Mauritius has great beaches, a strong economy, and a business-friendly multicultural society. Renowned for luxurious living, the island is drawing property buyers from abroad for its contemporary amenities alongside beautiful nature.
Because of its geographical position in the Indian Ocean, solid legal system, and favorable tax policies, investing in Mauritius is very attractive to foreign investors. From a smart city apartment to a villa in Grand Baie and even a house on the West Coast, there are numerous investment options available.
This guide will touch upon the financing strategies, residency perks, legal matters, and essential things to consider for a successful property investment in Mauritius.
Why Invest in Property in Mauritius?
Mauritius is a top choice for property investors who want a safe and profitable property investment. It has a stable economy, an emerging property market, and a legal system that encourages foreign investment.
Its strategic position in the Indian Ocean, as well as tax-friendly incentives, make it a good choice for anyone who wants to invest in a second home, a rental property, or a permanent home.
A Growing Real Estate Market in a State of Economic Stability
Mauritius has a strong and resilient economy that ranks as the most business-friendly country in Africa every year. Its real estate sector continues to develop with high demand from domestic and overseas investors. Well-planned property schemes introduced by the government, such as the Integrated Resort Scheme (IRS), Real Estate Scheme (RES), and Smart City Scheme facilitate foreign investment and economic development.
Foreigners can invest in these schemes and are generally awarded a Permanent Residence Permit. With financial stability, security of investment, and growing property rates, Mauritius becomes a lucrative location for potential investors in luxury villas, modern apartments, or business properties.
An Attractive Lifestyle: Climate, Beaches, and Multicultural Society
Mauritius provides an excellent living environment and welcomes entrepreneurs, retirees, and expatriates seeking luxury living. It is renowned for its amazing views, tranquil settings, and world-standard beaches, especially in areas like Grand Baie, the west coast, and the northern regions. As a result, properties here often feature private pools, spacious terraces, and abundant natural light, catering to both permanent residents and holiday seekers.
Alongside a rich scenery comes a very cultured and open multi-national population. While English and French are the predominant languages spoken, the rest of the country forms a very vibrant cultural space. All of this is supported by modern facilities like international schools, private hospitals, and a variety of entertainment facilities, from golf courses to water activities.
Tax Benefits and Favorable Investment Environment
One of the biggest draws for foreign property buyers in Mauritius is its tax-friendly environment. The island has:
- No capital gains tax on property sales.
- A low corporate tax rate of 15%.
- No inheritance tax for non-citizens.
- A flat personal income tax rate of 15%.
Additionally, purchasing property under specific schemes can provide residency benefits, allowing foreign investors to live in Mauritius with their families. This, along with strong legal protections for real estate investments, makes the island a secure and advantageous destination for buyers seeking long-term financial growth.
- Attractive lifestyle: climate, beaches, and multicultural society.
- Tax benefits and favorable investment environment.
- High rental yields and potential for capital appreciation.
Working with a reputable real estate developer ensures smooth navigation of the legal and financial aspects of foreign investment in Mauritius.
High Rental Yields and Potential for Capital Appreciation
The demand for rental properties in Mauritius is strong, particularly in Grand Baie, the north, and the west coast, where expatriates and tourists look for high-end accommodations. Villas, apartments, and residences in these areas offer competitive rental yields, making them attractive investment options.
Over the years, property prices have shown steady growth, allowing investors to benefit from capital appreciation. The island’s real estate market remains competitive yet accessible, making it a strategic investment for those seeking a blend of luxury, security, and financial returns.
Types of Property Foreigners Can Buy
Foreigners can buy property in Mauritius through government-approved schemes, each with its own benefits and investment requirements.
