Morocco’s Real Estate Market Plummets Amid COVID-19 Crisis, Central Bank Reports

All sectors are affected according to Bank Al Maghrib (BAM) which draws the overall picture of the real estate market in the kingdom during the year 2020. Thus, there is a drop in sales in general: 38% for residential, 53.7% for land and 54.2% for commercial properties. Also down, the number of transactions: 55.3% for residential, 59.1% for land and 57.2% for commercial properties according to the Central Bank.

Alongside sales, residential and commercial properties, houses are the most affected.

In terms of sales, BAM reports that they have fallen by 55.3%, with declines of 54.9% for apartments, houses (66.6%) and 44.5% for villas. As for land, land costs have decreased by 3% and transactions have fallen by 53.7%. The commercial sector is not spared; a 1.5% decrease in the prices of commercial premises and a 1.4% increase at the level of offices. The volume of transactions, for its part, fell by 54.2%.

In Rabat, prices have fallen by 5.9% quarter-on-quarter, with declines of 6.7% for residential and 10% for commercial properties. This is not the case in the land category where we record an increase of 3.8%. Transactions have decreased by 57.1%. In Casablanca, we record a 3.4% drop for residential, as well as respective increases in land and commercial properties of 1.3% and 3.3%. As for sales, they have fallen by 27.4%, reflecting declines of 21.8% for residential properties, 47.9% for land and 49% for commercial properties.