Real estate market. What trajectory for prices?

How has the real estate market behaved over the past year and what prospects are emerging for this sector for the financial year 2023? Some answers are provided by the assessment drawn up by the specialized site Mubawab.com, which has just taken stock of the assessment for the fourth quarter of 2022 of the Moroccan market, by projecting itself in relation to the direction that prices would take during the coming months.

From the outset, it appears from the Mubawab Guide that prices, for both old and new, went up in the 4th quarter of 2022, compared to the same period of the previous year.

Prices for old villas increased by 5.2%, it is indicated, while for old apartments, prices between the 3^e and the 4^e quarter of 2022 increased by 0.9%. On a year-on-year basis, the overall price of the old property depreciated by -3.5% with a drop of -5.8% for villas and stability for apartments, adds the same source.

According to the same data, the price of new is aligned with the same trends as that of old. At 4^e quarter of 2022, the overall price of new construction increased by 0.8%, with an increase of 2.5% for villas and a slight drop of -0.3% for apartments. On a year-on-year basis, the overall price of new homes jumped 4.3% on average, with an increase of 9.9% for villas and a drop of -2.1% for apartments.

The Guide highlights that Casablanca, Agadir and Marrakech are the cities where prices are the most stable for apartments, recording minimal price changes of between -1% and +1%. For villas, the cities of Temara, Salé, Tangier and Casablanca are showing a certain stability in prices for this last quarter of 2022 with changes of between +/- 4%.

What trajectory for prices?

For Casablanca and Agadir, apartment prices are expected to rise by 1.84% and 2.81% respectively in March.

For Marrakech and Rabat, the trend is reversed since apartment prices will drop by 1.1% and 1.3% respectively in March; predicts Mubawab, stressing however that the “results can be fluctuating and not follow the indicated trend given the instability of the market and the current context”.