Real Estate in Mauritius

TBI Mauritius is an expert advisor on real estate investment on the island. With over 10 years of industry experience, our British lawyer-led team guides foreigners through every step of buying property in Mauritius, from choosing the right scheme to securing your residence permit.

Key facts: Mauritius real estate for foreigners

• Foreigners and non-citizens can buy property in Mauritius, with or without a residence permit.

• Buy within an approved scheme: a Property Development Scheme (PDS), a Smart City, or a Ground plus 2 (G+2) apartment.

• Spending at least USD 375,000 on a qualifying property gives you and your family permanent residence for as long as you own it.

• Apartments in a G+2 development start from MUR 6 million (residence is not included at this level).

• No capital gains tax, no inheritance tax and no restriction on the repatriation of funds.

• Authorisation from the Economic Development Board (EDB) is required where applicable, and foreign buyers are well protected by Mauritian law.

Why Invest in Mauritius Real Estate

Investing in Mauritius real estate has become increasingly attractive as the island is both a luxury tourist destination and a global offshore centre. The property sector has enjoyed unprecedented growth in recent years, with a broad range of properties available to buy, from apartments at around 6 million rupees to luxury villas worth several million euros.

This growth has been supported by successive governments backing foreign investors who invest in Mauritius real estate. Mauritius offers beautiful scenery, welcoming people, a limited land mass, reliable registration of land, and political and economic stability. This makes it an excellent place for property investment, especially if you are seeking permanent residence at the same time.

Mauritius is arguably the only place in Africa offering this combination of safety, a warm climate, political and economic stability, beautiful landscapes and a favourable tax framework. Thousands of French buyers and South Africans arrive each year, and demand from foreigners for property, whether to rent or buy, is strong and likely to remain so. Land will always be at a premium on such a small island, and foreign investors are well protected by Mauritian law.

For the best rental yields, commercial real estate can be very attractive. For capital appreciation, almost all Mauritian property has historically been a sound investment, helped by the absence of capital gains tax. Land is limited, and if the island follows a similar trajectory to Singapore, investment in Mauritian real estate looks like a shrewd long-term play. Generally, the earlier you buy into a project the more profitable the investment, though buying in too early carries greater risk.

Can Foreigners Buy Property in Mauritius?

Yes. Foreigners and non-citizens can buy property in Mauritius and invest in Mauritius real estate, with or without a residence permit. A foreigner can buy either as an individual or through a company, a trust, a Foundation, a limited partnership (LP) or a Société. Other than in the approved schemes, land cannot be purchased in Mauritius without special permission, and non-citizens are not permitted to engage in property speculation.

Buyers come from all over the world. South Africans, French, British, American, Indian, Australian and other foreign nationals regularly invest in Mauritius real estate. Nationality is usually not the deciding factor; what matters is that you buy within an approved scheme and obtain authorisation from the Economic Development Board (EDB) where required. For the current rules, see our guide to buying a house for sale in Mauritius.

Mauritius Property Schemes: PDS, IRS, RES, Ground Plus 2 and Smart Cities

Foreigners looking to invest in Mauritius real estate need authorisation from the EDB. Changes in legislation have given foreigners more options over the years. The range begins with apartments from MUR 6 million (or less in a Smart City), through to luxury villas in PDS schemes costing several million dollars.

PDS, IRS and RES

The Property Development Scheme (PDS) is the main current EDB-approved framework for foreigners to buy property in Mauritius. The PDS has replaced the Integrated Resort Scheme (IRS) and the Real Estate Scheme (RES), although these remain in existing developments. It is carefully structured and regulated to protect buyers as much as possible, with rules on the size of each project and the amount of communal land for owners to enjoy, among many other requirements placed on the PDS company delivering each development.

1. A residence permit under the Immigration Act is granted to the non-citizen on acquisition of a residential property of not less than USD 375,000, or its equivalent in any freely convertible foreign or Mauritian currency.

2. The residence permit remains in force for as long as the non-citizen holds the residential property.

3. If you buy through a company or other entity, you can nominate who will receive the benefit of the residency.

4. The residence permit that comes with purchasing a property over USD 375,000 allows the investor to work in Mauritius without acquiring a separate occupation permit.

Ground Plus 2 (G+2)

As of December 2016, the Non-Citizens (Property Restrictions) Act was amended to relax the rules on foreigners buying apartments. Alongside the residency schemes, Mauritius allows foreigners to buy apartments in buildings that are at least three floors high, meaning Ground plus two extra floors (G+2). The buyer needs approval from the EDB, and the purchase price must be at least MUR 6 million. Companies, trusts, Foundations and sociétés can buy one or more of these apartments and rent them out. Spending above USD 375,000 gives the investor the right to permanent residence, a change from the previous position when only a long-stay visa was available.

Smart Cities

Smart Cities are privately owned, government-licensed projects in which environmentally friendly living and leisure spaces are created. They are the size of a village or small town, technologically innovative and designed so that residents do not need to commute outside their borders. Picture cycle paths, parks, gyms, community shops, offices and residences sitting harmoniously side by side. If you spend above USD 375,000, you obtain residence in the same way as with a PDS.

