An Ultimate Guide to Investing In Mauritius Real Estate

beautiful house with sea view at Grand Baie

The real estate market is hitting some brick walls as of late. With many crucial regions becoming unstable and inflation rates at an all-time high, it can be worrying about investing in any real estate of late. However, there is a tropical paradise that can offer you just what you’re looking for and more should you want to keep things long-term.

Mauritius, an island nation in the Indian Ocean, has managed to stave off the worst real estate crisis despite being a crucial logistics hub. So, what does the Mauritius real estate market have to offer? Read through this detailed guide and find out.

A Brief Overview of the Mauritian Real Estate Market

Mauritius has a diverse demographic. A large portion of the financial influx comes from South Africa and France. Moreover, as the country opened up after the pandemic, several high-end projects resumed construction, and numerous others saw renovation. As a result, the government has nearly 60% of the total developed area dedicated to tourism.

Therefore, Mauritius offers a unique proposition for investors looking for great returns from niche villas and condos. Unlike New York, where most high-rise apartments remain empty, you can expect tenants or permanent residents in any property in Mauritius, especially those looking to travel after a stressful time.

There is a broad range of prices with properties in Mauritius , ranging from $300,000 to $5.5 million, depending on the property you want. For example, you can choose a beachside villa with a driveway for an ATV or an inland townhouse next to lush fields. There are also lucrative tax benefits that you’ll get to know later in this guide.

Some of the Highest Appreciating and Best Neighbourhoods in Mauritius

You can’t go wrong with most properties in Mauritius. Still, there are some neighbourhoods with high appreciation that you need to consider. A few of them include the following.

● Grand Baie

● Poste de Flacq

● Rose Belle

● Pointe aux Piments

● Tombeau Bay

Top 8 Reasons to Invest in the Mauritius Real Estate Market

While the price range and the weather are enough to maintain interest, several other factors might entice you to invest in the real estate sector in Mauritius. A few notable ones include:

A Booming Tourism Industry

Tourism is a significant contributor to Mauritius’ GDP. People from developed countries may go to Cannes or Portugal, but many from countries like India and Jordan book a flight ticket to Mauritius. The country suffered plenty due to pandemic-induced travel restrictions, but today, an average of 4,000 tourists are arriving daily. It not only gives you opportunities with rentals but also clears a path for promoting various brands that can sponsor you through that property.

Fair Prices for Premium Properties

Niche properties like condos and townhouses in Mauritius are typically less expensive than those in Australia or Europe. Also, many of them are recently undergoing restoration, which can help you find a premium villa at a massive discount. There are a few excellent options in and around Rose Belle that you can get for less than $800,000.

Close Ties to France

Mauritius is a former colony occupied by the Netherlands, France, and Great Britain before the country gained independence in 1968. Thus, it has close ties to several European nations, particularly France. In addition, the legal structure closely follows the French government, and you don’t need a separate visa to travel to France. So, if you possess real estate in Mauritius, you can travel across various Schengen countries like France, Belgium, Germany, and Portugal for up to 90 days annually.

Incentives for Eco-Friendly Measures

The Mauritian government focuses on preserving the natural resources that let it thrive in its tourism industry. As a result, it has numerous laws in place to reward property owners if they decide to invest in eco-friendly measures. That is why you’ll find many homes with solar water heaters, jacuzzis run by tidal energy, and rental EVs at attractive discounts.

Beautiful White Sandy Beaches

Exotic tropical beaches of splendid Mauritius island

Mauritius has a beautiful coastline that offers spectacular views and various water activities throughout the year. The sunsets are breath-taking, which most shore-set residents want after a long workday. Few people are even interested in taking a boat off the jetty and exploring flora and fauna on nearby islands.

Calm and Peaceful Locale

Mauritius makes the perfect choice if you plan to retire somewhere safe and far from the city rush life. It has never seen an all-out conflict in decades and is often a neutral location in the global political landscape. In addition, the locals are very tolerant of outsiders, considering that most descend from Christian and Hindu immigrants from the late 1980s and early 1990s.

Numerous Tax Benefits

Mauritius has a simple and lenient tax scheme for people looking to purchase real estate. There is a flat 5% tax on the purchase of property and a 15% standard tax on income. And that’s it—no tax on capital gains or housing. You can pass on any property as an inheritance without paying a cent to the government. Any sale or transfer of property also levies a 5% taxation cap.

Strategic Supply Lines

If you know anything about logistics, then you know that Mauritius is an advantageous location. The seaport region in Port Louis is one of the most significant economic zones. That is why property investments in storage, like warehouses, also promise substantial returns.

Intelligent Tips for Mauritius Real Estate Investors

Now that you know what real estate Mauritius is all about, let’s take a few valuable tips you can utilise to make the most of your investments.

Determine Your Target Demographic

You should thoroughly study the people you’re going to rent or sell your property to. There is a wide margin between young adults who want necessities on a budget and retirees looking to relax in luxury finally.

Look Up the Latest Development Projects Before Purchase

As mentioned above, various projects around the country are either resuming or undergoing renovation. It can help you choose a less expensive property today and provide you with excellent returns in the future. Such real estate is often not found online, so you can book a ticket and explore the condition on the ground in person.

Keep an Eye on the French Real Estate Schemes

Mauritius has several real estate schemes similar to what you find with French coastal properties. Thus, the trends in France can help you determine whether it will happen in Mauritius over the next few years. It is a great idea to subscribe to French real estate newsletters to understand their upcoming Mauritian counterparts.

