More than just a captivating coastal or golf destination, many foreigners opt to reside in Mauritius as an investment strategy to diversify their portfolio, thanks to our favourable tax regime.

When it comes to investing in property in Mauritius, foreigners have several options available to them. One such option is the Invest Hotel Scheme (IHS), which enables foreigners to own a property within a hotel development under certain conditions. Let’s delve into the specifics.

While not the most widely known property investment scheme, the IHS offers individual buyers access to all the facilities of a lavishly-furnished luxury resort hotel, including dining options, fully serviced spas and fitness centres, and resort-style pools, with the added benefit of generating a fixed monthly income.

Primarily designed for those seeking a holiday home, the IHS allows property owners to rent out their unit easily while they are away. It is to be noted that those who own a property within a hotel development via the IHS are permitted to use their unit for up to 45 days within any 12-month period, with some exceptions in specific cases.

Foreigners who own a property within a hotel development enjoy privileged access to all hotel facilities while also receiving fixed returns on their unit rentals, anticipating capital appreciation over time. According to Sacha Bouic, a real estate expert at Mauritius Sotheby’s International Realty, “Choosing an IHS is a hassle-free investment as the property enters the rental pool managed by the hotel team. Typically, owners receive a fixed rental income, usually around 5%, depending on factors like property type and location. Additionally, capital appreciation can vary between 5% and 10% on average, and it’s worth noting that IHS properties are often beachfront, presenting a unique opportunity for foreigners.”

While individual beachfront properties are typically available only on leasehold land, making them accessible to Mauritians exclusively, foreigners can acquire a beachfront villa under the IHS under specific conditions. Jennifer Hirst, another real estate expert at Mauritius Sotheby’s International Realty, explains, “Owners have access to hotel facilities, and when they’re away, the property is managed by the hotel, ensuring rental and maintenance are taken care of, along with good returns for the owner.”

When foreigners own a property within a hotel development, payment shall be effected in US dollars or its equivalent in any other freely convertible foreign currency or Mauritius currency. Also, the amount payable for the acquisition of a stand-alone villa shall not be less than USD 500,000. 

Those who can acquire an IHS property include a non-citizen, a citizen of Mauritius, a company incorporated, or registered, as a foreign company under the Companies Act, a société where its deed of formation is deposited with the Registrar of Companies, a partnership under the Limited Partnerships Act, or a trust under the Trusts Act, where the trusteeship services are provided by a qualified trustee.

With investments exceeding USD 375,000, IHS property owners and their families are eligible for residency.

If you’re looking for a property to rent or buy in Mauritius, contact us – info@sir.mu

Welcome to the Sotheby’s International Realty 2024 Luxury Outlook—a comprehensive exploration of the luxury real estate market worldwide. While the complete report delves into various topics such as policy trends, real estate opportunities, the impact of demographic shifts, and the luxury rental market, among others, this blog post will specifically focus on the builders’ confidence, and the trend for cash acquisition amid the growing global demand for properties.

As luxury real estate markets try to build back inventory to pre-pandemic levels, some areas are seeing robust new growth amid continuing strong demand from buyers and restored confidence among builders and developers. For instance, in the United States the lack of existing inventory, while there is a strong demand is pushing for more constructions. “In South Florida, luxury new development in West Palm Beach is booming,” says Sonja Stevens, senior global real estate advisor, Sotheby’s International Realty – Palm Beach Brokerage.

Outside the U.S., Thailand is also seeing a renewed demand for new luxury real estate. “There is a clear demand for luxury housing projects and new luxury condominiums, driven by limited supplies and evolving buyer preferences,” says Phakrjira Jansakran, director of sales, List Sotheby’s International Realty, Thailand.

The island is also home to new off-plan projects both in the North and West regions. “ There is a constant supply of new developments on the market and developers are conscious that there is a greater demand for lower price points, while the luxury real estate segment is very niche” says Timo Geldenhuys – Director at Mauritius Sotheby’s International Realty. 

While the demand is rising, the rise in mortgage interest rates has translated into a higher percentage of all-cash deals around the world. Let’s have a look at the global trend. 

During the third quarter of 2023, 57% of the over–US$5 million market were cash deals, says Lisa Larson, associate broker, Sotheby’s International Realty – East Side Manhattan Brokerage. “The majority of over-US$10 million were cash, too”, she says. 

In Dubai, all-cash deals have been the rule rather than the exception. “It’s common for ultra-high-net-worth individuals who choose to buy here to purchase in all cash,” says Honey Deylami, executive partner, Dubai Sotheby’s International Realty. “It’s very rare that ultra-high-net-worth individuals look for a mortgage for their primary or vacation homes.”

The same trend was noticed in South Africa, where some 70% of luxury real estate purchases are all-cash deals in Cape Town, a long time trend that shows no signs of diminishing, according to Claude McKirby, owner and director, Lew Geffen Sotheby’s International Realty.