Foreigners can buy land in a Smart City. Non-citizens have never been able to buy land in Mauritius without special permission. Holders of a Residence Permit, Occupation Permit or Permanent Residence Permit have, under specific provisions, been able to acquire one plot of serviced land not exceeding 2,100 m² for residential purposes within a Smart City, with the building to be completed within five years. As these provisions are reviewed periodically, confirm the current eligibility and any deadline with the EDB before proceeding, and note that you will already need your permit before buying the land.

How to Buy Property in Mauritius as a Foreigner

Buying property in Mauritius as a foreigner follows a clear legal process:

1. Choose an eligible property in an approved scheme, such as a PDS development, a Smart City or a Ground plus 2 (G+2) apartment.

2. Obtain the necessary authorisation from the Economic Development Board (EDB).

3. Decide how to hold the property, as an individual or through a company, trust or Foundation, taking tax and succession planning into account.

4. If buying off-plan, sign a reservation agreement and then a VEFA deed before a notary, with staged payments tied to construction milestones.

5. Arrange funding, including home loans for foreigners in Mauritius where needed.

6. Complete the purchase before a notary and, where you spend at least USD 375,000, apply for your residence permit.

Buying off-plan (VEFA)

Buying off-plan means the property is not yet finished; it may be a plot for which the developer holds a permit, or already under construction. These provisions protect purchasers, for example by ensuring payments are made in installments as each phase is completed. Guarantees and insurance should be in place, but be careful: some developments are never built, and others do not match what the buyer expected.

Top tips before buying property in Mauritius

1. Before putting down any money, check the key documents: the GFA (a bank guarantee for completion), evidence of a PDS or Smart City licence (verify this independently with the EDB), and the insurance certificate required for the developer guarantees.

2. Get someone independent to assist you, and weigh up the purchase structure, permits, furniture and the developer's reputation and past projects.

3. Whatever anyone tells you, you cannot buy land, or any other real estate, without express permission from the relevant body.

4. Purchasing through a vehicle such as a company, trust or Foundation does not free you from the obligations and restrictions in the Non-Citizens Act, and any beneficial interest is void without going through the proper channels.

Residence Permits Through Property Investment

Buying a single qualifying property worth at least USD 375,000 gives you and your family residence for as long as you own it, and, in a PDS, the right to work in Mauritius without a separate occupation permit. More broadly, you can obtain permanent residence in three ways: by investing in Mauritian property; by obtaining a permanent residence permit after satisfying the criteria on an existing permit (valid for 20 years); or through a 20-year permit tied to investment in specific industries the Government has identified.

Property Prices, Costs and Taxes in Mauritius

Mauritius real estate prices are all relative. You can spend USD 150,000 on an apartment in a Smart City, or 10 million euros on an outstanding beachfront property. Prices are not as high as Singapore, London or New York, nor as low as Eastern Europe or Southeast Asia. If you are seeking permanent residence through property, you will need to spend at least USD 375,000 (the threshold was USD 500,000 until 2020).

Apartments start from a few hundred thousand dollars and rise to several-million-dollar beachfront penthouses. You can only buy a G+2 apartment if the price is over MUR 6 million; spending over USD 375,000 in a G+2, PDS or Smart City gives you and your family permanent residence. If you buy serviced land and build, expect a comfortable three or four bedroom villa to cost between MUR 15 and 25 million, depending on the builder, location and scheme conditions.

On tax, Mauritius has no capital gains tax, no tax on dividends and no inheritance tax, and there is no restriction on the repatriation of funds or of rental income. Buying and holding Mauritius real estate through a company or trust often makes sense for tax and succession purposes.

Where to Buy: Best Areas to Invest in Mauritius

Foreigners tend to concentrate in two main areas, the North and the West, and both are excellent places to live and invest. The North, around Grand Baie, Pereybere, Cap Malheureux and Pointe aux Canonniers, is more vibrant, with more schools, facilities, restaurants and space, and generally more property available. The West, around Tamarin, Black River (Rivière Noire) and Flic en Flac, is better organised and more scenic thanks to the mountains and national park, though its commuting links are weaker and it can be very hot in summer.

Other popular options include the central plateau around Moka, close to business districts and international schools, and the East coast around Belle Mare and Beau Champ for quieter, resort-style living. We suggest you come and look before committing.

Real Estate Agents in Mauritius

TBI is not a real estate agent. We manage and oversee, where necessary, whatever investment you are making, whether commercial or residential property, and whether you are here or abroad.

We have a sister real estate agency, Oakbridge Mauritius, which takes a different approach to most agents on the island; they work exclusively for buyers, never representing sellers or taking fees from both sides of a deal. This means they can search the whole market, including off-market properties, with no conflicts of interest. As part of the TBI Group, clients can also get support with residency, banking, and structuring, so the entire process is handled in one place. If you would like to discuss your requirements or find out more, please get in touch with Oakbridge or with us directly.

We can also assist with purchasing property through a company or trust, relocation services, and any other requirements you have while making an investment. There are many agents, with a wide gulf in quality between the most and least reliable, and TBI can guide you on who to trust and which developers will not let you down.