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Collection Journal · Market insights · Updated 6 October 2026
For international buyers considering a home in Mauritius, the 2026 property conversation has become easier to navigate. The broad increase in registration duty to 10% has been repealed, restoring a 5% starting point for the affected acquisitions. That changes the amount buyers need to commit alongside the purchase price and gives anyone revisiting an earlier budget a practical reason to look again. PwC’s Finance Act 2026 summary confirms the reduction.
The opportunity deserves a precise explanation. The higher rate was enacted in 2025 and subsequently repealed; describing it as “never adopted” would obscure that history. Equally, lower transaction costs are a positive condition for sales, but they do not, by themselves, prove that completed sales have increased.
For buyers choosing between a second home, a future retirement address and a property intended to generate rental income, the useful question is what this change means for an actual purchase. It affects the budget, the conversation with the seller and the confidence with which a buyer can move from browsing to making a considered offer.
What happened to Mauritius’s 10% property duty?
The Finance Act 2025 introduced a special registration-duty provision for specified residential transfers to non-citizens from 1 July 2026. It covered relevant Economic Development Board property schemes and qualifying apartment acquisitions, including certain resales. This was legislation, rather than a budget announcement alone.
The Finance Act 2026, assented to on 12 August 2026, repealed the special buyer-side provision and its rate paragraph. It also repealed the corresponding special land-transfer-tax provision. The current position therefore needs to be read through the 2026 changes, rather than through articles reporting only the 2025 measures.
For the affected transactions, the general position is now 5% registration duty on the buyer’s side and 5% land transfer tax on the seller’s side, subject to the rules and exceptions applicable to the deed. These are separate liabilities. A buyer should not simply add both percentages to their own acquisition budget. PwC’s current summary records the reduction from 10% to 5%.
Anyone reviewing a transaction completed during the period between 1 July 2026 and the repeal should ask their notary to confirm the treatment of that particular deed. A current rate does not automatically establish a right to a retrospective adjustment. Basalte’s analysis of the legislative timeline explains why the registration date matters.
What the lower duty means for a foreign buyer’s budget
The most tangible benefit is arithmetic. Where the applicable registration duty is 5% rather than 10%, the difference is five percentage points of the same taxable property value. That is a 50% reduction in the duty amount, not a 50% reduction in the cost of the property.
The following examples isolate that difference. They assume that the stated value is the taxable base, that no exemption or special provision changes the calculation, and that the property price itself stays unchanged.
| Illustrative taxable value | Duty at 5% | Comparison at 10% | Difference |
|---|---|---|---|
| MUR 20 million | MUR 1 million | MUR 2 million | MUR 1 million |
| MUR 35 million | MUR 1.75 million | MUR 3.5 million | MUR 1.75 million |
| MUR 50 million | MUR 2.5 million | MUR 5 million | MUR 2.5 million |
These are illustrative calculations, not quotations for a particular purchase. Notarial charges, any applicable agency fees, financing expenses, banking and currency-conversion costs, and other transaction-specific amounts remain separate.
For a household purchasing a home to use themselves, the difference can preserve a reserve for furnishing, moving and the first year of ownership. For someone comparing investment properties, it reduces the initial capital committed to the transaction. Both are useful benefits, even if the buyer chooses to keep their original property budget unchanged.
There is also a practical negotiation benefit. When buyer and seller are working from an accurate completion statement, discussions can focus on the property’s condition, specification, delivery and price. A mistaken tax assumption can otherwise make an acceptable property appear unaffordable or leave the parties negotiating against different totals.
How the repeal can support property sales in Mauritius
Collection’s assessment is that lower transaction costs improve the conditions in which sales can happen. This is an economic interpretation of the change, rather than a claim that a measured increase in sales has already been caused by it.
A more manageable amount to commit
A property purchase competes with other uses for a buyer’s savings. When acquisition costs fall, a home that was close to the limit of an overall budget may become more workable. This matters particularly when the buyer is allowing for a move, school fees, travel and a cash reserve alongside the purchase.
The benefit is strongest when a buyer compares the complete cost of ownership. A lower entry cost can improve the starting position, but it should sit alongside an honest estimate of annual expenses. A home remains affordable only if both the purchase and the years that follow fit the household’s plans.
