How to Buy Property in Morocco as a Foreigner

Can Foreigners Own Property in Morocco?

Foreign nationals can purchase and hold title to most types of urban real estate in Morocco. The law does not impose nationality-based restrictions on the acquisition of urban residential, commercial, or mixed-use properties. A foreigner buying an apartment in Casablanca or a villa in Marrakech holds the same ownership rights as a Moroccan citizen.

The principal restriction concerns agricultural land. Under the Dahir of 13 June 1990, foreign individuals are generally prohibited from purchasing land classified as agricultural. This restriction is discussed separately in the guide on agricultural land.

Foreigners may hold property individually, jointly with a Moroccan or another foreigner, or through a Moroccan legal entity (such as an SCI — société civile immobilière). Each structure has different legal, tax, and succession implications.

Types of Properties Available

The Moroccan real estate market includes several property categories relevant to foreign buyers:

• Urban residential property: Apartments, villas, and houses in cities and towns. These are fully open to foreign ownership.
• Commercial real estate: Office space, shops, and industrial units. Foreign ownership is permitted.
• Off-plan (VEFA — vente en l'état futur d'achèvement): Purchase of a property before or during construction. Common in new developments and resort areas.
• Registered vs unregistered property: Registered property (titre foncier) offers the strongest title. Unregistered or Melkia property carries additional risks and requires careful due diligence.
• Agricultural land: Generally restricted for foreign buyers. See the separate guide for details.

Finding a Property

Foreign buyers typically find property through:

• Licensed Moroccan real estate agents (agences immobilières). Morocco does not have a strictly regulated agent licensing system comparable to some European countries, so selecting an established agency is advisable.
• Direct negotiation with developers or private sellers.
• Property portals and listings targeting international buyers.

Before entering into any agreement, it is advisable to conduct independent legal due diligence. This involves verifying the titre foncier, confirming there are no liens or encumbrances, and checking zoning and urban planning classifications (plan d'aménagement) with the local commune.

The Purchase Process

Promesse de Vente (Preliminary Agreement)

Once a buyer and seller agree on price and terms, they typically sign a preliminary agreement called the promesse de vente (or compromis de vente). This is a binding pre-contract that sets out:

• The identity of the parties
• Description of the property
• Agreed purchase price
• Deposit amount (usually 10 to 20 percent of the price)
• Conditions precedent (e.g., financing, title verification)
• Date for signing the final deed

The promesse de vente can be drafted by a notary or, in practice, sometimes by an agent or lawyer. Under Moroccan law, it is a legally binding contract. If the buyer withdraws without legal cause, the deposit may be forfeited. If the seller withdraws, the buyer may be entitled to double the deposit or specific performance.

Acte de Vente (Final Deed)

The final sale is formalized through a notarial act (acte de vente authentique) before a Moroccan notary. This step is mandatory for the transfer of registered real estate. The notary:

• Verifies the identity of the parties
• Confirms the title is clear (no undisclosed liens)
• Reads the deed aloud to both parties
• Collects applicable taxes and fees
• Files the transfer with the Conservation Foncière

Both parties must be present at the signing, or represented by a duly authorized agent holding a special power of attorney (procuration spéciale).

Role of the Notary

In Morocco, the notary (notaire) is a public officer appointed by the state. Unlike in common law countries, a Moroccan notary is not simply a witness to signatures — the notary has legal obligations to verify the transaction and protect both parties.

Key functions of the notary in a real estate purchase:

• Verifying ownership through the Conservation Foncière
• Checking for mortgages, liens, or registered privileges
• Drafting the authentic deed in Arabic (with a French version if requested)
• Calculating and collecting droits d'enregistrement (transfer tax) and other fees
• Depositing the tax at the tax authority (DGI)
• Filing the transfer at the Conservation Foncière to update the titre foncier

A buyer may choose to have their own legal counsel review the promesse de vente and the final deed before signing. The notary acts as a neutral public officer and does not exclusively represent either party's interests.

Titre Foncier (Land Registry)

The titre foncier is Morocco's land registration certificate. It is issued and maintained by the Conservation Foncière (land registry), which operates under the Agence Nationale de la Conservation Foncière, du Cadastre et de la Cartographie (ANCFCC).

