Rental Yield in Morocco

Rental yield in Morocco measures the return generated by a rental property compared to its purchase price. It is influenced by property prices, rental income, taxes and running costs. Rental profitability varies significantly depending on the city, the type of property and the rental strategy (long-term or short-term rental). This guide provides real, data-driven insights (price per sqm, average rents, gross and net rental yield) for Casablanca, Rabat, Marrakech, Tangier and Agadir.

What is rental yield?

Gross rental yield represents the ratio between the annual rent and the purchase price of a property.

Formula:
Gross rental yield = (Annual rent / Purchase price) × 100

This calculation does not include expenses, fees and taxes, which are deducted to obtain net rental yield.

Average rental yield by city

City Average price per sqm (MAD) Average annual rent (estimate) Average gross yield
Casablanca 13,000–18,000 MAD 60,000–75,000 MAD 7%
Rabat 13,000–17,000 MAD 55,000–70,000 MAD 6.7%
Marrakech 10,000–13,000 MAD 56,000–72,000 MAD 7.1%
Tangier 9,000–12,000 MAD 60,000–76,000 MAD 8%
Agadir 8,000–10,000 MAD 45,000–60,000 MAD 4.8%

Estimates based on average prices per sqm and rents for 2025–2026. Yields shown are gross yields and do not include property tax, management fees, insurance or vacancy periods. Net rental yield is usually 1.5% to 2% lower.

Detailed city-by-city analysis

Casablanca — Economic capital

Average price per sqm: 13,000–18,000 MAD.
Estimated rents: Studio ~18,000–24,000 MAD/year, 1-bedroom ~48,000–60,000 MAD/year, 2-bedroom ~72,000–90,000 MAD/year.
Average gross rental yield: approx. 7%.

Although property prices are high, Casablanca benefits from strong rental demand due to its economic role and dense urban activity.

Rabat — Administrative capital

Average price per sqm: 13,000–17,000 MAD.
Estimated rents: Studio ~16,000–22,000 MAD/year, 2-bedroom ~66,000–84,000 MAD/year.
Average gross rental yield: approx. 6.7%.

Rabat enjoys stable rental demand driven by civil servants, expatriates and young families.

Marrakech — Tourism & investment hub

Average price per sqm: 10,000–13,000 MAD.
Estimated rents: Riads ~64,000–96,000 MAD/year, city-center apartments ~60,000–78,000 MAD/year.
Average gross rental yield: approx. 7.1%.

The city attracts tourists and expatriates, supporting both long-term and short-term rental markets.

Tangier — High rental yield city

Average price per sqm: 9,000–12,000 MAD.
Estimated rents: 1-bedroom ~58,000–72,000 MAD/year, 2-bedroom ~72,000–90,000 MAD/year.
Average gross rental yield: approx. 8%.

Tangier stands out for its relatively low purchase prices and growing rental demand.

Agadir — Tourism with lower yield

Average price per sqm: 8,000–10,000 MAD.
Estimated rents: Studio / 2-bedroom ~45,000–60,000 MAD/year.
Average gross rental yield: approx. 4.8%.

Agadir offers lower gross rental yields but can be attractive for seasonal or short-term rental strategies.

Gross vs net rental yield

Gross yield Estimated net yield Reality after expenses
7% ≈ 5%–5.5% After taxes, management and insurance
8% ≈ 6%–6.5% In high-demand areas
4.8% ≈ 3%–3.5% Reduced by operating costs

Rental yield scenarios

Long-term rental calculations

City Purchase price (MAD) Annual rent (MAD) Gross yield (%) Annual costs (MAD) Net yield (%)
Casablanca 1,500,000 72,000 4.8 15,000 3.8
Tangier 1,080,000 68,000 6.3 12,000 5.2
Marrakech 1,200,000 66,000 5.5 10,000 4.7

Short-term rental calculations (Airbnb / tourism)

City Estimated annual short-term rent (MAD) Gross yield (%) Annual costs (MAD) Net yield (%)
Casablanca 90,000 6.0 20,000 4.9
Tangier 82,000 7.6 15,000 6.4
Marrakech 85,000 7.1 12,000 5.9

Short-term vs long-term rental

Long-term rental

Stable income, lower management effort and reduced vacancy risk.

Short-term rental (Airbnb, tourism)

Potentially higher income (+2–3%), but requires more management and compliance with local regulations.

In tourist cities such as Marrakech, Agadir and Tangier, short-term rentals can significantly increase total return.

Taxes and costs to anticipate

Main costs impacting rental yield include: annual property tax, home insurance, property management fees and condominium charges.

These expenses usually reduce net rental yield by around 1.5% to 2%.

FAQ

How to calculate rental yield in Morocco?

Gross rental yield is calculated by dividing the annual rent by the purchase price and multiplying by 100. Net yield includes all operating costs, taxes and management fees.

What are the average rental yields in Morocco?

In 2026, average gross yields range from around 4.8% (Agadir) to 8% (Tangier), with Casablanca and Marrakech around 7%.

Where to invest in Morocco for better rental yield?

Tangier, Marrakech and selected areas of Casablanca offer the best gross rental yields in 2026.

Should I choose long-term or short-term rental?

Short-term rental often increases income but requires more management, while long-term rental offers stability.

Which costs reduce rental yield?

Property tax, condominium fees, insurance, property management and vacancy periods reduce net rental yield.