Summary

Investing in the real estate in Mauritius involves going off the beaten path. Now that the country is reviving its tourism industry, it is the gold rush for the prospectors who know how to look for gold in the best manner. If you wish to follow up on this guide, you take that first crucial step. Visit the official websites real estate websites that will grant you every asset you may need.

Beginner’s guide to investing in real estate

Real estate agent with house key

Real estate investing is not merely a game for the rich but can make you rich if done right. It is regarded as one of the safest investments offering excellent returns for creating a steady stream of passive income and securing your financial life.

The options are unlimited when it comes to investing in real estate, where you sit wondering whether to buy the house you live in, get a rental property, or go big flipping house.

Either you delve into financial literature with a highlighter and become overwhelmed by each author’s diverse points of view, or stay with us for an Ultimate Beginner’s Guide to Investing in Real Estate.

5 Best Ways to get started with real estate investing

Raw Land

Raw land is a vacant piece of land intended to be used in the future to build houses, offices, and public utilities. Investing in raw land may not pay off immediately like rental properties, but it is a secure option for long-term profit. Land value is increasing since people will never stop needing a place to live and work.

You may not want to start your investing career dealing with tenant problems, maintenance issues, and unexpected breakdowns. Raw land does not require much maintenance and comes with minimum competition. Also, no one can damage or steal your property, so you can ease off while your property value increases daily.

Buying raw land always keeps you in charge of calling your shots and holding the property until your anticipated quote is called. Or you can choose to build your new home, office, or retail store.

Single-family houses

The single-family house is not just a great investment option in the real estate world but an effective way to create positive cash flow. Wall Street has invested head over heels in buying single-family houses since people have moved from apartments to single-family houses more frequently since 2021.

Newbies can invest in a single-family house to quickly find tenants at a reasonable rate with low maintenance requirements compared to a multifamily home.

Apartments

One of the most prominent investors and businessmen, Warren Buffet, said:” Never test the depth of the river with both feet.” If real estate is a financial ocean and you are a beginner in swimming, apartments are like an inflatable vest to make you float seamlessly.

Experts argue that investing in multiple apartments is an excellent way to diversify the investment rather than pooling it all in one multifamily house. It gives owners more control over demanding the rent and reinvesting the monthly income into buying more apartments to establish an impressive cash stream.

Real Estate Investment Trusts (REIT)

Property value
Property value

REIT is a hassle-free option for diversifying your investment by becoming part of the pool to buy large real estates properties like large apartment buildings, shopping plazas, and multifamily houses. It works like stocks but with lesser risk and a reliable uphill graph of monthly profits.

If you pool in with a group to buy REITs for a building and its value increases the next day, you can go and sell your REITs to earn a profit. No need to have sleepless nights worrying about protecting your physical property and regretting your inclusion in real estate.

There is no need to have millions in the bank to invest in real estate. REITs are available for as low as $1000, with excellent flexibility, transparency, and return on investment.

Commercial Investments

Commercial investments refer to buying office buildings, warehouses, business outlets, and industrial property. It is a perfect option if you have money in your pocket and time in hand because commercial investment is a bold option that requires capital and regular follow-ups.

Commercial properties will provide excellent capital appreciation value, higher leverage, and rapid equity growth than other investment options.

They may rapidly become a nuisance, so be prepared to take charge, and then nothing can stop you from dominating the real estate market.

3 Effective Ways for Beginners to Invest in Real Estate

House Flipping

House flipping is a fun way to test renovation skills to return impressive profits quickly. Find a house in dilapidated condition, invest your time, effort, and money to revamp the look to meet the contemporary architecture and seamless functionality, and then flip a profit by reselling it at a profit margin.

Short-term Rentals

Short-time rentals include a property where tenants move in and out frequently, such as Airbnb, VRBO, and vacation resorts. The rent for these properties is much more than long-term rentals, generating a more significant income at the end of the month. Plus, owners decide the maximum number of days with a chance to get more rent each time. However, it needs regular maintenance and is less stable than regular rentals.

Buy and Hold

If you don’t have time or are too lazy to repair the house and sell it, let time do the valuation for you. Buy and hold is an old-school investment technique where buyers purchase a property and wait for several years to sell the property at a boosted price owing to inflation, development projects, and an increase in demand.

Conclusion

Most financial experts consider investing in Real Estate a better option than going for stocks, bonds, and mutual funds. The Beginner’s Guide to Investing in Real Estate presented the 5 best ways to start your career in real estate along with three effective investment techniques.

Choose your investment option according to the time and effort you can devote to this subject, and success will follow you at every step.

Mauritius Guide 2021

Often referred to as the star of the Indian Ocean, the island of Mauritius lies around 2000 Kms off the South East coast of Africa. The volcanic island has rocky peaks, lakes, and sugar cane plantation. The most attractive feature for tourists is the 320 Kms coastline with white sandy beaches and the gleaming blue seas. The island does only 67 km from north to south and from the East to the West, 45 Kms.

Port Louis is the main city and capital of Mauritius. The towns to mention are Vacoas-Phoenix, Beau Bassin- Rose-Hill, Curepipe and Quatre Bornes. The villages nowadays have many facilities and equals the quality of living compared to the towns. There are around 134 villages in Mauritius.

Mauritius is a destination for tourists all year round. The weather is consistently warm and sunny climate. The Summer period is from November to April while the winter runs from May to October. The temperature varies from 22 deg C in winter up to 35 deg C in Summer.

English is the official language, but French and Creole are commonly spoken. The Mauritian people come of mixed Indian, Chinese, African and French and creates a multi-cultural society. These multi-cultural influences can be seen all over the island in culture, history, architecture, and food.