Buying real estate in Morocco?

Are Rabat-Salé property prices going up now? (June 2025)

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

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Property prices in Rabat-Salé are indeed going up as we reach mid-2025.

The capital region is experiencing steady price appreciation across residential properties, with apartments averaging 14,500 MAD per square meter and villas reaching 20,300 MAD per square meter. Premium neighborhoods like Souissi, Agdal, and Hay Riad continue to lead price growth, driven by government infrastructure investments, urban renewal projects, and stable economic conditions supporting strong buyer demand.

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.

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.

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 Rabat, 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.

How much have apartment prices increased in Rabat-Salé in the past year?

Apartment prices in Rabat-Salé have increased by 7% over the past 12 months, with the average reaching 14,500 MAD per square meter as of June 2025.

This growth represents a significant acceleration from the modest 0.3% increase recorded in Q2 2024, indicating strengthening market momentum. The price appreciation has been particularly pronounced in premium neighborhoods, with Souissi reaching 21,000 MAD/m² and Agdal averaging 17,000 MAD/m².

Rabat continues to outperform many other Moroccan cities in terms of price growth, benefiting from its status as the administrative capital and ongoing government infrastructure investments. The city's stable employment base in government and professional services provides consistent demand for residential properties.

In Salé, the market shows more modest growth with new apartment developments experiencing stronger appreciation than older stock due to modern amenities and improved connectivity through infrastructure projects like the tramway expansion.

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

Which neighborhoods in Rabat-Salé are experiencing the fastest price growth in 2025?

El Menzeh leads Rabat's price appreciation, experiencing the strongest growth in real estate valuation according to current market data.

Hay Riad remains the most popular district with average apartment prices at 16,212 MAD/m², continuing its steady upward trajectory due to excellent infrastructure and proximity to business districts. The neighborhood attracts both families and young professionals seeking modern amenities and connectivity.

Souissi and L'Orangeraie neighborhoods command premium prices with Souissi reaching 21,000 MAD/m² for apartments, driven by high-end properties and diplomatic residence demand. These areas benefit from established luxury housing stock and proximity to international institutions.

The Diplomatic Quarters offer long-term price stability and steady appreciation, appealing to international buyers and high-income professionals. New neighborhoods in Salé with modern amenities are attracting buyers, particularly those seeking value compared to central Rabat locations.

Agdal maintains strong performance with average prices around 17,000 MAD/m², benefiting from its central location and university proximity attracting student and professional rental demand.

What are the current property price levels for apartments and villas in 2025?

As of June 2025, apartment prices in Rabat average 14,500 MAD per square meter, while villas command 20,300 MAD per square meter.

Location Apartment Price (MAD/m²) Villa Price (MAD/m²) Notable Features
Souissi 21,000 30,000 Most prestigious area, diplomatic quarter
Agdal 17,000-20,000 20,000 Central location, university proximity
Hay Riad 16,212 25,000 Business district, modern infrastructure
Hassan 18,000 20,000 Historic area, government buildings
Salé Center 12,000-14,000 15,000-18,000 More affordable, growing rapidly
L'Ocean (Rabat) 15,000-16,000 22,000 Coastal proximity, popular residential
El Menzeh 16,000-19,000 23,000 Fastest growing area, new developments

Premium properties in top neighborhoods can reach significantly higher prices, with luxury villas in Souissi selling for 9.5 to 35 million MAD depending on size and amenities. The wide price range reflects Rabat-Salé's diverse housing market catering to different income levels and preferences.

How do Rabat-Salé property prices compare to Casablanca and Marrakech in 2025?

Rabat-Salé maintains its position as Morocco's second most expensive residential market after Casablanca, with competitive pricing in the luxury segment.

Casablanca leads with apartment prices averaging 13,900 MAD/m² for standard properties and villa prices around 20,500 MAD/m². However, Rabat's premium properties often exceed Casablanca prices, particularly in diplomatic and luxury residential areas.

Marrakech shows apartment prices around 13,000 MAD/m² and villa prices at 20,700 MAD/m², making it slightly more affordable than Rabat for comparable properties. Marrakech's market remains primarily tourism-driven, creating different dynamics than Rabat's government and business-focused demand.

Rabat-Salé's price stability and growth potential make it attractive to investors seeking steady appreciation without the volatility seen in tourism-dependent markets. The capital region benefits from diverse economic drivers including government employment, international organizations, and business services.

