Mortgage Rates Plummet in Morocco, Sparking Real Estate Investment Hopes

According to l’Économiste, real estate transactions could accelerate in the first two quarters of 2020, after the 4% decline recorded in 2019. Despite the confinement and the concerns raised on both sides, the coming period should be favorable to real estate investment, especially with regard to financing.

Experts explain that "the average rate of housing loans fell by 43 basis points last year, to 4.5%", except that "the few prospects that were still animating the market well before the COVID-19 crisis have gone on standby". But the fact remains that rents will experience a significant drop due to the scarcity of demand.

Today, bankers only want one thing: to support and assist companies and households affected by the crisis by postponing "maturities and financing operating expenses". But this does not prevent them from continuing to "finance" all ongoing projects and study initiatives in progress. Another priority for banks is also to support clients and prepare for the restart after the crisis.

The newspaper states that banks could also see a decrease in their NBI (Net Banking Income) due to sluggish credit demand.