A reason to revisit a paused search
International purchases involve several linked decisions: where to live, how often to visit, when to transfer money and which property to choose. Uncertainty over one large cost can hold up the entire process. An updated, clearly explained duty position gives a buyer who paused their search a concrete basis for reassessing it.
That does not mean every paused enquiry will become a sale. It means there is one fewer budgeting obstacle to resolve before a buyer can commission the necessary checks, arrange a viewing or make an offer.
More room for a transaction to work for both sides
The seller’s net proceeds matter as well as the buyer’s total outlay. A less burdensome transaction can give both parties greater room to reach an agreement that meets their respective needs. It can also make a future resale easier to model when a buyer is considering their likely holding period.
Actual liquidity still depends on the property. An appropriately priced home with sound documentation and a clear audience may attract interest more readily than an overpriced alternative. The duty change cannot compensate for a weak location, unresolved title questions or a specification that does not suit prospective purchasers.
What the available market evidence does—and does not—show
The Bank of Mauritius’s preliminary 2025 direct-investment release, published on 24 April 2026, recorded MUR 21.393 billion of gross direct investment in real estate activities. Within that total, IRS, RES, IHS, PDS and Smart City schemes accounted for MUR 17.172 billion. The comparable 2024 figures were MUR 23.950 billion and MUR 18.629 billion.
Those figures show substantial investment into property, while also showing that the reported 2025 amounts were below their 2024 comparators. They concern investment flows, not the number of homes sold, and predate the August 2026 repeal. They cannot demonstrate a sales uplift caused by that repeal.
A convincing assessment of the subsequent effect would compare completed transactions before and after the change, separating foreign buyers from domestic buyers and allowing for seasonality, project handovers and property values. Reservations, enquiries and completed deeds should also be reported separately.
For now, the strongest positive conclusion is the clearest one: the transaction-cost position has improved relative to the higher-duty framework. Whether that translates into faster sales or more completed purchases must be assessed against later evidence. Buyers gain more from that distinction than from a headline that confuses renewed interest with a completed transaction.
Can foreigners still buy property in Mauritius in 2026?
Yes, through eligible acquisition routes and the relevant approval process. Foreign ownership is not an unrestricted permission to buy every property advertised on the island.
The Economic Development Board’s property guidance describes routes including approved residential schemes and qualifying apartments in buildings with at least two floors above the ground floor, commonly described as G+2. The apartment route carries its own conditions and requires prior EDB approval.
At the start of a search, ask which route applies to the exact unit under consideration. A development’s marketing name, its general location or the fact that another foreign buyer owns nearby is not enough to establish your eligibility. Request the relevant documentation before making assumptions about what can be purchased.
The same discipline applies when comparing new developments with resales. Ask what is being transferred, which approvals are required and what obligations will pass to the new owner. A well-presented listing is a starting point for those questions, rather than a replacement for them.
A separate 10% measure still needs attention
The repeal of the broad increase does not mean that every reference to 10% has disappeared from property law. The Finance Act 2026 introduced an additional 10% seller-side duty for specified residential transfers to non-citizens on State land or Pas Géométriques under the relevant apartment acquisition route. It includes an exception for qualifying presale agreements signed before a notary before 19 June 2026. See section 9 of the Act.
This makes land tenure an essential question when reviewing a coastal apartment. Ask whether the property is freehold or leasehold, what land it occupies and how the proposed transfer will be treated. Have the notary distinguish each applicable charge and identify who is liable for it. A general statement about foreign-buyer duty is not a complete cost assessment for every coastal property.
Choose a home around the way you will use it
The improved cost position is a reason to refine a shortlist. It should not be the only reason for choosing Mauritius, or for choosing one development over another.
For a home you will live in
Start with an ordinary week. Test the journey to work or school at the times you would actually travel. Consider access to healthcare, shops, leisure activities and the people you expect to see regularly. Visit the neighbourhood at different times of day and ask how the surroundings may change as nearby development proceeds.
A terrace, garden or sea view may make the first impression. Storage, ventilation, privacy, maintenance and the layout of the living spaces will shape daily life. The strongest choice is one that continues to work after the first excitement of the viewing.