Integrated Resort Scheme (IRS)
- Luxury villas, apartments in resort-style developments
- Min. investment: USD 375,000
- Residency: Yes
Real Estate Scheme (RES)
- Villas, townhouses in smaller developments
- No minimum investment
- Residency: No
Property Development Scheme (PDS)
- Sustainable communities with high-end homes
- Min. investment: USD 375,000
- Residency: Yes
Smart City Scheme
- Modern apartments, townhouses, offices in tech-driven hubs
- Investment varies
- Residency: Possible in some cases
Ground+2 Apartments
- Apartments in buildings with at least 2 floors above ground
- Min. investment: MUR 6 million (~USD 135,000)
- Residency: No
Key Takeaways
- IRS & PDS offer residency for investments above USD 375,000
- RES & Ground+2 have lower entry costs but no residency
- Smart Cities combine residential & business opportunities
Whether you seek luxury living, rental income, or capital growth, Mauritius has options to match your investment goals.
Legal Requirements and Restrictions
Eligibility for Foreign Buyers
Foreigners can buy property in Mauritius under approved investment schemes like IRS, RES, PDS, Smart City, and Ground+2 apartments. Agricultural land purchases are restricted.
Minimum Investment Requirements
- IRS & PDS: USD 375,000 (grants a Permanent Residence Permit)
- Ground+2 Apartments: MUR 6 million (~USD 135,000)
- Other schemes: Vary by project
Obtaining a Permanent Residence Permit
- Investing at least USD 375,000 in approved residential properties qualifies buyers for residency in Mauritius.
- The permit remains valid as long as the property is owned.
Step-by-Step Process of Buying Property in Mauritius
1. Research & Select a Property
- Explore properties in Grand Baie, West Coast, Smart Cities, beachfront villas, or modern apartments.
- Consider location, lifestyle, investment returns, and proximity to amenities.
2. Engage a Notary
- A notary ensures legal compliance and drafts contracts, which is essential for a secure and transparent transaction.
3. Sign the Preliminary Agreement (Contrat de Réservation Préliminaire)
- Buyer and seller agree on terms, price, and payment structure.
- A deposit (usually 10%) is required.
4. Conduct Due Diligence & Property Verification
- Verify title deeds, zoning laws, permits, and property condition.
- Engage professionals to assess market value and legal aspects.
5. Finalize the Deed of Sale & Make Payment
- The final contract is signed before a notary.
- Full payment, including property price, taxes, and notary fees, is made.
6. Register the Property
- The transaction is recorded with the Registrar General.
- The buyer receives an official title deed.
Colbert Holdings: A Trusted Partner in Real Estate Investment
Colbert Holdings is a leading real estate company in Mauritius, offering luxury villas, apartments, and Smart City projects. Their properties combine modern comfort, breathtaking views, and prime locations with secure investment opportunities.
With Colbert Holdings, you’re not just buying a property but you’re investing in an exceptional lifestyle. We provide a hassle-free experience, managing everything from A to Z, so you can enjoy the journey without the stress. From selection to ownership, we handle every detail, making your investment in Mauritius effortless and rewarding.
Financing Options for Foreign Buyers
Mortgage Options for Foreigners
Foreigners can obtain property loans from banks in Mauritius for luxury villas, apartments, and Smart City investments. Loan eligibility depends on income, property type, and deposit amount.
Banks Offering Property Loans
Leading banks providing mortgages for foreign buyers include:
- Mauritius Commercial Bank (MCB)
- State Bank of Mauritius (SBM)
- AfrAsia Bank
- Absa Mauritius
Required Documents for Mortgage Approval
- Valid passport and residence permit (if applicable)
- Proof of income and employment
- Bank statements (last 6–12 months)
- Signed sales agreement
- Property valuation report
Interest Rates & Repayment Terms
- Interest rates: Fixed or variable, starting from 5%–7% annually
- Loan-to-value ratio: Up to 70% financing
- Loan term: 5 to 25 years
- Repayments: Monthly installments in MUR, EUR, or USD
Taxes and Fees Involved
Property Purchase Costs
- Registration Duty: 5% of the property value
- Notary Fees: 1% to 2%, based on transaction size
- Land Transfer Tax: 5% (seller pays)
- Agency Fees: 2%–3% (plus VAT), shared by buyer and seller
Ongoing Costs
- Property Tax: Varies based on location and property type
- Maintenance Fees: Common in residences, Smart City apartments, and gated communities
Tax Implications for Rental Income & Capital Gains
- Rental Income: Taxed at 15% for foreign investors
- Capital Gains Tax: No capital gains tax in Mauritius
- Wealth & Inheritance Tax: Not applicable, making it an attractive investment location
Foreign buyers investing in luxury real estate, beachfront villas, or Smart City apartments benefit from favorable tax policies, long-term value, and a secure financial environment.
