Real estate in Mauritius: what budget to plan for?

At a time when Mauritius is establishing itself as a key destination for foreign investors, the Mauritian real estate market is experiencing unprecedented dynamics. This tropical island in the heart of the Indian Ocean attracts not only for its exceptional natural setting but also for its favorable fiscal and legal environment, even as the latter evolves. In 2025-2026, the price trend is leaning towards a gradual increase, driven by sustained demand from expatriates from France, Europe, as well as emerging countries in Africa and Asia.

The appeal of Mauritius lies in a subtle balance between modern projects with high added value, covering sectors such as high-end villas, penthouses with breathtaking views, and apartments within ecological and smart city residences.
These properties, like those eligible for IRS, RES, or PDS schemes, offer flexible taxation combined with secure frameworks for non-citizens. However, with the current legislative updates and the rise in registration fees, it is now crucial to anticipate the acquisition budget in order to preserve profitability and serenity. This article provides a complete and updated overview to help any potential buyer understand the different levers, constraints, and investment opportunities in this exceptional sector of Mauritius.

Luxury Real Estate in Mauritius: Overview of the High-End Market in 2025-2026

Why Invest in Prestige Real Estate in Mauritius in 2025?

Luxury real estate in Mauritius is increasingly appealing not only to expatriates but also to an international clientele seeking a primary or secondary residence or a sustainable investment. Several factors explain this enthusiasm. First, political stability and the prudent management of the Mauritian government provide a secure framework for long-term investment. The Economic Development Board (EDB) plays a key role in promoting and regulating the real estate market for foreigners, facilitating procedures and securing transactions. Additionally, Mauritius benefits from natural attractiveness with its tropical climate, preserved environment, and a quality of life that combines security, health, leisure, and modern infrastructure.

The Mauritian real estate market also currently shows a notable upgrade, particularly in areas such as Grand Baie, Tamarin, Moka, or Cap Tamarin. These sectors offer exceptional properties with pools, tropical gardens, and often panoramic views of the Indian Ocean. This growing prestige is further supported by an environment conducive to the development of ecological residences, smart cities, and projects incorporating environmental labels, attracting clientele sensitive to a sustainable and responsible approach.

Finally, citizens from Luxembourg, France, Portugal, and other African countries are investing heavily, motivated by the advantageous tax framework that has so far favored reduced taxation, especially regarding transfer duties. However, ongoing reforms now require rigorous planning to protect the investment. It is crucial to note that the increase in registration fees planned for non-citizens in 2025 encourages investors to finalize their acquisition before July 2026 at the latest, in order to benefit from a more favorable tax framework. Thus, Mauritius, while being a tropical oasis, is also a market in full maturity, where luxury combines with strategy and expertise.

• Political stability and secure legal framework

• Quality of life combining health, security, leisure

• Upgrade and sustainable development

• Incentive policy for foreigners to invest

• Necessary anticipation in light of rising registration fees

Recent Trends in Luxury Real Estate Prices on the Island

The real estate market in Mauritius shows a marked dynamic with an average price increase between 8 and 12% depending on the areas and types of properties. Grand Baie remains the benchmark, with average prices per square meter for high-end apartments exceeding €5,500/m². Villas, on the other hand, range between €1.5 and €5 million depending on amenities and size. In Tamarin, the trend reveals rapid development with villas located in secured estates priced between €700,000 and €3 million, supported by real demand from international buyers.

The new premium neighborhoods, particularly around Moka and in the smart cities incorporating ecological criteria, are experiencing even more significant price growth, with some penthouses exceeding €3.5 million. This clientele is demanding, including expatriate French, investors from Europe or Asia looking to purchase a prestigious property within a high-end environment.

Moreover, the increase in prices is also justified by the growing scarcity of buildable land by the sea, particularly at Cap Tamarin and Bel Ombre, where owners now demand up to €700 per square meter. This phenomenon will contribute to the appreciation of existing residences in the coming years, thus confirming the interest in buying without delay during this transitional period. But it is also important to keep in mind that this price appreciation occurs in a context where registration fees are doubling, directly impacting the final budget.

• Average increase of 8 to 12% depending on location

• Grand Baie: high-end apartments at over €5,500/m²

• Villas in Tamarin between €700,000 and €3 million

• Price per square meter of beachfront land up to €700

• Strong interest in smart cities and ecological properties

Real Estate Schemes Open to Foreigners: IRS, RES, PDS, Smart City, G+2

Overview of the Advantages and Conditions of IRS, RES, and PDS Programs

Foreign investors wishing to acquire a luxury property in Mauritius have access to several specific schemes that facilitate not only the purchase but also obtaining a residence permit. The IRS programs (Integrated Resort Scheme) and RES (Real Estate Scheme) are historical, notably offering the possibility to buy villas or apartments in secured complexes with high-end infrastructure.

