Marrakesh has been tipped as an investment property hotspot by a market study conducted by WIRE Consulting, an independent company specialized exclusively in international real estate services.
Real estate in Marrakesh is deemed to have reached a record low and is expected to start to turn around and enjoy a rapid recovery with substantial growth.
The Moroccan city is demonstrating expansion in private activities in the property market, coupled with a willingness across all political forces to provide support with infrastructure projects.
Angelo Cinel, CEO of WIRE Consulting commented: ‘Marrakesh is likely to become an important destination for investors who are seeking remunerative opportunities.’
He continued: ‘The growing year-round tourism flow and the cost of living in comparison to main European countries associated with the lower property taxes and a high public spending on infrastructures, will all also weigh heavily on the short-term growth for investors.’
Prices per square foot in Marrakesh suffered a severe correction since the global financial crisis, with prices in the central areas dropping from a high of $168 in 2007 to $102 in 2017 and from $125 to $73 in the first suburbs.
Unlike many European cities, Marrakesh is only just starting to see a turnaround in fortunes for property prices, so now could be a perfect time for overseas property investors to consider the historical city.
Luxury property in Marrakesh is concentrated into three main neighbourhoods, and these are already starting to see a turnaround in property prices.
Classic districts such as Hivernage and Palm Grove already command prices over three times the average at $362 and $312 per square foot respectively but offer elegance and easy accessibility to the main services of the city.
An area that could appeal to overseas property investors is the up and coming district of Guéliz.
Guéliz currently commands prices around $207 per square foot for recent properties sold, but it has seen a huge growth in demand over the last two years as it looks to play catch-up with the classic luxury districts.
Overseas property investors may want to jump on the Guéliz ride as demand increases for both purchasing and rental in the district.
Marrakesh is known for its traditional market (souk) which is the largest in Morocco, offering plenty of bargains for those prepared to haggle. But the best bargains of all may now be in Marrakesh property.