What are the specificities of real estate in Mauritius?

Is Mauritius a good destination for property investment?

Mauritius is a leading holiday destination but also a formidable hub for trade, transparency and good governance, making it an ideal location for property investment. Real estate in Mauritius is one of the sectors that has held up despite the Covid-19 pandemic. Although France is attractive for its numerous possibilities and its diversified territory, it remains less attractive than abroad for real estate investors. Indeed, due to the restrictive tax and insurance measures applied on French soil and the more difficult resale prospects, most investors choose to invest in a foreign country such as Mauritius.

In addition, the favourable exchange rate makes life there more affordable. There are many opportunities for business. Leisure activities are numerous: golf, hiking, scuba diving are all options.

Why is the real estate market in Mauritius attractive?

Mauritius offers its residents and foreigners a unique model in terms of property investment. Indeed, the tax regime in place is very advantageous and is an exception in the Indian Ocean. Capital gains tax, inheritance tax and wealth tax are non-existent. In addition to these measures, the island has a single tax rate of 15% for its entire territory. Moreover, Mauritius has concluded agreements with France allowing a single taxation on goods purchased on Mauritian territory.

In addition, real estate has been one of the most promising sectors in Mauritius for some years now, with economic growth in full swing. Thus, an increase in value is assured on the side of the buyers and a wide range of choices allows to find the property that best meets the expectations of the buyer. The procedures for acquisition are facilitated for foreigners.

Finally, the real estate market in Mauritius has a wide choice of properties with some areas on the island being more attractive than others. We indicate you the various specificities of the places to invest on Mauritius, as in the northern part of the island which is one of the most popular areas for foreigners.

What are the specificities of real estate investment programmes in Mauritius?

The framework of the law advocates the real estate market of high-end residential properties. This framework provides a secure environment that is reassuring for foreign investors.

Each investment scheme has its own specificities. The Property Development Scheme (combining the former IRS and RES schemes) allows for greater flexibility and focuses on promoting social and economic conditions in a localised manner. The PDS incorporates a more environmentally friendly orientation with a list of green criteria for its properties. It provides a framework for all types of property purchases with a single registration rate of 5%. Other investment schemes are emerging, such as the SCS, which allows you to benefit from an innovative project in a smart city that provides a cross-sectional response to the various problems facing cities today. Thus, the government imposes certain rules to be respected such as the compulsory integration of bicycle paths or pedestrian zones in the construction of residences and other real estate projects in a 'Smart City'. Find here all the other investment schemes and their specificities.

Finally, for an amount starting from $375,000, the investor can choose between a residential unit, a flat, a penthouse, or a property in a 2-storey high standing building and benefit from the permanent resident permit of the island.

Our BARNES Mauritius team, present throughout the island thanks to its five agencies, is at your disposal for any information and to accompany and guide you in your investment project in Mauritius. We will help you choose the best solution and advise you on how to make your purchase. Do not hesitate to contact us.