a property in each area and at what discount rate?
Prime areas like Palmeraie and Hivernage offer the most liquid market conditions, with quality properties typically selling within 11-33 days of listing.
Central areas including Gueliz maintain good liquidity, with average selling times of 30-45 days for well-priced properties. These areas benefit from consistent demand from both local and international buyers, reducing the time properties spend on the market.
Suburban areas like Agdal, Targa, and Route de l'Ourika show longer selling cycles of 60-90 days, though this is improving as these areas gain popularity. Properties in emerging neighborhoods may take up to 120 days to sell, particularly if priced above market rates.
Across all areas, sellers typically need to accept discounts of approximately 6% below initial asking prices to achieve sales. However, premium properties in desirable locations may sell at or near asking price, while properties in less sought-after areas may require discounts of 10-15%.
The market shows strong liquidity for properties priced correctly, with motivated sellers in prime locations often receiving multiple offers within the first month of listing.
What's the realistic budget range needed today to buy a quality rental-ready property in each of the main zones?
| Zone | Property Type | Budget Range (MAD) | Size | Expected Rental Yield |
|---|---|---|---|---|
| Palmeraie | Luxury Villa | 4,000,000 - 8,000,000 | 200-400 m² | 8-12% |
| Gueliz | Modern Apartment | 800,000 - 1,500,000 | 60-120 m² | 6-9% |
| Hivernage | Luxury Apartment | 1,200,000 - 2,500,000 | 80-150 m² | 7-10% |
| Medina | Traditional Riad | 900,000 - 2,000,000 | 100-200 m² | 6-8% |
| Agdal | Family Villa | 1,500,000 - 3,000,000 | 150-250 m² | 7-10% |
| Route de l'Ourika | Investment Property | 600,000 - 1,200,000 | 80-150 m² | 10-14% |
If your goal is to rent out or Airbnb, which areas currently perform best in terms of occupancy and nightly rate?
The Medina delivers the highest nightly rates at approximately 789 MAD per night, though occupancy rates average 65% due to the seasonal nature of cultural tourism.
Palmeraie offers the best balance of high nightly rates (600-800 MAD) and strong occupancy rates of 70-80%, making it the most profitable area for luxury short-term rentals. The area's resort-like atmosphere and proximity to golf courses attract high-spending tourists year-round.
Gueliz and Hivernage provide consistent performance with occupancy rates of 85-90% and nightly rates of 400-600 MAD. These areas benefit from business travelers and tourists who prefer modern amenities and central locations.
Agdal is emerging as a strong performer for medium-term rentals (1-3 months), with growing expat and business traveler demand supporting occupancy rates of 80% and monthly rates that provide 7.5% annual yields.
Route de l'Ourika, while offering lower nightly rates (200-400 MAD), compensates with longer average stays and lower operating costs, resulting in attractive overall returns of 10-14%.
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What's the best strategy if you're buying now—for living, investment, or resale—in terms of property type, location, and price range?
For those buying to live in Marrakech, focus on Gueliz or Agdal for modern amenities and growing expat communities, with budgets of 1.2-2.5 million MAD for quality apartments or villas.
Investment buyers should target Route de l'Ourika and emerging Agdal areas where prices are expected to grow 20% by 2027, requiring initial investments of 600,000-1.5 million MAD for properties with 10-14% rental yields. These areas offer the best combination of capital appreciation potential and immediate rental income.
For resale-focused strategies, luxury villas in Palmeraie remain the strongest choice despite higher entry costs of 4-8 million MAD, as they maintain the highest appreciation rates at 15% annually and strong liquidity. The limited supply of prime land ensures continued scarcity value.
Conservative investors should consider modern apartments in Gueliz or Hivernage, offering stability, good liquidity, and moderate but consistent returns of 6-9%. These properties appeal to the broadest range of future buyers and renters.
As we reach mid-2025, timing favors buyers who can act decisively, as infrastructure projects are creating momentum that will likely continue through 2027-2030.
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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 real estate market in 2025 presents compelling opportunities across different segments, from high-yield suburban investments to luxury appreciation plays in established areas.
The combination of infrastructure development, tourism recovery, and foreign investment creates a favorable environment for property buyers who understand the market dynamics and choose appropriate locations and property types for their goals.
Sources
- Properstar - Morocco Marrakesh House Prices
- Sands of Wealth - Morocco Buy Property Guide
- Barnes Marrakech - Real Estate Prices
- Bladi.net - Morocco Real Estate Market Analysis
- Global Property Guide - Morocco Price History
- Sands of Wealth - Marrakech Real Estate Forecasts
- Moroccan Dream - Best Marrakech Investment Areas 2025
- Orchid Island - Top Marrakech Luxury Investment Areas
- Sands of Wealth - Marrakech Real Estate Trends
- LinkedIn - Marrakech Real Estate Landscape Analysis