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Casablanca's property market is experiencing steady growth with prices rising 3-7% annually, driven by infrastructure development and strong foreign investment demand.
The city offers attractive rental yields of 4-7% across different neighborhoods, though supply constraints in premium areas continue to support upward price pressure. Foreign investors face new tax considerations but the market remains fundamentally strong for both investment and personal use.
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.
Casablanca's property market shows strong fundamentals with steady price growth of 3-7% annually, particularly in central and coastal districts.
Rental yields remain attractive at 4-7% citywide, while supply shortages in premium areas support continued price appreciation through 2025-2026.
| Market Indicator | Current Status | Outlook |
|---|---|---|
| Average Price Growth | 3-7% annually (2025) | Continued growth expected |
| Apartment Prices | 13,900 MAD/m² average | Premium areas leading gains |
| Villa Prices | 20,500 MAD/m² average | Up to 27,000 MAD/m² luxury |
| Rental Yields | 4-7% citywide | Stable, highest in central areas |
| Interest Rates | 2.25% benchmark rate | Expected to remain low |
| Supply vs Demand | Demand exceeds supply | Gap supports price growth |
| Foreign Investment Tax | 25% capital gains (non-residents) | Recent increase from 20% |
What is the current property price trend in Casablanca, and how have they evolved over the last 12 months?
Property prices in Casablanca are rising steadily, with growth accelerating from 1.8% in 2024 to 3-7% annually as of September 2025.
The strongest price appreciation is occurring in central and coastal districts, where infrastructure expansion and high foreign investment are driving demand. New apartments and villas have experienced dramatic price surges of over 30% in some premium districts where supply cannot keep pace with buyer interest.
Areas with tramway access, such as Maarif, are showing above-average price growth due to improved connectivity. However, older neighborhoods like Hay Mohammadi have experienced slight declines or stagnation due to lagging infrastructure development.
The overall trend shows a clear two-tier market emerging, with premium and well-connected areas significantly outperforming traditional residential districts.
This price evolution reflects Casablanca's preparation for major events like the 2030 FIFA World Cup and continued urban migration from other Moroccan cities.
What is the average price per square meter for different types of properties in key areas of Casablanca?
| District | Property Type | Price per m² (MAD) |
|---|---|---|
| City Average | Apartments | 13,900 |
| City Average | Villas | 20,500 |
| Maarif | Apartments | 15,000 |
| Gauthier | Apartments | 16,000 |
| Anfa | New Apartments | 22,000-24,000 |
| Ain Diab | Apartments | 20,000-27,000 |
| Californie | Luxury Villas | 25,000 |
| Dar Bouazza | Villas | 18,000 |
How do property prices vary across different neighborhoods, and which areas are experiencing the most growth or decline?
Casablanca's property market shows significant variation between neighborhoods, with premium central and coastal areas commanding the highest prices and growth rates.
The fastest growing areas include Anfa, Ain Diab, Gauthier, and Sidi Belyout, which have seen price increases of 25-30% over the past five years. These districts benefit from proximity to business centers, coastal access, and superior infrastructure.
Mid-tier neighborhoods like Maarif and Maarif Extension are experiencing steady appreciation due to tramway connectivity and balanced supply-demand dynamics. These areas offer good value for both investors and residents seeking modern amenities at more accessible prices.
Declining or stagnant areas include older districts such as Hay Mohammadi and Sidi Othman, where infrastructure lags behind and property conditions may require significant renovation. Entry-level properties in peripheral zones start around 6,000 MAD per square meter.
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What is the expected price appreciation or depreciation over the next 6 months to 1 year in the most popular areas for buyers?
Short-term forecasts for the Casablanca property market indicate continued strong growth of 3-7% annually across most popular districts through 2026.
Premium areas like Anfa, Ain Diab, and Californie are expected to maintain the highest appreciation rates, driven by infrastructure spending, urban migration, and preparations for the 2030 FIFA World Cup. These districts will likely see the upper end of the 3-7% range or potentially exceed it.