For a second home
Think about the months when the property will be empty. Establish who will inspect it, arrange repairs and respond to an urgent problem. Review the service arrangements and the costs associated with any shared facilities. A property that is easy to manage from abroad may suit your plans better than a larger home that needs frequent attention.
If you intend to combine personal use with letting, check that the intended use is permitted and practical. Agree who will manage bookings, cleaning, maintenance and guest access, and understand how your own holiday dates affect potential rental availability.
For a rental investment
Build your assessment around net income and an achievable occupancy assumption. Request evidence supporting rental projections and identify every cost excluded from a headline yield. Allow for management, maintenance, insurance, vacancy and periodic replacement of furnishings or equipment.
Use the total capital committed, including acquisition costs, when comparing alternatives. Lower duty can improve the calculation, but it does not establish future rent, occupancy or resale value. A cautious scenario should still be acceptable before the optimistic scenario influences your decision.
Keep property ownership and residence planning distinct
A purchase may form part of a relocation plan, but ownership and immigration status require separate checks. EDB guidance describes property-based residence routes, including a USD 375,000 threshold for specified qualifying acquisitions. The exact scheme, conditions and application process must be confirmed for the buyer and property concerned. Consult the EDB’s residence and property guidance.
Before treating a home as your future base, establish which permit is appropriate, who in the household it covers and what ongoing conditions apply. If you intend to work, run a business or change your tax residence, obtain advice on those questions specifically. An attractive property and a suitable residence plan should support each other, with neither assumed from the other.
A practical route from interest to an informed offer
Begin with a short written brief. State whether the priority is daily living, occasional use, rental income or a combination. Define the total funds available, the amount you want to retain as a reserve and the timeframe in which the purchase needs to work.
Next, compare a manageable shortlist of properties on consistent terms. Record the ownership route, land tenure, delivery status, included specification and recurring charges for each one. Separate completed features from planned facilities, and ask what commitments are contractual.
For an off-plan purchase, review the developer’s delivery record, payment schedule, completion protections and the handling of delays or changes. For a completed property, examine its physical condition, management records and any work likely to fall to the new owner.
Finally, request a written, transaction-specific completion estimate from the notary and coordinate the funding timetable with your bank. Establish which amounts are payable in which currency and when any conversion will take place. That turns a promising opportunity into a purchase you can assess with confidence.
Frequently asked questions about buying in Mauritius in 2026
Do foreign buyers generally pay 10% registration duty now?
No. Following the 2026 repeal, 5% is the general starting point for the affected acquisitions, subject to transaction-specific provisions. Confirm the final calculation with the notary. Source: PwC Mauritius.
Was the 10% increase never adopted?
It was enacted in the 2025 legislation and later repealed. “The broad increase was repealed” is the accurate description. Buyers reviewing an earlier deed should have its date and applicable treatment checked. See the legislative timeline.
How much difference does five percentage points make?
On an illustrative taxable value of MUR 20 million, duty of 5% is MUR 1 million, compared with MUR 2 million at 10%. The difference is MUR 1 million. Other purchase costs remain separate.
Has the repeal caused a confirmed increase in sales?
The evidence reviewed for this article does not establish that causal claim. Lower transaction costs can help purchases proceed, but a measured sales increase requires comparable completed-transaction data from after the change.
Should I buy immediately because the duty position has improved?
The change is a reason to update your budget and revisit suitable opportunities. The decision should still depend on the property’s suitability, documentation, total ownership cost and your intended holding period.
Explore Mauritius with a clearer brief
For a foreign buyer considering Mauritius in 2026, the repeal creates a more favourable starting point than the higher-duty framework. The practical advantage is the ability to plan a purchase with less capital absorbed by that transaction cost and more clarity about the amount needed to complete.
The next step is to connect that advantage with the right property. Explore developments in Mauritius on Collection, compare the homes that meet your plans and use Collection’s concierge to discuss your search. Bring a clear budget, a realistic timeframe and the questions that matter to your household. Those are the foundations of a confident purchase.
This article reflects sources checked on 6 October 2026. It provides general market information, not personalised legal, tax or investment advice. Confirm the rules and costs applicable to your property and deed with your Mauritian notary and relevant advisers.