How can foreigners buy under the new law?
Mauritius, a paradise island in the Indian Ocean, has long been an attractive choice for foreign investors seeking to diversify their real estate portfolios. With its picturesque landscapes, tropical climate and dynamic economy, Mauritius offers an ideal setting for real estate investment.
After a long wait, the Mauritian government has announced major changes to its real estate policy. These changes open up new investment opportunities for non-citizen residents, paving the way for an exciting chapter in the island’s real estate sector.
Changes to the Foreign Ownership Policy
These strategic changes are designed to boost the real estate sector and attract more foreign investors to the paradise island of Mauritius. From now on, foreign residents can acquire real estate without being restricted to the traditional designated foreigner schemes. This opening marks a significant step in Mauritius’ commitment to economic development and the diversification of its sources of revenue. Foreign investors are now in a position to take full advantage of the investment opportunities offered by Mauritius’ expanding real estate market.
The island, already renowned for its white sandy beaches and tropical environment, now offers an even more favorable environment for international investors. As the financial hub of the Indian Ocean region, Mauritius offers solid infrastructure, a skilled workforce and attractive tax incentives for foreign investors.
In addition, the Mauritian government has introduced measures to simplify administrative processes and facilitate real estate transactions for international investors. These measures include reforms to the land tenure system, simplified residence permit procedures and greater transparency in real estate transactions. These initiatives are aimed at boosting foreign investors’ confidence in the Mauritian real estate market and further stimulating investment flows to the island.
In terms of profitability, Mauritius’ real estate market offers significant growth potential. With growing demand for residential, commercial and tourism properties, foreign investors have the opportunity to achieve attractive returns on their investments. What’s more, the island enjoys political and economic stability, making it a safe and attractive choice for investors looking to diversify their portfolios.
Several of our cases are already underway under this new regime.
Property eligibility for non-citizen residents
Under the new regulations, non-citizen residents meeting specific criteria can now acquire residential property in Mauritius for their own personal use. These criteria include holders of Permanent Residence Permits, Occupation Permits as investors, professionals or self-employed, as well as holders of Family Occupation Permits or Residence Permits through the purchase of property under designated schemes.
These new provisions offer unprecedented flexibility to foreign investors wishing to set up in Mauritius. Whether for professional, personal or family reasons, eligible non-citizens can now consider acquiring residential property in this tropical paradise. This opening up of the real estate market means that non-citizen residents can fully enjoy the advantages of Mauritian life, including its exceptional living environment, political stability and modern infrastructure.
In addition, these new regulations reinforce Mauritius’ reputation as an attractive investment destination. By offering foreign investors more accessible and transparent property acquisition opportunities, the Mauritian government is demonstrating its commitment to promoting a business and investment-friendly environment. This pro-active approach is helping to boost international investors’ confidence in the Mauritian real estate market, further stimulating investment flows to the island.
Conditions and restrictions
Financial implications and additional taxes
As far as the financial aspects are concerned, foreign investors must take into account certain requirements to be eligible to purchase property in Mauritius. Under current regulations, residential properties must have a minimum value of at least 500,000 USD or the equivalent in another hard currency to be considered eligible for acquisition by non-citizens. This requirement is designed to ensure that foreign investment makes a significant contribution to the development of the Mauritian real estate market and the national economy.
What’s more, foreign buyers will be subject to additional acquisition costs. In addition to the standard 5% registration fee, foreign investors will have to pay an additional 10% acquisition tax. These additional fees are intended to support government initiatives to promote sustainable development and preserve the island’s natural resources.
It is essential for foreign investors to take these financial aspects into account when assessing their ability to invest in the Mauritian real estate market. These additional costs can influence the overall profitability of the investment, and must be taken into account in overall financial planning.
Real Estate Investment Opportunities in Mauritius
Despite the conditions and restrictions, Mauritius continues to offer attractive real estate investment potential for foreign investors. With its booming real estate market, attractive tax benefits and business-friendly environment, the island remains a top choice for those looking to diversify their real estate portfolio in an exotic and promising destination.
Indeed, the real estate market in Mauritius is booming, underpinned by growing demand for residential, commercial and tourist properties. Foreign investors have the opportunity to achieve attractive returns on their investments, thanks to the high demand for long-term rentals and vacation rentals in this popular destination.
What’s more, the tax advantages offered by Mauritius are among the most attractive in the region. With competitive tax rates, tax exemptions on rental income and tax incentives for investment in certain sectors, Mauritius offers a solid and transparent tax and regulatory environment, which inspires confidence in international investors. Investment processes are simplified, and investors benefit from easy access to high-quality legal, financial and real estate services.
