With its lush vegetation, low taxes and political stability, many buyers are tempted by the appetising cocktail offered by Mauritius. In addition to its seaside potential, its multiculturalism, its climate and its welcoming population, this small country with great ambitions attracts many property investors. Let's see in detail why...
The island of all assets
On Mauritius, the eyes look far away. Here, one can enjoy the sublime sun-drenched panoramas, on which white sandy beaches, bordered by coconut palms and turquoise lagoons are revealed. A postcard setting that is becoming increasingly popular with tourists and investors looking for new horizons. Ideally located between Africa and Asia, Mauritius is a leader in good governance and quality of life. A model of success for other small island states and African countries, the pearl of the Indian Ocean has become the destination of choice.
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With its political and social stability, separation of executive, legislative and judicial powers and a free press, Mauritius is a rare example of social peace and multicultural society.
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With an ideal geographical position and a strong desire to become a hub for trade, investment and tourism, interconnecting Africa, India, and Asia with the rest of the world.
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Its time zone (GMT+4) makes it a business centre that allows you to work for at least 4 hours simultaneously with financial operators in the European and Asian markets. It is also a godsend for the French, with only a three-hour time difference with mainland France.
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The result of a collective commitment by the public authorities and the population, the economy based on free trade makes it a financial centre of choice and a preferred location for all investors.
The advantages of the Mauritian property market
If the real estate market is so attractive, it is certainly because the Mauritian tax system is one of the most advantageous in the world. Indeed, to encourage investment, the government has opted for a tax-free regime on capital gains (real estate), wealth, inheritance and dividends. Income tax and corporation tax are 15% and the absence of property tax and social security contributions are the main reasons for the popularity of the property among buyers. All these advantages apply to locals as well as foreigners who, moreover, benefit from numerous bilateral agreements signed between the island and their country to avoid double taxation on their investments. In order to encourage the arrival and installation of an international clientele, the Mauritian government has put in place a number of regulated schemes through different types of investment regimes:
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The Property Development Scheme (PDS), which includes the former Integrated Resort Scheme (IRS) and the Real Estate Scheme (RES), allows the purchase of real estate: houses, villas, flats, penthouses, duplexes, located on land larger than 4221 sqm, but less than 25 acres. For a purchase of less than $375,000, the buyer can obtain a provisional residence certificate (up to 6 months). Above $375,000, the investment automatically confers the right to a residence permit for as long as the purchaser remains the owner of the property.
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R+2: This investment scheme also allows, above an amount of $375,000, to obtain a residence permit during the period when the purchaser remains the owner of the property.
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The Invest Hotel Scheme (IHS): acquisition of a room, flat, villa or suite that is part of a luxury hotel complex in Mauritius. It offers the guarantee of the rents received and the enjoyment of the property and the hotel facilities for a few weeks a year.
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The Smart City: investment in several types of property: residential housing flats or villas, but also commercial or office space from $80,000. The development of these smart cities offers options to stimulate innovation, scientific and technical activities and create a dynamic city under the concept: live, work, play.
Thus, the offer of properties on the market is varied and can correspond to a high-end clientele in search of exceptional properties. Also, and a new trend on the Mauritian market, the range of properties available for resale is widening. Some foreigners choose to settle in Mauritius to live more comfortably, while others prefer to invest in seasonal or annual rental properties to make their capital profitable.