Housing Finance in Morocco


Morocco has a developed housing finance sector. As the mortgage market does not yet meet the breadth of the population who might afford a mortgage, most households still finance their housing independently, with savings or non-mortgage credit.

The lowest recorded interest rate on a mortgage in Morocco is 5.85 percent, as of September 2016, and requires between zero and 50 percent down payment. The cheapest newly built house by a developer recorded by CAHF is US$ 14 170, which is for a 45 square metre unit. Cement prices are lower than the continental average, at US$ 8.50 for a 50-kilogram bag.

With an urbanisation rate of 2.16 percent, demand for affordable housing will remain strong, both for rental and purchase. Housing microfinance will play an important role in increasing the supply of housing, and efforts to increase access should be undertaken. The two largest microfinance institutions are Al Amana and Attawfiq. Loans given are also for house purchase and construction. Al OMrane is developing a 60 000 housing unit development and Societe d’Amenagement Zenata is developing an eco-city expected to accommodate 300 000 inhabitants by 2030. Another developer, GARAN is developing a new urban pole that will accommodate 150 000 people in Bouskoura. With a good macroeconomic environment, sound policy, better data and increased access to affordable credit, an enabled housing market can increasingly provide housing that the average household in Morocco can afford.

Find out more information on the housing finance sector of Morocco, including key stakeholders, important policies and housing affordability:

Each year, CAHF publishes its Housing Finance in Africa Yearbook. The profile above is from the 2018 edition, which has up-to-date profiles for 54 African countries.

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