The IRS, open to non-citizens for several years, imposes a minimum purchase price around 500,000 USD, with an automatic residence permit granted to the owner and their family. The RES, on the other hand, targets contemporary apartments often integrated into quality projects, with a minimum investment threshold starting at 375,000 USD to benefit from the same advantages regarding residence permits. These programs have the particularity of maintaining a rigorous legal framework while being fiscally advantageous, notably due to the absence of property tax and a registration fee set at 5%, although it is expected to increase in 2025.

The Property Development Scheme (PDS), more recent, is gradually replacing the IRS and RES for new real estate projects. This program, launched by the Mauritian government, aims to streamline processes, enhance construction quality, and ensure a more ecological and sustainable approach. The PDS imposes strict criteria, with a minimum price similar to the IRS and RES, and includes the possibility of obtaining a residence permit more quickly, thus attracting a new wave of foreign buyers.

• IRS: villas and high-end properties, threshold 500,000 USD

• RES: contemporary apartments, threshold 375,000 USD

• PDS: new program integrating ecological criteria

• Automatic residence permit for buyers and families

• Registration fees to monitor in the 2025 tax framework

Smart City and G+2 Programs: Specificities for Foreign Investors

Complementary to the IRS, RES, and PDS programs, Smart Cities represent an innovative aspect of Mauritian real estate. These large multi-use urban projects combine housing, commercial spaces, offices, services, and leisure, with a strong focus on technology, ecology, and sustainability. They offer foreign investors the possibility to acquire apartments in VEFA (Vente en l’État Futur d’Achèvement) or villas, with a residence permit included under certain conditions. These projects benefit from infrastructure designed to improve quality of life, including energy management systems, integrated transportation, and abundant green spaces.

The regulations around G+2 constructions (ground floor plus two stories) in certain authorized zones offer an interesting opportunity for luxury residences outside of traditional large complexes. This allows for the creation of exclusive neighborhoods, often located in high-end areas such as Quatre Bornes or Curepipe, providing both proximity to urban centers and residential tranquility. These properties are also open to purchase by foreigners subject to a residence permit, but the specificity lies in adapting to local urban planning standards and flexibility in choosing plots.

• Smart City: large multi-use and sustainable projects

• G+2: high-end housing in low-rise

• Residence permit included under strict conditions

• Encourages diversified and innovative investment

• Ideal for expatriates seeking a modern living environment

What Budget to Plan According to the Type of Luxury Real Estate in Mauritius?

Updated Price Ranges by Category: villa, penthouse, apartment, land

To accurately estimate the budget necessary for the purchase of luxury real estate in Mauritius, it is advisable to analyze prices based on categories. Prestige villas, often featuring pools, tropical gardens, and sea views, range between 1.5 million and 5 million euros depending on size and location. These properties, essential in the IRS, PDS, and certain smart cities programs, represent the highest-end investment in the market.

Penthouses, particularly sought after in areas like Grand Baie and Moka, range around 2 to 3.5 million euros, benefiting from exceptional locations with panoramic terraces and luxurious finishes. High-end apartments, more accessible but still in a premium range, range between 400,000 and 1.2 million euros, depending on the standing of the project and associated services.

• Luxury Villa: 1.5M€ to 5M€ depending on amenities and location

• Penthouse: 2M€ to 3.5M€ in premium areas

• Apartment: 400,000€ to 1.2M€ depending on standing

• Budgets often include additional costs

Price Variations by Area: Grand Baie, Tamarin, Moka, and New Premium Neighborhoods

The diversity of prices reflects the variety of areas in which to invest in Mauritius. Grand Baie remains the emblematic district for high-end investment with high prices but a stable market and strong tourist and residential demand. The budget required to buy in this area often includes a premium for proximity to infrastructures, beaches, and cultural and sporting activities.

Tamarin and Cap Tamarin offer a more peaceful alternative, with prices generally 15 to 20% lower than in Grand Baie, while still providing medium-term capital gain opportunities thanks to the development of smart cities and secured residential complexes. These areas attract a varied clientele, both expatriates and affluent locals.

Moka, being more central, represents a growing sector that benefits from a green environment and quick access to business centers. Here, the prices of apartments and villas remain high but justified by a premium living environment, proximity to international schools, and quality infrastructures.

