WHY YOU SHOULD INVEST IN MAURITIUS
1st country in Africa for good governance based on safety and the rule of law (Mo Ibrahim Foundation, 2021)
Ranked 1st in Africa and 24th worldwide on the Global Peace Index (2019). Mauritius is one of the few countries free from conflict and war threats
Ranked 13th globally in the World Bank’s Ease of Doing Business 2022
Mauritius has a strong legal framework, with well-established land registry and independent judiciary providing a level of security and stability for property owners and investors. Moreover, you can easily obtain a Residence Permit upon purchasing a property as from $375,000 in approved schemes for you and your dependents. The island also has Double Taxation Agreements with 45 countries allowing you to be taxed in Mauritius, provided that you should stay on the island for at least 183 days per year. Mauritius sits as a neutral jurisdiction, having trade and relationships with Europe, America, Africa, Russia and China.
- Tax holidays, exemptions on dividends and no capital gains tax on the sale of property
- Free repatriation of profits, dividends and capital
- 15% tax rate for companies as well as on revenue
- Customs duties and VAT exemption on any goods imported through the Freeport
- Strong tourism industry providing a steady stream of rental income for investors
Things To Consider When Buying Property In Mauritius
Purchasing property in Mauritius as a non-citizen comes with certain restrictions and considerations that buyers should be aware of. Here are some things to keep in mind when buying property in Mauritius.
Location
Mauritius offers a diverse range of locations, each with its unique charm and character. Buyers should consider their needs and preferences when choosing a location. For example, if beachfront living is a priority, then properties in areas such as Grand Baie, Flic en Flac, and Tamarin may be suitable. Alternatively, if a quieter and more rural lifestyle is preferred, then areas such as the south of the island, including Bel Ombre and Chemin Grenier may be more suitable.
Legal Requirements
As a non-citizen, it’s important to be aware of the legal requirements when purchasing property in Mauritius. Non-citizens are restricted to purchasing property in designated areas under the Integrated Resort Schemes (IRS), Residential Estate Scheme (RES), Property Development Scheme (PDS), and Smart City Scheme (SCS). Buyers should also ensure that they have the necessary permits and approvals before proceeding with the transaction.
Real Estate Agents
It is crucial to work with reputable professionals when buying property in Mauritius, including real estate agents, lawyers and accountants, who have experience in the local market and can provide guidance on the legal and financial aspects of the transaction. Buyers should do their research and choose a licensed agent. However, as foreigners, it can be stressful and time-consuming to find and choose reliable and experienced real estate agents.
Here, at TBI, we have partnered with trusted agents and developers with proven track records. With our understanding of the local property market, we can ensure that you find the right property that meets your needs and budget. To book a call with us, leave a message and your contact details here.
Financing
Financing options for non-citizens can be limited in Mauritius, and buyers should be aware of the associated costs and fees. It’s important to consider the costs of the property, legal fees, taxes, and other expenses when determining a budget. Buyers should also explore their financing options, including mortgages and loans, and choose the option that best suits their needs and circumstances. We can introduce you to banks who will finance up to 70% of your investment in Mauritian properties.
Tax Implications
Mauritius offers a favorable tax regime, with no inheritance tax, no capital gains tax, and no property tax. However, buyers should be aware of the tax implications when purchasing property in Mauritius, particularly if they plan to rent out the property. It’s important to seek advice from a qualified accountant or tax professional to understand the tax implications of owning property in Mauritius.
Culture
Mauritius has a unique blend of African, Asian, and European influences, creating a rich and diverse culture. Buyers should respect and understand these cultural differences when purchasing property in the country. Understanding the local customs and traditions can help buyers integrate into the local community and make the most of their investment.
In conclusion, buying property in Mauritius offers an opportunity to invest in a slice of paradise. However, buyers should be aware of the legal requirements, financing options, tax implications, and cultural considerations when making their purchase. Working with reputable professionals and doing thorough research can help buyers make informed decisions and ensure a smooth and successful transaction.
HOW WE CAN HELP
Philip Tsalikis and Christian Bjärnram, the founding partners of TBI are British lawyers with over 10 years of experience. At TBI Business Advisors, our expertise in the local market, combined with our extensive network of industry professionals, allows us to provide you with a comprehensive range of services, including property investment and property management. Whether you are looking to invest in commercial or residential properties, we have the knowledge and resources to help you make informed decisions that maximize your returns. Our team of dedicated professionals is here to help you navigate the complex world of real estate and investments, providing you with expert guidance, innovative solutions, and personalized attention every step of the way.