South Africans, this is why you should diversify your investment portfolio and buy property in Mauritius
The lure of a new beginning beckons many South Africans to Mauritius. However, the thought of leaving everything behind is still a daunting prospect for most. Severine Dalais-Pietersen, a licensee for Seeff Mauritius, understands the hesitation of such a life-changing decision.
Dalais-Pietersen suggests that investing in the buy-to-let market could be the answer for those who aren't quite ready to make the move just yet.
By owning property in Mauritius, you can secure a place to call home should you take the leap to relocate in the future.
Why Are South Africans Buying Property in Mauritius?
Mrs Dalais-Pietersen believes that the reasons behind South Africans flocking to Mauritius for relocation or retirement are numerous and varied. The following includes several reasons:
- The island's proximity to South Africa, with weekly flights making it easily accessible within just over four to five hours.
- Reasonable property prices. However, as values continue to soar, you could miss out on a once-in-a-lifetime opportunity if you wait too long.
By taking the plunge now, savvy investors can reap the benefits of current prices, renting out their property until the time is right to embrace island life fully.
Why Should You Consider Buying Property in Mauritius?
Mauritius is an attractive investment destination due to its low property prices, streamlined acquisition procedures, tax breaks, and access to exclusive hotel amenities.
The island's thriving tourism industry and peaceful lifestyle also make it an ideal location for those seeking a change of pace.
Benefit #1 for Buying Property in Mauritius: Low Prices
Mauritius has some of the lowest property prices compared to other popular investment destinations, with the government offering streamlined procedures for property acquisition and enticing tax breaks.
Owning a hotel apartment in this tropical paradise presents a unique opportunity for regular rental income and significant capital appreciation over time.
Benefit #2 for Buying Property in Mauritius: Thriving Tourism Industry
Mauritius is a vibrant and thriving hub of tourism and hospitality. Despite adversity, with the world at a standstill, the island welcomed over 1.3 million visitors in 2019, the majority hailing from Europe, including France and the United Kingdom, with South Africa, India, and China also being significant contributors.
It’s easy to see why Mauritius boasts a thriving tourism industry. The island's warm climate, breathtaking beaches, and lush natural landscapes create the perfect setting for relaxation. The rich cultural heritage, blending African, Asian, and European influences, offers a unique and cosmopolitan community.
Benefit #3 for Buying Property in Mauritius: World-Class Infrastructure
Mauritius’ world-class infrastructure ensures access to quality healthcare and education, and features a robust financial sector. The island also brims with luxurious amenities, from high-end resorts and hotels to upscale developments, not to mention championship golf courses and pristine beaches.
With projected returns ranging from 4% to 7%, depending on property selection and options, investing in Mauritius property has the potential for bountiful rewards.
Benefit #4 for Buying Property in Mauritius: Tax Advantages
Mrs Dalais-Pietersen highlights that Mauritius has a significant advantage for foreign investors as the country does not have an inheritance tax, capital gains tax, or withholding tax on property transactions.
Foreign investors can also take advantage of the Mauritian government's tax exemptions and speedy residency permits for a smooth and successful investment experience.
Why Hotel-Linked Property Is the Best Option When Buying Property in Mauritius
To maximise returns, it is crucial to buy a property that offers a favourable return on investment. While many developments fall short in this regard, hotel-linked properties tend to offer more attractive returns.
As an added perk, property owners can often enjoy complimentary stays in these hotels, making holiday getaways to Mauritius all the more appealing.
Mrs Dalais-Pietersen recommends three hotel resort investment schemes for interested buyers to consider: La Pirogue Residences (starting at USD 725,000), The Essence Apartments and Villas (USD 540,000 for two bedrooms), and The Welnest Beachside Residences (USD 435,000 for two bedrooms).
Looking for a new investment opportunity or a potential retirement destination outside of South Africa? Consider buying property in Mauritius.
Get in touch with a trusted Property Practitioner to explore your options and find the perfect property investment opportunity. If you’re new to property investment, get our top tips on property investment here.
Related Articles
