Morocco
Morocco - FAQs
1. WHAT DOES "OFF PLAN" MEAN?
Buying off plan is when a property is purchased before it has been built.
You will usually be able to see models, artists' impressions and plans, but not the actual property itself. In this way the property can be purchased at the lowest possible price, with a build time of anywhere up to three years. During this period the property is growing in value.
2. WILL I NEED A SOLICITOR?
It is essential to engage a reputable, experienced local Solicitor. Please contact us for details of a London-based Moroccan Solicitor who can advise on all aspects of property purchase.
3. CAN I GET A MORTGAGE IN MOROCCO?
Yes, mortgages are available for 60% of the property value.
4. WILL I NEED A MOROCCAN BANK ACCOUNT?
Yes. Please contact us if you require assistance.
5. HOW DO I SECURE A PROPERTY?
An initial holding deposit of £2000 is all that is needed to secure a property for 28 days. This gives you time to visit the project or buy 'site unseen'.
6. WILL I BE ABLE TO RENT OUT MY PROPERTY?
Yes. Properties in Morocco should provide lucrative year-round rental potential because of the climate and golf facilities. An added bonus is that owners are income tax-exempt for the first 5 years.
7. WHAT ONGOING COSTS SHOULD I EXPECT?
Running costs are set to be around £120-£160 per month, including utility, maintenance and management charges.
8. WHAT IS THE CAPTIAL GAINS TAX SITUATION?
Capital Gains Tax (TPI) is 20% of the profit, with a minimum of 3% of the sale price. There is a double taxation treaty between the UK and Morocco to ensure that this is not paid in both countries. Properties sold within 8 years or more of ownership are fully exempt from TPI. Properties sold after more than 5 years ownership but less than 10 years are subject to TPI of 10% of any capital gain over 1 million MAD (about £62,000).
9. WHAT IF I WANT TO RE-SELL BEFORE COMPLETION?
You can sell on to a 3rd party (once the initial 20% has been paid) via a transfer contract drawn up by your solicitor.
10. WHAT IS THE LOCAL CURRENCY?
Local currency is the Dirham (MAD).
11. HOW DO I BUY A PROPERTY IN MOROCCO?
Basically, you tell us your budget, preferred location, and requirements e.g. number of bedrooms, views, amenities etc and we can let you know what is available and assist you through the purchasing process. Due to the huge demand at the moment, developments can sell out very quickly after launch. We can assist you in finding the very latest releases, availabilities and pre-launch discounts, due to our relationships with the developers.
12. WHERE CAN IF FIND OUT MORE INFORMATION ON MOROCCO ?
Moroccan Embassy, 49 Queens Gate Gardens,
London SW7 5NE Tel. 020 7581 5001
Moroccan Embassy
Buying off plan is when a property is purchased before it has been built.
You will usually be able to see models, artists' impressions and plans, but not the actual property itself. In this way the property can be purchased at the lowest possible price, with a build time of anywhere up to three years. During this period the property is growing in value.
2. WILL I NEED A SOLICITOR?
It is essential to engage a reputable, experienced local Solicitor. Please contact us for details of a London-based Moroccan Solicitor who can advise on all aspects of property purchase.
3. CAN I GET A MORTGAGE IN MOROCCO?
Yes, mortgages are available for 60% of the property value.
4. WILL I NEED A MOROCCAN BANK ACCOUNT?
Yes. Please contact us if you require assistance.
5. HOW DO I SECURE A PROPERTY?
An initial holding deposit of £2000 is all that is needed to secure a property for 28 days. This gives you time to visit the project or buy 'site unseen'.
6. WILL I BE ABLE TO RENT OUT MY PROPERTY?
Yes. Properties in Morocco should provide lucrative year-round rental potential because of the climate and golf facilities. An added bonus is that owners are income tax-exempt for the first 5 years.
7. WHAT ONGOING COSTS SHOULD I EXPECT?
Running costs are set to be around £120-£160 per month, including utility, maintenance and management charges.
8. WHAT IS THE CAPTIAL GAINS TAX SITUATION?
Capital Gains Tax (TPI) is 20% of the profit, with a minimum of 3% of the sale price. There is a double taxation treaty between the UK and Morocco to ensure that this is not paid in both countries. Properties sold within 8 years or more of ownership are fully exempt from TPI. Properties sold after more than 5 years ownership but less than 10 years are subject to TPI of 10% of any capital gain over 1 million MAD (about £62,000).
9. WHAT IF I WANT TO RE-SELL BEFORE COMPLETION?
You can sell on to a 3rd party (once the initial 20% has been paid) via a transfer contract drawn up by your solicitor.
10. WHAT IS THE LOCAL CURRENCY?
Local currency is the Dirham (MAD).
11. HOW DO I BUY A PROPERTY IN MOROCCO?
Basically, you tell us your budget, preferred location, and requirements e.g. number of bedrooms, views, amenities etc and we can let you know what is available and assist you through the purchasing process. Due to the huge demand at the moment, developments can sell out very quickly after launch. We can assist you in finding the very latest releases, availabilities and pre-launch discounts, due to our relationships with the developers.
12. WHERE CAN IF FIND OUT MORE INFORMATION ON MOROCCO ?
Moroccan Embassy, 49 Queens Gate Gardens,
London SW7 5NE Tel. 020 7581 5001
Moroccan Embassy
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