Living in Mauritius: Residency and Lifestyle Benefits
Obtaining Residency Through Property Investment
Foreign property buyers can gain residency by purchasing real estate under approved schemes like IRS, RES, PDS, or Smart City projects. A minimum investment of $375,000 grants a Permanent Residence Permit, allowing you to enjoy luxury living in a secure, tax-friendly environment.
Healthcare, Education, and Lifestyle Amenities
Mauritius offers world-class healthcare, with modern private hospitals and clinics providing quality medical care. International schools in Grand Baie, the west coast, and Smart Cities offer British, French, and IB curriculums, attracting expat families seeking convenience and quality education.
For leisure, villas and apartments often feature private pools, natural light-filled rooms, and breathtaking views. You’ll find beachfront residences, peaceful settings, and prime locations close to shops, dining rooms, and entertainment hubs.
Expat Communities and Cultural Integration
Mauritius is a multicultural island, with strong expat communities in Grand Bay, Tamarin, and the north. Residents enjoy a blend of cultures, cuisines, and a welcoming environment. Social clubs, networking groups, and beachside cafés make integration smooth. Proximity to nature, the sea, and leisure spots enhances the island lifestyle.
Quality of Life and Cost of Living
Mauritius combines modern comfort with natural beauty. The cost of living is affordable compared to Europe, with competitive real estate prices. Properties offer space, security, and elegance, making them an ideal choice for investors, retirees, and families seeking a luxurious yet peaceful setting.
Common Challenges and How to Overcome Them
Navigating Legal Procedures and Language Barriers
The real estate market in Mauritius is regulated, and buyers must follow legal procedures when purchasing land, houses, or apartments. Working with reputable agents and notaries ensures a smooth process. English and French are widely spoken, but legal documents are often in French. A trusted advisor can help.
Understanding Property Market Trends and Fluctuations
The demand for luxury villas, Smart City apartments, and beachfront properties is rising. Research market trends, investment value, and property types before purchasing. North and west coast properties, Grand Baie residences, and Smart City developments are popular due to their high rental yields and capital appreciation.
Working With Reliable Agents and Legal Advisors
Choose licensed real estate agencies and legal professionals with experience in property sales, investment finance, and expat purchases. A dedicated team can assist with due diligence, paperwork, and securing the best sale prices.
Managing Rental Properties as a Non-Resident
Many investors purchase villas, apartments, or land in Mauritius for rental income. Property management services help handle tenant screening, maintenance, and rental payments. High-end residences in prime locations, such as Grand Bay and the west coast, attract long-term tenants looking for security, privacy, and modern amenities.
Tips for a Successful Property Investment
Choose the Right Location & Property Type
- Grand Baie, west coast, and Smart Cities – top investment spots.
- Look for luxurious villas, beachfront apartments, or Smart City residences.
- Features like a private pool, natural light, and proximity to shops add value.
Conduct Market Research & Due Diligence
- Compare property prices, rental yields, and future value.
- Check legal status, ownership, and investment potential.
Work with Reputable Agents & Notaries
- A trusted real estate agency ensures a smooth property purchase.
- A notary handles contracts and registration.
Plan for Long-Term Success
- Choose a high-demand property for rental income or resale.
- Invest in Smart City projects, prime locations, and secure residences.
Conclusion
Mauritius offers a great quality of life, blending modern convenience with island charm. From a seaside villa to a private apartment or a Smart City residence, the Mauritian property market is full of potential.
By selecting the appropriate location, type of property, and investment strategy, you can enjoy luxury living, financial security, and a serene lifestyle.