Finally, the new premium neighborhoods, some of which are integrated into Smart City projects or in G+2, offer an innovative selection that meets the expectations of modern luxury, particularly for buyers from Europe and Africa. These projects benefit from a price per square meter that is still affordable but on a strong upward trend, encouraging a quick decision.

• Grand Baie: luxury neighborhood, high and stable prices

• Tamarin: peaceful offer and opportunities for capital gains

• Moka: central area with premium infrastructure

• New premium neighborhoods: Smart City and G+2 projects

• Importance of choosing according to investment profile

Valuation factors and hidden costs: from prestige to taxation 2025

Leveraging location, sea view, amenities, and ecological labels

The price of real estate in Mauritius is not limited to its surface area or type. Among the key factors enhancing its value, location is paramount. A villa or apartment with a panoramic sea view may see its price increased, in some cases, by more than 30%. Likewise, proximity to renowned beaches, shopping centers, and premium health or educational infrastructures contributes to greater valuation.

The quality of interior and exterior amenities also plays a decisive role. Private pools, home automation, spa areas, high-quality finishes, and landscaped gardens provide significant added value. Furthermore, the use of ecological labels, highly sought after in Smart City or PDS projects, promotes strong valuation among clientele concerned with sustainability and well-being.

Although these advantages enhance the investment, they must be integrated into a clear strategy related to heritage goals or expected profitability. A high-end house in an isolated neighborhood without nearby infrastructure will be less profitable except for secondary residence use. Thus, local expertise is essential to prioritize these factors and negotiate effectively.

• Location and sea view: direct impact on price (+30% or more)

• High-end amenities: pool, home automation, spa

• Ecological labels = increasing valuation and attractiveness

• Proximity to health, schools, and shops is essential

• Sustainable strategy to maximize investment

Additional fees to anticipate: registration, notary, agency, condominium fees, and insurance

The purchase of real estate in Mauritius involves additional fees that must be taken into account in the overall budget. With taxation evolving in 2025, the registration fee increases from 5 to 10% for foreigners, representing a significant burden on the acquisition cost. This amount is supplemented by notary fees, typically around 1 to 1.5% of the property price, as well as agency fees, generally ranging from 2 to 3%.

If purchasing in a condominium, management and maintenance fees can be high, especially in the luxury segment, with premium services, security, maintenance of common areas, and even rental management. These costs often amount to several thousand euros annually. Additionally, obtaining property insurance is mandatory, both to secure the property and to meet the requirements of any potential loan or tax program.

The budget for furnishing and decorating, although variable, must also be anticipated since high-end often involves custom furniture and advanced technological equipment, impacting the final cost. All these hidden expenses justify the need for expert assistance from the purchase phase.

• Registration fee doubled to 10% in 2025 for foreigners

• Notary fees between 1 and 1.5% of the purchase price

• Agency commission between 2 and 3%

• High condominium fees on luxury properties

• Mandatory insurance and furnishing budget to consider

Impact of new Mauritian tax measures on the purchase and ownership of luxury property

Effects of the 2025/26 finance law: increase in registration fees and removal of certain benefits

Since the adoption of the 2025/26 finance law, foreign investors are facing a major reform on the taxation of real estate acquisitions in Mauritius. The registration fee thus increases from 5 to 10% for non-citizens, directly doubling the cost of entry into real estate. This measure aims to regulate foreign demand and redistribute tax revenues for local development. At the same time, certain tax benefits previously granted to IRS and RES programs are gradually being removed, particularly for acquisitions made after July 2026.

This legislative evolution requires heightened vigilance when planning a purchase and a preference for already approved projects to secure a stable legal and tax framework. However, the Mauritian government emphasizes maintaining incentives related to residence permits, which new frameworks like the PDS retain but under strengthened conditions. For an investor, it is essential to understand these changes well to avoid an unpleasant budget surprise and optimize their investment.

• Doubling of the registration fee to 10% for foreigners

• Gradual removal of IRS/RES tax benefits

• Importance of securing a purchase before July 2026

• Retention of residence permits with reinforced conditions

• Tighter legal framework and more stringent taxation

Taxation on resale and post-acquisition holding costs: what impacts on the overall budget?

Beyond the purchase, taxation on the holding and resale of luxury real estate in Mauritius is also a key aspect to anticipate. Since the new measures, the capital gain realized upon resale is now subject to a progressive tax, which can reach up to 15% depending on the holding period and the amount of the capital gain. This reform, applicable to foreign investors, significantly alters wealth management strategies.

