Mauritius Property Market Outlook for 2025-2026

The Mauritius property market entered 2025 at a crossroads, presenting new considerations for those looking to buy property in Mauritius as it heads into 2026 with shifting dynamics.

After several years of strong price appreciation, new policy changes are reshaping the landscape for foreign buyers as registration duties prepare to double and long-standing incentives face withdrawal. Buying property under EDB-approved schemes is becoming more expensive, with registration duty and land transfer tax increasing for non-citizens on deeds registered from 1 July 2026. Despite these cost increases, demand remains steady whilst supply stays limited, and the island's appeal as a stable, well-connected destination continues attracting both international investors and local buyers.

This report examines the key trends, policy shifts, Mauritius property prices 2026 forecast, and regional outlooks shaping Mauritius real estate through the next 12 months.

Market Performance: Strong Gains Through 2024

Mauritius property prices delivered exceptional returns through 2024, with the Residential Property Price Index reaching historic highs. Between 2019 and 2024, the Residential Property Price Index more than doubled, with cumulative growth of over 140 %, driven by limited supply, strong demand from foreign buyers, and favourable economic conditions.

Listing prices tracked across major property portals confirm the upward trajectory:

•         Official residential property data indicate annual price growth of approximately 24 % over the past year

•         This continues the strong momentum observed through 2024 and into early 2025

These figures reflect asking prices rather than final transaction values, but they illustrate the momentum heading into 2025.

The north and west coasts rank among the highest-performing regions, particularly in areas with established infrastructure, proven rental demand, and proximity to beaches. Central regions also benefited from steady interest, delivering strong property investment returns for those prioritising value and convenience.

Property Tax Changes 2025-2026: Higher Costs for Foreign Buyers

Foreign property buyers in Mauritius face higher transaction costs following the 2025 Budget, with registration duties doubling for most approved schemes.

Registration Duty and Land Transfer Tax Doubled

Registration duty on non-citizen purchases under EDB-approved residential schemes, including PDS, Smart City, IHS and qualifying G+2 apartments, will increase from 5% to 10%. The seller’s land transfer tax on these EDB-approved residential transactions will also rise to 10%, with the new rates applying to deeds registered on or after 1 July 2026.

For a property priced at MUR 15M, registration duty payable by the buyer will be MUR 1.5M at the 10% rate, compared to MUR 750K under the previous 5% rate. This represents a substantial increase in upfront transaction costs for international buyers.

Smart City Scheme: Tax Benefits Withdrawn for New Projects

Several long standing Smart City tax incentives have been withdrawn following the 5 June 2025 cut off. New Smart City projects no longer benefit from key concessions, while some existing projects keep a limited set of advantages under transitional rules. This affects both new purchases and existing developments that benefited from preferential treatment.

How Policy Changes Are Reshaping Property Demand 

These policy shifts are already influencing Mauritius property market dynamics. Foreign buyers face higher entry costs, with transaction duties increasing on deeds registered from 1 July 2026. Well priced resale properties, established developments with delivery certainty, and projects offering strong amenities are seeing relatively stronger interest.

Conversely, higher priced new launches targeting international buyers may experience softer absorption as buyers reassess budgets and compare value more carefully.

Mauritius Property Supply 2025: Why Inventory Stays Tight

Property supply remains tight in several coastal and premium segments, while central regions show more balanced availability.

Building permits have declined from 2022 levels, and the volume of immediately deliverable new stock remains limited. Completions lag behind permits, meaning near-term supply relief is unlikely to offset demand pressure. This supply constraint supports property price stability and long-term capital appreciation.

Properties in prime coastal locations, particularly in the north and west, continue attracting strong interest from international buyers seeking island lifestyle and rental income potential. Central regions appeal primarily to Mauritian owner occupiers and business-oriented foreign buyers prioritising work proximity and value over beach access.

Demand patterns are shifting slightly:

• International buyers are becoming more selective, favouring properties with proven rental income potential, strong resale liquidity, and clear delivery timelines

• Domestic buyers remain active, though purchasing power is constrained by financing conditions and wage growth that has not kept pace with property inflation

Mauritius Property by Region: 2026 Investment Outlook

Understanding property market trends and investment potential by region helps buyers identify the best opportunities aligned with specific goals: lifestyle, rental yield, or long-term capital growth. Each area offers distinct advantages depending on priorities: lifestyle, value, rental income, or long-term appreciation.

The North

Prime Location for Rental Returns

The north remains one of the most active and liquid regions to buy and sell property in Mauritius, with steady demand from both international and local buyers. Grand Baie, Pereybere, Trou aux Biches, Pointe aux Canonniers and Mont Choisy lead the market, with Bain Boeuf and Cap Malheureux also attracting sustained interest. The region benefits from comprehensive infrastructure, international schools, medical facilities and proven short term rental demand from international visitors.