In Mauritius, while the minimum investment for residency is USD 375 000, buyers from around the world had to confine themselves to specific property programs to buy a property in Mauritius. 

However, foreigners who already are residence permits holders, can now explore a broader range of properties in Mauritius beyond the existing approved schemes.

Indeed, the much-anticipated regulatory updates have expanded the options for foreigners looking to invest in properties, provided there’s a minimum investment of USD 500 000.

If you’re looking for a property to rent or buy in Mauritius, contact us – info@sir.mu

Sea, sun and sand await in one of the most sought-after island destinations in the Indian Ocean. If living on an island is a privilege, imagine living in a beachfront property in Mauritius! 

With incomparable views and the soothing tranquility of crashing waves, owning a beachfront property in Mauritius offers unmatched relaxation for both the mind and body, and the possibility to enjoy unique boat trips.

Though beachfront leasehold acquisition is available to Mauritians only, there are many options for foreigners to acquire property in oceanfront developments.

Let’s have a look. 

Truly paradise at your doorstep and a smart investment in terms of capital gains and rental value, owning a property in a beachfront development is always a good idea. 

Foreigners have the possibility of acquiring properties in various property schemes, and can obtain residency for a minimum investment of USD 375 000.

Generally, acquiring a standalone house or villa on the beach is not directly accessible to foreigners, however, you can easily buy a villa, penthouse, apartment or duplex in a beachfront development that falls under a property scheme. “Living in a beachfront development definitely has its perks, because you can have direct access to the beach and use the various on-site facilities like beach clubs, boat parking solutions, restaurants and so much more. Also, you will be safe as the developments are usually gated. Another important factor, your property value increases because of the sea views and, of course, you can walk to the beach” says Lee Lazare, Property Consultant at Mauritius Sotheby’s International Realty. 

A foreigner can also acquire a villa under the Integrated Hotel Scheme ( IHS), which is a property scheme allowing hotels to put their villas, apartments or penthouses on sale, and accessible to foreigners. 

Depending on the specific terms, you may have the option for year-round personal use of your villa. In other instances, the emphasis is on an investment-centric approach, allowing you to purchase the property and use it for a specified period. Afterwards, the property becomes part of the hotel’s rental pool, ensuring a fixed return on your investment.

“The key advantage of this arrangement lies in the comprehensive on-site property management services. These services encompass everything from cleaning and maintenance of the villa to handling its rental. Your primary role is to reap the benefits of your investment. During your periods of villa occupancy, you will also enjoy unrestricted access to all the hotel’s facilities, effectively affording you a 24/7 hotel living experience. This includes a butler service and privileged access to the spa, restaurants and so on”, says Lee Lazare.

If you’re looking for a property to rent or buy in Mauritius, contact us – info@sir.mu

Exclusivity at its best, the benefits and beauty of living in a waterfront home are as boundless as the captivating, uninterrupted vistas that grace these homes. For those who enjoy activities like fishing and sailing, living in an oceanfront development, in or near a marina, or even close to a riverbank, is a dream come true. 

Especially on the North and West Coasts, buying a property in Mauritius as a boat owner is commonplace mostly that the best way to enjoy the turquoise waters of our island is indeed, to set sail.

One of the perks of waterfront living is the unique offering and distinctive lifestyle it offers. Tied to a geographical location, like Mauritius, owning such a property is a definite win! However, you need not necessarily buy a waterfront property if you’re a boat owner as there are myriad options for boat parking and maintenance in coastal regions of the island. “If you are a boat owner, you need not necessarily reside in a beachfront development; you can, for instance, join a yacht club and use their facilities, including boat parking, mooring, or boat maintenance services. Additionally, several residential developments like Azuri, St. Antoine, and others offer on-site boat parking or mooring services“, says Lee Lazare, Property Consultant at Mauritius Sotheby’s International Realty. 

Now, if the development you live in does not offer these on-site services, you can still pay for a mooring spot in your area and contact the relevant reputable service providers. So, all in all it’s hassle-free to buy a property in Mauritius as a boat owner.

Typically, the demand for waterfront homes and residential units in coastal areas surpasses the supply due to their immense popularity. “ The demand is substantial, encompassing various markets, including European and South African buyers. Regrettably, there aren’t enough waterfront properties to meet this demand, which is why it is a specially niche market. Nevertheless, if you aspire to buy property in Mauritius as a boat owner, you can invest in any development accessible to foreigners while securely mooring your boat elsewhere.” adds Lee.

Mauritius is an ideal playground for boat owners, particularly those who relish watersports. Here, you have the opportunity to reside in locations such as La Balise Marina, secluded coastal areas like Pointe d’Esny, or areas close to rivers.

With glorious skies, breathtaking views, and a high degree of privacy and seclusion, what’s not to love?

If you’re looking for a property to rent or buy in Mauritius, contact us – info@sir.mu