Marrakesh’s new momentum

European buyers – particularly French, Belgian and British – continue to underpin activity, but demand is broadening. The Moroccan diaspora, including US-based professionals, is increasingly active, while Middle Eastern buyers are exploring Marrakesh as a lifestyle-led alternative to more established hubs.

Rental First

A clear “rental-first” pattern has taken hold. Many high-net-worth buyers now spend six to twelve months renting before purchasing, using this period to test neighbourhoods, schooling and day- to-day logistics. This staged approach – hotel, rental, then purchase – is now a defining feature of the prime market and an important feeder for future sales.

2030 Fifa World Cup

Infrastructure investment is reinforcing this momentum. Morocco’s co-hosting of the 2030 FIFA World Cup is accelerating delivery timelines, most notably the planned extension of the high-speed rail line linking Casablanca and Marrakesh, which is expected to cut journey times to around 90 minutes.

The expansion of Marrakesh Menara Airport, set to double capacity to 16 million passengers, will further strengthen international connectivity. The airport currently offers direct flights to 111 destinations including routes to New York and Riyadh.

Hotel-anchored developments continue to set the benchmark for quality and buyer confidence. Brands such as Aman, Mandarin Oriental and Fairmont remain a key draw for international purchasers seeking security, amenities and consistency of product. Outside these prime schemes, the market is more variable, with build quality differing significantly and due diligence essential.

Tourism Surge

Tourism has rebounded strongly, with foreign arrivals rising from 12.9 million in 2019 to 19.8 million in 2025 according to the Moroccan Ministry of Tourism. For Northern European buyers in particular, Marrakesh’s appeal as a winter sun destination continues to support both lifestyle demand and short-term rental performance with gross yields of 7%-10% now achievable.

Market Fundamentals

Price Performance

Prime residential property is typically priced between €5,500 and €7,000 per sq m, with best-in-class villas achieving higher levels in select cases.

While the wider market has stabilised since 2023, prime assets in locations such as Royal Palm, Amelkis, Palmeraie and select Medina properties continue to see upward pressure, with price growth in some cases estimated at 10-15% over the past two years, driven by limited supply and sustained demand for high-quality homes.

Transactions increased by 12% in 2024 across all segments according to the latest official data.

Turnkey stock remains limited, with most listings comprising furnished resale villas.
Development activity has increased since Covid, but uneven delivery standards have created a two-speed market, concentrating demand in established, professionally managed communities where buyers prioritise build quality and long-term asset security.

Buyer Profile

The buyer base has diversified rapidly. Retirees remain active but are no longer dominant. Buyers in their 40s and 50s relocating with families or seeking a second base now account for a larger share of demand. Younger buyers are more open to refurbishment, while time-constrained buyers, retirees and families, favour turnkey homes.

The Moroccan diaspora, Dubai-based buyers and Middle Eastern families remain key drivers, while US demand is strengthening, supported by improved air connectivity including the new Delta service to Atlanta.

Buying & Ownership

Transaction costs for international buyers are typically around 10%, with annual municipal taxes on a prime villa averaging c. €3,000. Capital gains tax is set at 20% of the gain or 3% of the sale price. Morocco offers a relatively favourable tax environment, with no equivalent wealth or inheritance tax and a network of double taxation treaties.

Lifestyle

Lifestyle remains central to demand, underpinned by climate, culture, relative affordability and day-to-day safety. Healthcare provision and international schooling, including American and French curricula, continue to support family relocation, with further English-language capacity expected to expand.

Outlook 2026

Marrakesh is transitioning from a lifestyle-led, opaque market to a more structured, internationally relevant second-home destination, with pricing still below many European peers. A limited pipeline of high-quality stock, rising international demand and improving infrastructure are expected to support further growth, with prime values forecast to rise by around 6% in 2026.