Buyer Behaviour & Absorption Trends 2026

Well-located properties in these zones command premium pricing yet deliver the strongest rental income potential and resale liquidity in the Mauritius property market. Through 2026, expect continued interest in well-located apartments and managed developments with full amenities. Buyers are negotiating more carefully on pricing, and absorption for premium units may lengthen, especially as non-citizen transaction duties move to 10% from mid-year.

Short-Term Rental Performance & Liquidity

Properties in the north deliver some of the most reliable rental income for property investment in Mauritius, particularly for short-term holiday lets targeting international visitors. This combination of lifestyle appeal and investment performance makes the north the preferred zone for those prioritising rental yield and resale security.

The West

 Lifestyle Meets Investment Value

The west coast, particularly Tamarin and Black River, remains a solid performer in the Mauritius real estate market. The region balances lifestyle appeal with practical infrastructure and attracts families, active buyers and investors seeking stable rental returns. Tamarin real estate benefits from the area’s surf culture, drier microclimate and a growing community of professionals and expats.

Views, Beaches & School Access Drive Demand

In 2026, activity should stay steady, with particular interest in properties offering sea or mountain views, proximity to beaches and access to quality schools and shopping. Pricing is resilient but buyers will be value conscious on new launches.

Outdoor Living With Modern Amenities

Beachfront property in Mauritius along the west coast continues appealing to those seeking outdoor lifestyle combined with modern amenities. The region offers a balance between premium coastal living and practical access to services.

The Centre

Strong Value for Rental Yield

For investors seeking strong property returns without coastal premiums, central Mauritius delivers exceptional value with stable rental demand and lower entry costs. Proximity to Ebene Cybercity, international schools and major employers supports low vacancy and consistent yields from long-term expat tenants. Apartments for sale in nearby areas like Beau Bassin offer modern specifications at accessible prices, with three-bedroom apartments starting from MUR 8.5M compared to MUR 12M+ for comparable coastal properties.

Local & Expat Demand Patterns 2026

Through 2026, demand should remain stable, led by locals and a smaller share of working expats who prioritise commute efficiency and everyday convenience. Many expatriates still prefer coastal purchases for lifestyle, but the centre remains competitive for value, practicality and rental stability.

Lower Entry Costs, Stable Tenant Demand

For those considering Mauritius property investment with focus on rental income and financial efficiency, central regions deliver strong returns without coastal premiums. The combination of lower entry costs and stable tenant demand creates favourable risk-adjusted returns.

The East

Privacy and Natural Beauty

The east coast remains a selective, lifestyle led segment for buyers prioritising privacy, space and natural settings over convenience or short term rental income. Belle Mare, Poste Lafayette and Roches Noires attract retirees, second-home buyers and remote professionals. Other east side focal points include Palmar and Beau Champ on the central east, and Pointe d’Esny and Blue Bay on the southeast, where established estates and selected new releases continue to attract lifestyle led buyers. The region showcases some of the island’s most pristine beaches and protected lagoons.

Established Estates & Selective Buyers

Demand in 2026 should remain focused on high-quality projects and established estates, with purchasers accepting travel for daily amenities in exchange for quieter surroundings and lagoon settings. Transaction volumes remain lower than northern and western regions, reflecting the niche nature of the market.

Longer Sales Cycles, Committed Buyers

The east suits buyers who prioritise lifestyle quality and natural environment over rental yield or resale liquidity. Properties in this region typically experience longer sales cycles but attract committed buyers seeking specific characteristics.

The South

Exclusive Low-Density Living

South Mauritius remains the island's most exclusive residential zone, offering privacy-focused estates for buyers prioritising space and natural landscapes over convenience. The region is characterised by low-density developments, large plots and strong integration with the surrounding environment.

Villa Estates & Limited G+2 Supply

Foreign accessible properties are mostly villas or serviced plots within established estates, with only a limited number of apartment and G+2 options compared to other regions. Infrastructure is improving gradually, including upgrades along the A9 corridor, yet the south remains the least dense residential region.

Maximum Privacy, Minimal Rental Potential

Expect 2026 demand from niche buyers prioritising space and landscape over proximity to concentrated amenities. The south offers the highest degree of privacy and natural integration but requires acceptance of distance from commercial centres and limited rental income potential.

Mauritius Property Price Forecast: Market Predictions to Mid-2026

The Mauritius real estate market through mid-2026 will be defined by buyer selectivity, regional preference shifts, and price moderation as higher transaction costs reshape purchasing behaviour.

Softer absorption of high end new launches. Real estate in Mauritius, particularly high end new launches targeting international buyers, will see longer sales cycles as foreign property buyers in Mauritius facing doubled transaction costs become more selective. Top end properties may experience greater price negotiation.