Moreover, owners must pay an annual tax on non-residential properties and account for management costs if the investment is intended for seasonal or long-term rental. Thus, the calculation of gross profitability faces an increased tax burden that needs to be integrated into the overall budget.

Addressing these constraints requires careful tax planning with local specialists to properly balance acquisition costs, ancillary fees, and resale prospects, thus ensuring a controlled investment despite regulatory uncertainties.

• Variable capital gains tax up to 15% on resale

• Annual tax on non-residential properties

• Rental management and maintenance costs to be included

• Essential anticipation to optimize profitability

• Importance of specialized local tax advice

Succeeding in investing in luxury real estate in Mauritius in a changing context

Securing your project through local expertise and tax anticipation

In a rapidly evolving Mauritian real estate market, particularly due to tax changes, it seems essential for foreign investors to surround themselves with local expertise. Beyond the apparent simplicity of the purchase, the reality demands mastering administrative procedures, obtaining a residence permit, and especially understanding the new taxation to secure profitability and preserve one's wealth.

Support from specialized consultants allows for anticipating ancillary costs, choosing an appropriate real estate program, whether IRS, RES, PDS, or Smart City and G+2 projects. From price negotiation to title verification, all steps are critical and reinforced by a stricter regulatory context. Investors must be vigilant regarding the compatibility of their project with their personal situation, especially considering contribution requirements and banking loan conditions in Mauritius or internationally.

• Local expertise to master procedures and taxation

• Anticipation of costs and choice of suitable programs

• Thorough verification of titles and legal compliance

• Adaptation to loan conditions and personal contributions

• Securing the residence permit and project management

Premium support and advice for selecting, financing, and maximizing your acquisition

Selecting a property in Mauritius without professional support can be risky. The diverse offerings, regulatory complexity between IRS, RES, PDS, and new financing modalities require high-level advice capable of addressing every step of the purchase. Thus, it is often recommended to rely on a network of brokers, notaries, and tax specialists based on the island, who are well-versed in market developments and specific provisions for foreigners.

The financing of the acquisition can combine personal contributions, local bank loans sometimes subject to strict conditions, or international financing. Optimizing the financing structure is crucial to effectively manage the total budget. Furthermore, rental management, if the property is intended for rent, requires precise organization to secure profitability while adhering to local tax standards.

In summary, succeeding in an investment in real estate in Mauritius involves a comprehensive approach, incorporating program selection, cost management, and tax anticipation. This method ensures a serene and profitable experience, fully compatible with the expectations of expatriates and wealthy investors.

• Comprehensive local network: brokers, notaries, tax specialists

• Mix of financing personal contributions, local and international loans

• Professional rental management for guaranteed profitability

• Personalized follow-up to anticipate developments

• Rigorous selection of properties according to investment profile

What legal provisions allow foreigners to obtain a residence permit in Mauritius?

The main provisions are the IRS, RES, and more recently the Property Development Scheme (PDS). Each of these programs grants the right to an automatic or expedited residence permit contingent on a minimum investment. The IRS mainly targets luxury villas, the RES targets apartments, and the PDS encompasses both with enhanced ecological criteria.

How does the new 2025 finance law impact the cost of purchasing real estate in Mauritius?

The main changes involve the doubling of the registration fee to 10% for foreigners and the gradual removal of tax benefits associated with IRS and RES programs. These changes significantly increase the overall acquisition cost and necessitate anticipation to purchase before the complete implementation of the measures.

What overall budget should be planned for a luxury villa in Grand Baie in 2025?

For a high-end villa in Grand Baie, one should budget between 1.5 and 5 million euros for the purchase price. In addition, there are ancillary costs including the registration fee at 10%, notary fees, agency fees, condominium charges, and insurance, which can represent up to an additional 20% of the property's price.

What advice is there to optimize the profitability of a high-end real estate investment in Mauritius?

It is essential to integrate ancillary costs and resale taxation from the purchase, to prioritize properties with ecological labels or those integrated into smart cities, and to ensure high-end support for managing rental and taxation. Anticipating regulatory developments and securing the purchase before summer 2026 also guarantee better profitability.

What pitfalls should a foreign investor avoid when wishing to buy in Mauritius?

The pitfalls include a lack of information about additional fees, non-compliance with the conditions for obtaining a residence permit, purchasing in unapproved projects that may lead to legal risks, and poor anticipation of taxation upon resale. Therefore, consulting local experts and gathering thorough information about the regulations is essential.