Mid-market neighborhoods including Maarif and Gauthier should experience steady growth in the 3-5% range, supported by improved public transportation and consistent rental demand from both locals and expatriates.
Traditional neighborhoods may see more modest appreciation of 1-3% annually, with some areas potentially experiencing flat or slightly declining values if infrastructure improvements don't materialize.
The overall market momentum suggests that well-located properties in established districts will continue outperforming the broader market through 2025-2026.
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What is the rental yield for properties in Casablanca, and how does it compare across different neighborhoods and property types?
Rental yields in Casablanca are attractive, averaging 4-7% citywide, with significant variation based on location and property type.
The highest rental yields are found in Gauthier, where 2-bedroom apartments achieve yields of 6.86%, followed by Racine at 5.74%. These central locations benefit from strong rental demand from both locals and expatriates.
Smaller units consistently outperform larger properties, with studios and 1-bedroom apartments achieving yields of approximately 7.9%. This reflects the high demand from young professionals and students in the city center.
Luxury coastal properties in areas like Ain Diab maintain solid rental demand and stable yields, though typically in the lower range of 4-5% due to their higher purchase prices. However, these properties often appreciate faster in value, providing total returns that compensate for lower rental yields.
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What is the current vacancy rate for rental properties, and how does this impact rental demand and income potential?
Vacancy rates in Casablanca vary significantly between long-term and short-term rental markets, directly impacting income potential for property investors.
Short-term rentals (Airbnb-style properties) show a median occupancy rate of 35%, meaning a vacancy rate of 65%. However, well-managed properties in prime locations can achieve occupancy rates of 77% or higher, while the average across all short-term rentals is 49%.
Long-term rental vacancies are generally lower in central and well-connected areas, where steady demand from professionals, students, and expatriates keeps properties occupied. Premium locations maintain near-full occupancy throughout the year.
Higher vacancy rates in less central locations significantly dampen income potential, making location selection crucial for rental income strategies. Properties in peripheral areas may experience vacancy rates of 20-30% for long-term rentals.
The vacancy impact means that investors should factor in 2-4 months of vacancy per year when calculating expected rental returns, except in the most desirable central locations.
What are the expected changes in interest rates in Morocco, and how might they affect property purchasing power and loan terms?
Morocco's central bank has maintained the benchmark interest rate at 2.25% as of September 2025, with expectations for continued stability through 2026.
Inflation remains very low at under 2%, providing the central bank with flexibility to maintain accommodative monetary policy. This low inflation environment supports continued low borrowing costs for property purchases.
The stable interest rate environment benefits property buyers by keeping mortgage costs predictable and affordable. Current rates support strong purchasing power for both local and international buyers seeking financing.
Economic growth forecasts of 4.6% for 2025 suggest a healthy economy that can sustain current interest rate levels without triggering inflationary pressures. This stability is particularly beneficial for long-term property investments.
Low interest rates continue to support real estate demand by making financing accessible, though buyers should be prepared for potential gradual increases if economic conditions change significantly in 2026.
How does the political and economic climate in Morocco currently affect the real estate market in Casablanca?
Morocco's political and economic climate strongly supports Casablanca's real estate market through continued growth and substantial public investment.
GDP growth forecasted at 4.6% for 2025 demonstrates economic resilience and creates a positive environment for property investment. This growth is supported by diversified economic sectors including tourism, manufacturing, and services.
Major public infrastructure investments, particularly in preparation for the 2030 FIFA World Cup, are driving real estate development and supporting property values. These investments include transportation improvements, urban development projects, and modernization initiatives.
Robust foreign investment continues to flow into Casablanca's property market, indicating international confidence in Morocco's political stability and economic prospects. However, investors should monitor global economic uncertainty and its potential impact on foreign investment flows.
Recent tax reforms show the government's commitment to balancing revenue generation with maintaining an attractive investment environment, though these changes require careful consideration by foreign investors.