Stronger interest in well-priced resales. Established properties offering proven rental income, strong amenities, and clear legal structures will see relatively firmer demand compared to new launches with higher upfront costs.

Regional preferences shift toward proven markets. The north and west, with established infrastructure and rental demand, will remain preferred by foreign buyers. The east and south will continue serving niche lifestyle segments.

Domestic market remains constrained. Mauritian buyers face financing limitations and wage growth that has not matched property inflation. Demand from local buyers will focus on central regions offering better value and practical access.

Price moderation, not decline. Limited supply and steady demand should prevent outright price declines in most segments. However, nominal appreciation will likely moderate from 2024’s exceptional pace as higher duties and reduced incentives take effect.

Barring a negative macroeconomic shock, the baseline expectation is for a more balanced market through mid-2026: firmer negotiation between buyers and sellers, greater selectivity, and continued strength in proven locations with delivery certainty.

Mauritius Property Investment: What to Consider in 2026

For foreign property buyers in Mauritius:

Budget carefully for the new 10% registration duty and land transfer tax effective July 2026. Focus on properties with strong rental demand, proven resale liquidity, and developments with clear delivery timelines. Established markets in the north and west offer the most security.

For investors:

Central regions deliver the best risk adjusted returns, with stable long-term tenants and lower entry costs. Property returns in central locations are typically in the mid-single-digit range for long-term rentals and can be higher in specific micro-markets, depending on property type and tenant profile. Coastal properties may deliver higher gross returns but require active property management and higher upfront investment.

For Mauritian buyers:

Central regions offer strong value for owner occupiers and first-time buyers. Properties in Beau Bassin, Moka and Ebene provide quality, every day convenience and easy access to schools, workplaces and services without coastal premiums. Modern three-bedroom apartments are typically around MUR 6M to 9.5M, depending on specification and location.

For developers:

Focus on delivery certainty, transparent pricing, and amenity packages that justify premiums. Buyers are more selective now and will prioritise proven value over speculative promises. Clear construction timelines and established track records matter more in 2026 than aggressive marketing.

Mauritius Property Market Outlook: The Path Forward 

The Mauritius property investment market has entered a period of recalibration after years of rapid growth. Foreign buyers face higher costs from July 2026, yet market fundamentals remain solid: limited supply, strong infrastructure, political stability, and diverse regional options catering to different priorities.

For those who navigate the new landscape thoughtfully, opportunities exist:

• Established properties in proven locations offer security

• Central regions deliver value that coastal markets cannot match

• The north and west provide lifestyle and liquidity for those willing to pay premiums

Success in 2026 will favour buyers who prioritise substance over speculation: developments with clear delivery timelines, locations with genuine tenant demand, and properties priced realistically for the new cost environment.

Considering property investment in Mauritius?

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FAQ

Are property prices falling in Mauritius?

No. Prices are not falling. They are still rising from a high base, although growth is expected to moderate as higher transaction costs take effect.

What is the new property tax for foreigners in Mauritius from July 2026?

Registration duty and land transfer tax both rise from 5% to 10% for non-citizens under EDB-approved schemes from 1 July 2026.

Where is the cheapest place to buy property in Mauritius?

Central regions typically cost significantly less than prime coastal areas, often around one third to one half cheaper for comparable apartments.

Is buying property in Mauritius a good investment in 2026?

Yes. Limited supply, strong infrastructure and stable demand keep Mauritius attractive for long-term property investment.

What property schemes allow non-citizens to buy in Mauritius?

Foreigners can purchase under PDS, Smart City (SCS), IHS and qualifying G+2 apartments

Which Mauritius regions deliver the best rental income?

The north and west deliver the strongest short-term rental income, while central regions perform best for long-term tenants.

Where do foreign buyers prefer to invest in Mauritius?
Foreign buyers mainly choose the north and west for infrastructure, beach access and strong rental markets.

Is the property supply in Mauritius increasing?
No. Supply remains tight as building permits have declined since 2022 and deliverable stock remains limited.

Which regions in Mauritius are best for lifestyle-focused buyers?
The east and south attract lifestyle buyers seeking privacy, natural beauty and low-density living.

Which areas in Mauritius are easiest to resell property?
The north and west offer the strongest resale liquidity thanks to high demand and established amenities.

**E&OE: **This article is provided for informational purposes only. While every effort has been made to ensure accuracy, figures, dates, policy details and market conditions are subject to change. Readers should verify all information independently and seek professional advice before making property investment decisions. Allys and its representatives accept no liability for errors, omissions or reliance on this content.

Sources :

PwC Mauritius Budget 2025-26 Publication

Government of Mauritius Budget Portal 2025-26

Mauritius Revenue Authority Finance Bill 2025

Property Cloud Mauritius Real Estate Statistics – RPPI

Property Cloud Mauritius News – Property Index Reaches Record High

Bank of Mauritius Financial Stability Publications