Financing a home in Morocco with a dirham loan

Home loans, the largest share of Moroccan household debt

Housing loans make up the largest share of bank lending to individuals in Morocco. Attijariwafa bank, Banque Populaire, CIH Bank and Bank of Africa compete for buyers in Casablanca, Rabat, Tangier and Marrakech, often with offers tied to property developers.

Direct housing aid 2024-2028

First-time buyers receive 100,000 MAD for a home costing no more than 300,000 MAD including tax, or 70,000 MAD between 300,000 and 700,000 MAD. The aid is paid when the deed is signed and directly reduces the amount to borrow.

Registering for the aid and supporting documents

Applications are filed on the official platform with the CNIE and a commitment to use the home as a main residence. Moroccans living abroad qualify provided they own no property in Morocco, and the deed must concern a compliant new-build home.

Damane Assakane: FOGARIM and FOGALOGE

Under the Damane Assakane brand, Tamwilcom guarantees loans to households on modest or irregular incomes through FOGARIM, and to the middle class through FOGALOGE. Depending on the bank, this guarantee can allow borrowing with a smaller deposit, or even none.

Typical term, deposit and debt ratio

Banks often finance 70 to 80% of the price for a resident, require a deposit at least covering purchase costs and cap repayments at around 40 to 45% of net income. Repayment generally has to end before age 70 or 75.

Fixed rate, variable rate and the monetary backdrop

With Bank Al-Maghrib's policy rate at 2.25%, mortgage rates have fallen since 2024. Fixed rates remain the norm in Morocco, while variable rates indexed to Treasury bills are mostly taken by salaried borrowers working for large companies.

Home Murabaha at participative banks

Umnia Bank, Bank Assafa or Al Akhdar Bank buy the property and then sell it to the client with a margin fixed at signing. The home stays mortgaged in the bank's favour, and insurance takes the form of family Takaful cover.

Land title, pending registration and the ANCFCC

The bank requires a property registered with the Land Registry, run by the ANCFCC, so it can record its charge. Untitled melk land or a property still under pending registration makes financing much harder, especially in peri-urban and rural areas.

Notary, adoul and purchase costs

The sale deed is signed before a notary, who collects registration duties and land registry fees and then records the mortgage. Deeds drawn up by adoul remain possible, but many banks prefer a notarial deed to secure the loan.

Buying off-plan under VEFA

Off-plan sales are governed by Law 107-12 in Morocco. The loan is then released in instalments as construction progresses, and buyers must check that the developer holds a completion or refund guarantee before paying anything.

Borrowing later in life: retirees and seniors

After 60 the term shortens and death and disability insurance costs more. CMR or CNSS pensioners will find specific terms in our file on the loan for retirees in Morocco, and the wider framework in the guide to credit in Morocco.

Morocco versus Algeria for buying a home

Morocco combines direct public aid with competitive bank lending, whereas Algeria relies mainly on public schemes such as subsidised developer housing. Our guide to the mortgage in Algeria sets out those schemes for comparison.

Steps of a loan-financed home purchase in Morocco

1. Check eligibility for direct housing aid and register on the platform before signing the preliminary sale agreement.
2. Obtain a written simulation from two or three banks, including a FOGARIM or FOGALOGE guarantee from Tamwilcom if needed.
3. Ask the seller for the land title information note to check the owner, surface area and registered charges.
4. Have the bank's valuation carried out, then receive the loan offer and respect the reflection period.
5. Sign the final deed at the notary, who pays the seller, collects the duties and records the mortgage at the Land Registry.
6. Take out the required death and disability cover and home insurance, then monitor the monthly debits on the domiciled account.

Costs of a financed property purchase in Morocco

Application file for a Moroccan home loan

• CNIE of each borrower and, for Moroccans abroad, a residence permit
• Recent payslips and salary certificate
• Tax assessments or income returns for the liberal professions
• Preliminary sale agreement or off-plan reservation contract
• Land title information note and cadastral plan
• Account statements showing the personal deposit
• Certificate of eligibility for direct housing aid, where applicable

Mistakes that block a mortgage in Morocco

• Buying an untitled property or one held in unresolved family joint ownership, on which no bank can register a first-ranking mortgage.
• Paying a large advance to an off-plan developer without a completion guarantee or a contract that complies with Law 107-12.
• Forgetting that direct aid requires never having owned property in Morocco, which leads to a late rejection of the file.
• Underestimating deed, registration and land registry costs, which the bank generally does not finance.
• Trusting fake middlemen who promise fast approval of housing aid for a fee, when registration is free.

Lenders to contact

• Banque Populaire (Groupe BCP): Moroccan commercial bank offering individuals consumer credit products, including the Moujoud loan and personal car financing options for retail customers.
• BMCI: Moroccan commercial retail bank active in providing financing solutions to individuals and businesses across the Moroccan market.
• Bank Assafa: Moroccan participative bank offering Sharia-compliant accounts and financing, including home Murabaha for individuals wishing to purchase residential property.

Buyers' questions on Moroccan home financing