The titre foncier provides:

• A unique registration number
• Description of the property (boundaries, surface area, location)
• Name(s) of the registered owner(s)
• Record of all encumbrances (mortgages, servitudes, privileges)

Before purchasing, a buyer should obtain a certificat de propriété (ownership certificate) directly from the Conservation Foncière. This confirms the current registered ownership and any encumbrances as of that date.

Not all properties in Morocco are registered under a titre foncier. Unregistered properties (Melkia) are governed by Islamic customary law and carry additional risks. Purchasing an unregistered property is possible but requires more extensive due diligence.

Transfer Taxes and Costs

When purchasing property in Morocco, the buyer incurs the following costs:

• Droits d'enregistrement (Transfer Tax): 4 percent of the declared purchase price for most urban properties. This is paid to the Direction Générale des Impôts (DGI).
• Conservation Foncière fee: 1 percent of the purchase price, paid upon registration of the transfer.
• Notary fees: Approximately 1 percent of the purchase price, governed by the official fee schedule.
• Stamp duties and administrative fees: Several hundred to a few thousand dirhams depending on the transaction.
• VAT (TVA): Applies to new property purchased from a developer (typically included in the developer's price).

In total, buyers should budget approximately 6 to 10 percent of the purchase price for transaction costs beyond the sale price itself.

Currency Transfer Rules

Morocco maintains exchange controls administered by the Office des Changes. Foreign buyers should be aware of the following rules:

• Importing purchase funds: Foreign currency used to purchase property in Morocco must be imported through a Moroccan bank and declared to the Office des Changes. This creates a traceable record that is essential for later repatriation of sale proceeds.
• Compte en dirhams convertibles: Non-resident foreign buyers can open a compte en dirhams convertibles (CDC) at a Moroccan bank to hold funds imported in foreign currency. This account facilitates future repatriation.
• Repatriation of sale proceeds: When a non-resident foreign buyer later sells the property, they can repatriate the net proceeds (after taxes) in the original foreign currency, provided the purchase was funded through regular banking channels and properly documented.
• Rental income: Non-resident property owners can repatriate net rental income within the limits permitted by the Office des Changes regulations.

It is strongly advisable to document all fund transfers carefully at the time of purchase. Failure to properly import and declare purchase funds can complicate later repatriation.

Registering the Property

After the acte de vente is signed, the notary files the transfer documents with the Conservation Foncière. The registration process involves:

1. The notary submits the deed and supporting documents to the Conservation Foncière
2. The Conservation Foncière reviews the documents and updates the titre foncier to reflect the new owner
3. The new titre foncier (or a certificat de propriété updated in the buyer's name) is issued

Registration typically takes several weeks to a few months depending on the Conservation Foncière's workload and the completeness of the file. The buyer receives confirmation once the title is updated.

Until the titre foncier is updated, the notary's deed constitutes the legal proof of the transaction, but full registration is necessary to protect against subsequent claims from third parties.

Frequently Asked Questions

Can foreigners own property in Morocco?

Yes. Foreign nationals can purchase and own most types of urban real estate in Morocco on equal terms with Moroccan citizens. The main exception concerns agricultural land, which foreign individuals generally cannot purchase.

What is the total cost of buying property in Morocco?

Total transaction costs typically represent 6 to 10 percent of the purchase price, covering transfer tax (4 percent), Conservation Foncière fee (1 percent), notary fees (approximately 1 percent), and other administrative charges.

Do I need to use a notary to buy property in Morocco?

Yes. The transfer of registered real estate must be recorded in a notarial act. The notary is a legal requirement, not optional, and handles title verification, tax collection, and registration.

How do I verify property ownership before buying?

Request a certificat de propriété from the Conservation Foncière using the titre foncier number. This confirms the registered owner and any encumbrances. For unregistered property, additional due diligence steps are required.

Can I buy agricultural land in Morocco as a foreigner?

Generally no. The Dahir of 13 June 1990 restricts foreign individuals from purchasing agricultural land. Long-term leases and certain investment structures are available as alternatives. Legal advice is recommended before pursuing any agricultural land transaction.