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 is the supply and demand balance for properties in Casablanca, and are there more buyers or more sellers in the market right now?
Demand significantly exceeds supply in Casablanca's property market, creating a strong sellers' market particularly in premium districts.
The supply shortage is most acute for new apartments and villas in desirable areas like Anfa, Ain Diab, and Californie, where buyer interest far outpaces available inventory. This imbalance directly supports continued upward price pressure.
Construction activity has increased but remains insufficient to meet growing demand from both local buyers upgrading their housing and foreign investors seeking opportunities in Morocco's economic capital. Development timelines often lag behind market demand.
The buyer-favored market conditions mean that well-priced properties in good locations often receive multiple offers and sell quickly. Sellers in premium areas have significant negotiating power.
Supply constraints are less severe in peripheral areas and older neighborhoods, where buyers have more options and negotiating power, resulting in more balanced market conditions.
What are the key legal and tax considerations for foreign investors buying property in Casablanca?
- Capital Gains Tax: Foreign investors now face a 25% capital gains tax (increased from 20%), while Moroccan residents benefit from increasing allowances for long-term ownership
- VAT Rates: Reduced to 18% for primary residences, but remains at 20% for luxury properties exceeding 2 million MAD
- Registration Fees: Overall registration fees have been reduced, though luxury properties may face higher rates depending on value
- Rental Income Tax: Progressive taxation up to 37% for individuals, or flat 20% rate with available deductions
- Short-term Rental Licensing: New regulations require licenses and compliance for Airbnb-style rentals, though rules remain relatively investor-friendly compared to other markets
What type of property offers the best return on investment for short-term rentals versus long-term rentals?
Short-term rentals can achieve superior returns of 7-10% annually in Casablanca, but require active management and strategic location selection.
Properties in high-demand zones near business districts, tourist attractions, or coastal areas perform best for short-term rentals. Well-managed Airbnb properties in prime locations can achieve occupancy rates of 77% or higher.
Long-term rentals offer more stable returns in the 4-7% range with lower management requirements and less occupancy volatility. These investments suit investors seeking passive income with minimal day-to-day involvement.
Small units (studios and 1-bedroom apartments) in central locations provide the best ROI for both rental strategies, achieving yields up to 7.9% due to strong demand from young professionals and students.
It's something we develop in our Morocco property pack.
What is the best budget range for someone looking to buy property now, whether for personal use, rental income, or capital appreciation?
Entry-level investments start around 6,000 MAD per square meter in peripheral zones, suitable for budget-conscious buyers seeking rental income opportunities.
The optimal value range focuses on mid-tier neighborhoods like Maarif and Maarif Extension, where properties offer strong rental demand, moderate price growth, and good connectivity. These areas provide the best balance of affordability and investment potential.
For maximum rental yields, 1-bedroom apartments and studios in central districts offer the best performance, typically requiring investments of 800,000 to 1.5 million MAD for well-located properties.
Capital appreciation buyers should target premium areas like Anfa, Ain Diab, and Californie, where villas and luxury apartments require larger investments of 2-4 million MAD but offer superior long-term growth potential.
Foreign investors should budget an additional 25-30% above property purchase price for taxes, fees, and potential renovation costs to ensure adequate capital for successful investment completion.
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.
Casablanca's property market presents compelling opportunities for both investors and residents, with steady price growth, attractive rental yields, and strong fundamental demand drivers.
While foreign investors face higher tax obligations, the market's resilience and Morocco's economic stability make it an attractive destination for real estate investment.
Sources
- Casablanca Price Forecasts - Sands of Wealth
- Casablanca Real Estate Market - Sands of Wealth
- Morocco Rental Yields - Global Property Guide
- Morocco Real Estate Taxation 2025 - Orchid Island
- Morocco Real Estate Guide - Chambers
- Morocco Price Forecasts - Sands of Wealth
- Morocco Property Prices - Agenz
- Casablanca Airbnb Report - AirROI
- Morocco Interest Rates - Reuters
- Morocco Central Bank - Aawsat