FAQ

The conditions for obtaining a loan from a Moroccan bank for a non-resident foreigner:- Under 65 years old

– Provide at least 30% of the sale price

– Sufficient income and debt maximum up to 50% taking into account all other loans

– Acquire a property with complete title deeds and only for residential use (no or very little octroies loans for business like guest houses riads)

– Borrow from 7 to 10 years maximum

The notary must preserve both the seller’s and buyer’s rights. He is an impartial agent who verifies the contracts morality and legal security before authenticating them.

Before the signature of a sale agreement, the notary will verify the juridical status of the property (“melkia”, “réquisition d’immatriculation” or “titre foncier”). He also will confirm that the property is without any security-mortgage.

The notary must draw up the final deed and register the transaction. He takes care of the land advertising.

For non Morrocan buyers, he can make the registration (register the purchase) with the foreign exchange office. We encourage you to make this registration to get the whole guarantee of the transfer back if you decide to sell your property.

He can also help the seller to get the fiscal quietus i.e council tax and TPI (tax on the profit).

The acts are written in French or in Arabic.

The total fees are 7,2% of the purchase amount for a titled property (titre foncier) or in the way to be completly titled (“requisition d’immatriculation”).

If you are buying a property with a “Melkia”, you must know that the notary cannot write a sale or act agreement. But he can start the procedure to get a requisition number. In that case, you will sign a private “sous-seing” with the seller. Once the property has the number, the notary will draw up selling act and will register it. The fees will rise up 13% or 19% according to the realization or not of an “istimrar” act. Don’t be worried about the whole procedure, the real estate agency Côté Médina will help you and explain everything to you.

A convertible account is a bank account especially reserved for foreign non-residents. You can provision it with foreign currency and withdraw dirhams or foreign currency (that is why it is called “convertible”). You can also ask for a cheque book and a credit card.

It is the type of account you would need to open if you decide to buy a Moroccan property.

Every payment you make (purchases, charges, renovation work, authorized capital …) must come from your convertible account (cheque or wire). In that way, when you sell your property, you will get the transfer back guarantee from the foreign exchange bureau.

The entire amount of your sale, once you pay the benefit real estate tax and you obtain the different quietus, will be credited to your convertible account and can be repatriated. You could also use it for another investment which will have the same transfer back guarantees.

To rent a property as a current accomodation for a contract period of one year or more, the real estate agency’s fee is quivalent to one month’s rent.

If you want to rent a property as a business, you will pay 10% of the total rent for the whole period of the contract.

The real estate agency obligations are to help you to find the property, to make the whole procedures required to realize the final contract with the perfect professional and juridical supports (lawyer and accountant offices).

The real estate agency can make an inventory of the furniture and check the property’s condition for you. But it is advised to contact a real estate expert.

The real estate agency must be paid at the keys hand-over.

If you want to let your property for at list a one year contract as a current accommodation, you will pay the equivalent of one month’s rent to the real estate agency. If the contract lasts less than a year, it will be 10% of the total amount.

If you want to rent your property as a business, you will pay 10% of the total rent for the whole period of the contract.

The real estate agency can make an inventory of the furniture and check the property’s condition for you. But it is advised to contact a real estate expert.

The real estate must be paid at the keys hand-over.

When you sell a property, the real estate agency working with you receives 3% (2,5% + 20% VAT) of the purchase price. These are legal fees; they are paid at the completion of the real estate agent’s mission. To be more precise, i.e the day of signing of the final selling act.

Except where particular negotiation is required, the real estate agent receives 6% (5% + 20% VAT)of the purchase price. Both buyer and seller pay 3% each (2,5 % + 20% VAT)of the purchase price. The seller fees are generally included in the advertised price. The agency fees are paid at the completion of the real estate agent’s mission i.e when you sign the final selling contract.

The “habitable permit” is required in the following cases:

– New construction

– Renovation or construction after 1992
If you sell or if you acquire an old house in the medina (whose existence is prior to 1992) and it has not been done heavy work in it, the “habitable permit” is not an obligation.The “habitable permit” is required in the following cases:

– New construction

– Renovation after 1992

And about GUEST HOUSES?

Until June 2012, the habitable permit used to be an obligation in order to obtain an authorisation and a ranking as a guest house. (Permits specified “guest house”). This regulation was applied between June 2008 and June 2012 to be abandoned. Today it is no longer part of the documentation.

Only the classification commission decides guesthouses rankings.

He is an intermediary, generally specialized in the area where he is located. He can only show you properties however generally he won’t be able to help you further. If you decide to deal with a “Samsar” you will need to manage the process yourself (i.e notary, accountant).

Not necessarily!

If you want to spend a great deal of time and energy, you can deal with a “samsar”. However you should look for a good notary and be very careful to detect the high-risk situations (maybe you enjoy the taste of danger…). It is not impossible, but it’s better to contact a real estate agent who will help you with the whole procedure of selecting good properties, taking care of the visits and particularly explaining to you the specifics of the buying process for a foreigner in Morocco.

[ + ] Guest House riads – First category