Property Purchase Costs in Morocco

Buying real estate in Morocco involves not only the property price itself, but also several mandatory additional costs. This detailed guide explains all the fees you must anticipate, how to calculate them, and provides concrete examples to help you include these expenses in your total budget.

What are the property purchase costs in Morocco?

Property purchase costs in Morocco generally represent around 7% to 10% of the property price. These costs mainly include registration fees, land registry fees, notary fees, as well as other mandatory administrative charges and taxes related to the transaction.

Registration fees: ~4%
Land registry fees: ~1.5%
Notary fees: ~1% to 1.5%
Additional costs (stamps, certificates, etc.): variable

Property purchase costs by property type

Purchase costs vary slightly depending on the type of property. Below is a clear and detailed overview of the fees to expect for each category.

Purchase costs for an apartment

For a registered residential apartment, purchase costs usually represent around 6.5% to 8% of the purchase price.

Registration fees: 4%
Land registry fees: 1.5%
Notary fees + VAT: 1% to 1.5%

Purchase costs for a villa or house

Fees are similar to those for an apartment but may increase if the land surface is large.

Estimated total fees: 7% to 9%

Purchase costs for land

Buying land is generally more expensive in terms of fees, as it does not benefit from the same tax reductions as residential property.

Registration fees: 5%
Land registry fees: 1.5%
Land surveying fees (if required)

Estimated total: 8% to 10%

Purchase costs for commercial property

Commercial properties are subject to higher taxation.

Registration fees: 5%
Other fees: notary, land registry, possible VAT

Estimated total: 8% to 10%

What are registration fees and how much do they cost?

Registration fees are taxes paid to the state at the time of purchase. For residential property, the rate is generally 4% of the purchase price. These fees are non-negotiable and are paid by the buyer when signing before the notary.

💡 Example: For an apartment priced at 1,000,000 MAD, registration fees amount to 40,000 MAD (1,000,000 x 4%).

What are land registry fees in Morocco?

Land registry fees cover the official registration of the property in the land registry. They represent approximately 1.5% of the purchase price, plus small fixed fees for ownership certificates.

💡 Example: For a property priced at 1,000,000 MAD, land registry fees amount to approximately 15,000 MAD, plus around 200 MAD for official certificates.

How much are notary fees in Morocco?

Notary fees cover the legal services related to the transaction and registration. In Morocco, they usually range between 0.5% and 1.5% of the property price, with a minimum fixed amount according to official tariffs, and are subject to VAT (often 20%).

💡 For a property priced at 1,000,000 MAD:

Notary fees: ~10,000 to 15,000 MAD
VAT on fees (~20%): ~2,000 to 3,000 MAD

Additional costs to consider

In addition to the main fees above, several additional costs may apply:

Stamp duties and administrative certificates (≈ 500 to 2,000 MAD)
Notary or surveyor file fees (if applicable)
Bank fees (in case of a mortgage)
Real estate agency commission (often 2.5% to 3%, sometimes negotiable)

Additional costs when using a mortgage

If you finance your purchase with a mortgage, additional fees must be added:

Bank processing fees: 0.5% to 1%
Mortgage registration fees: 1% to 1.5%
Life and disability insurance

💡 On average, a mortgage adds 2% to 3% to the total acquisition cost.

Property purchase costs for MREs and foreigners

Moroccans Living Abroad (MREs) and foreign buyers pay the same purchase costs as Moroccan residents. However, some additional aspects should be anticipated:

Opening a convertible dirham bank account
Translation and legalization of documents
International banking delays

No specific additional tax applies solely based on nationality.

Common mistakes to avoid when calculating purchase costs

Forgetting mortgage-related fees
Not requesting a detailed cost estimate from the notary
Confusing property price with total acquisition cost
Buying an unregistered property without legal assistance

Example of a detailed property purchase cost calculation

Let's take the example of a property purchased for 1,000,000 MAD (≈ €90,000):

Cost	Percentage	Approximate amount
Registration fees	4%	40,000 MAD
Land registry fees	1.5%	15,000 MAD
Notary fees + VAT	1%–1.5%	≈ 12,000 MAD
Additional fees and stamps	Fixed	≈ 2,000 MAD

Estimated total fees: approximately 69,000–75,000 MAD, representing about 6.9% to 7.5% of the property price.

How to legally reduce property purchase costs

Benefit from reduced rates for social housing (3% instead of 4%) when eligible
Negotiate the real estate agency commission when paid by the buyer
Choose an experienced notary to optimize procedures (without reducing taxes)

FAQ – Property Purchase Costs

1. Who pays property purchase costs in Morocco?

In most cases, the buyer pays all registration, notary, and land registry fees, although agency commissions may sometimes be shared by agreement.

2. Are notary fees negotiable?

Taxes themselves are not negotiable, as they are set by law, but certain service-related fees may vary depending on the notary.

3. Are there reduced registration fee rates?

Yes, for certain categories of social or low-cost housing, registration fees may be reduced (≈3%).

4. Should I estimate fees before buying?

Absolutely. Requesting a detailed fee estimate from your notary before signing the preliminary agreement helps avoid surprises.

5. Are purchase costs included in a mortgage?

Generally not. They must be paid separately.

6. Are fees the same in all Moroccan cities?

Yes, taxes are national. Only certain commissions may vary.