The gap between Rabat and Casablanca prices continues to narrow, particularly in luxury segments where Rabat's diplomatic and administrative status commands premium valuations.

What types of properties are seeing the biggest price increases in 2025?

Luxury apartments in premium neighborhoods are experiencing the highest price appreciation, with annual growth rates of 5-8% in areas like Souissi and Agdal.

  1. New apartment developments with modern amenities are outperforming older stock by 3-5 percentage points, particularly in areas with improved infrastructure like tramway connections.
  2. Villas have shown 5% price increases over the past year, demonstrating resilience and steady demand from high-income buyers and expatriate families.
  3. Furnished apartments are commanding premium prices due to increasing demand from international professionals and short-term rental investors.
  4. Properties in mixed-use developments combining residential and commercial spaces are attracting strong interest from young professionals.
  5. Eco-friendly and sustainable housing projects are seeing accelerated demand as environmental consciousness grows among buyers.

Traditional riads and heritage properties in Salé's medina are experiencing renewed interest from both local and international buyers seeking authentic Moroccan architecture with modern renovations.

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What are the property price forecasts for Rabat-Salé through 2026?

Property prices in Rabat-Salé are projected to continue their upward trajectory through 2026, with analysts expecting 4-6% annual growth as World Cup 2030 preparations intensify.

For the remainder of 2025, prices are expected to increase 3-5% as infrastructure projects reach completion and tourism recovery continues strengthening. The fourth quarter typically shows increased activity as year-end bonuses and foreign buyer interest peak during this period.

First quarter 2026 should see acceleration to 4-6% growth as World Cup 2030 preparations create anticipation and speculative interest in host city markets. Morocco's co-hosting of the tournament with Spain and Portugal is expected to drive significant infrastructure investment and international attention.

The second and third quarters of 2026 could see the year's strongest performance at 5-7% growth, driven by increased foreign investment as global investors position themselves for World Cup-related opportunities and tourism growth.

Long-term projections through 2029 indicate Morocco's real estate market will grow by 4.69% annually, suggesting sustainable appreciation rather than speculative bubbles, with Rabat-Salé expected to outperform the national average.

How are current mortgage rates affecting property purchases in Rabat-Salé?

Current mortgage rates in Morocco remain relatively stable and supportive of property purchases, ranging from 4.5% to 6% for fixed-rate loans and 3.75% to 5% for variable-rate mortgages as of mid-2025.

Moroccan banks typically require 20-30% down payments and finance up to 70-80% of property value, making homeownership accessible to middle-income families. The government's housing support programs, including FOGARIM and FOGALOGE, provide additional financing assistance for qualifying buyers.

These competitive rates are supporting strong demand, particularly among first-time buyers and middle-income families seeking to enter the property market before prices rise further. Banks are offering attractive packages for new real estate projects and ecological renovations, encouraging sustainable development.

The mortgage market shows healthy activity with housing loans outstanding increasing by 1.5% year-over-year to MAD 244.92 billion, indicating continued lending growth. Property loans to developers rose 3.8% to MAD 54.46 billion, supporting new construction projects.

Stable mortgage conditions, combined with government initiatives to support housing affordability, are maintaining market accessibility despite rising property prices in premium areas.

What government policies are supporting the Rabat-Salé property market in 2025?

The Moroccan government has implemented comprehensive policies supporting property market stability and growth through the 2025 Finance Bill and targeted housing programs.

Income tax cuts and higher exemptions for low-income earners are improving affordability for first-time buyers, while developer incentives encourage new construction projects. The Direct Housing Support Program (Daam Sakane) provides 100,000 MAD for homes up to 300,000 MAD and 70,000 MAD for homes between 300,000-700,000 MAD.

Major urban renewal investments, including the Bouregreg Valley project, are directly boosting property values in targeted neighborhoods while improving quality of life for residents. Infrastructure spending on transportation, utilities, and public spaces enhances neighborhood attractiveness.

The government's tourism development strategy, aiming for 17.5 million visitors by 2026 and 26 million by 2030 for the World Cup, creates additional demand for residential and short-term rental properties.

Tax reforms include VAT exemptions for social housing between 50-80 square meters and price caps at MAD 250,000, while middle-income housing costs are capped at MAD 6,000 per square meter for units ranging from 80-120 square meters.

How has economic growth impacted property demand in Rabat-Salé?

Morocco's projected GDP growth of 3.2% in 2024 and 3.3% in 2025 is supporting sustained property demand in Rabat-Salé, particularly benefiting from the region's role as the political and administrative center.

The capital region shows greater resilience to economic fluctuations compared to tourism-dependent cities, with stable government employment providing consistent housing demand. Professional services, international organizations, and diplomatic missions create steady high-income employment supporting premium property segments.

Rising tourist numbers and government infrastructure investment are boosting demand for both residential and short-term rental properties, particularly in areas with improved connectivity and amenities. The recovery in tourism creates additional employment opportunities supporting broader housing demand.

Foreign direct investment continues flowing into Morocco's real estate and infrastructure sectors, reinforcing long-term market resilience and international buyer confidence. The country's political stability and economic reforms attract both regional and international investors.

Urban population growth, with 67.8% of Moroccans expected to live in cities by 2030, creates ongoing demand pressure in major metropolitan areas like Rabat-Salé.

infographics comparison property prices Rabat-Salé

We made this infographic to show you how property prices in Morocco compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It's an easy way to spot where you might get the best value for your money. We hope you like it.

What role does foreign investment play in Rabat-Salé's property market?

Foreign investment plays a significant role in supporting property price appreciation in Rabat-Salé, particularly from European, Gulf, and emerging Asian markets.

European buyers, especially French and Spanish investors, continue showing strong interest in Rabat's residential market due to historical ties, convenient flight connections, and favorable exchange rates. These investors often target luxury apartments and villas in premium neighborhoods.

Gulf country investors maintain their traditional strong presence, drawn by cultural ties and Morocco's Islamic finance options, often focusing on large residential projects and mixed-use developments. Middle Eastern capital particularly targets diplomatic quarter properties and luxury segments.

Asian investment represents a growing trend, with Chinese buyers showing increased interest following Morocco's visa waiver policy introduced in 2016, creating new demand streams for residential properties. This diversification of foreign buyer origins strengthens market stability.

Foreign investment influx contributes to price appreciation while bringing international standards and expectations that elevate the overall quality of Morocco's real estate offerings, benefiting the entire market ecosystem in Rabat-Salé.

How do rental yields compare to property price appreciation in Rabat-Salé?

Rental yields in Rabat-Salé range from 4.43% to 8.99% depending on property type and location, providing solid income generation alongside capital appreciation.

Premium neighborhoods like Agdal and Hay Riad offer rental yields of 5-7% for standard apartments, while more affordable areas in Salé can achieve higher yields of 6-8% due to lower purchase prices relative to rental income. Furnished apartments command premium rents, particularly from international professionals and short-term visitors.

The combination of 3-7% annual price appreciation plus 5-7% rental yields creates attractive total returns of 8-14% for property investors in prime locations. This return profile compares favorably to other investment options in Morocco's market.

Student housing near universities and professional accommodations near government offices show particularly strong rental demand with consistent occupancy rates throughout the year. The diplomatic community creates steady demand for high-quality furnished properties.

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

What challenges might limit property price growth in Rabat-Salé?

Oversupply in certain segments, particularly new apartments in Salé, could dampen price growth in those specific areas while premium Rabat neighborhoods continue appreciating.

Rising construction costs due to global supply chain disruptions and inflation may slow new project development, potentially constraining supply growth but also increasing costs for buyers. Material price increases affect both new construction and renovation projects.

Interest rate increases, if implemented by Bank Al-Maghrib to combat inflation, could reduce buyer affordability and slow transaction volumes, particularly affecting first-time buyers and investment purchases. Higher financing costs would pressure demand in price-sensitive segments.

Economic uncertainty, whether from global factors or domestic challenges, could delay investment decisions and reduce foreign buyer activity, impacting luxury segments most dependent on international capital.

Regulatory changes affecting foreign ownership rights or taxation could influence international investor sentiment, while local planning restrictions might limit development in prime areas, affecting supply dynamics.

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. Agenz - Real Estate Prices in Morocco
  2. Sands of Wealth - Rabat-Salé Real Estate Forecasts
  3. Agenz - 2025 Morocco Real Estate Market Perspectives
  4. Sands of Wealth - Rabat-Salé Real Estate Trends
  5. Global Property Guide - Morocco Price History
  6. Statista - Average Real Estate Prices by City
  7. Armonia Solutions - Mortgage Rates in Morocco
  8. Sands of Wealth - Morocco Price Forecasts