Buying Property in Mauritius as a Foreigner: The PDS Scheme Explained

Can Foreigners Buy Property in Mauritius?

Yes — but with restrictions. Foreign nationals cannot purchase freehold land or standard residential properties on the open market. Instead, the government channels foreign investment into property through approved schemes, the most significant of which today is the Property Development Scheme (PDS).

What Is the PDS?

The Property Development Scheme replaced the earlier IRS (Integrated Resort Scheme) and RES (Real Estate Scheme) frameworks in 2015. Under PDS, developers build large-scale, mixed-use residential projects on a minimum of one arpent (approximately 0.42 hectares) of land. Foreign buyers can purchase a PDS unit and, if the purchase price equals or exceeds USD 375,000, they automatically qualify for a Residence Permit for themselves and their dependants.

What Types of Property Are Available?

• Villas: Freehold detached or semi-detached homes within a managed estate, typically with a private pool, garden, and access to shared amenities such as a clubhouse, gym, and sometimes a beach club.
• Apartments: Increasingly popular, especially in the north and west. Several PDS projects offer sea-view apartments from USD 380,000.
• Smart City units: The Smart City Scheme allows foreigners to buy residential units within designated mixed-use development zones, including both residential apartments and commercial spaces.

Costs and Taxes

When purchasing a PDS property you should budget for:

• Registration duty: 5% of purchase price (reduced from 10% in a 2023 budget measure for residential buyers).
• Notary fees: Approximately 1–1.5% of purchase price.
• Land Transfer Tax: Paid by the vendor but sometimes negotiated into the sale price — typically 5%.
• Annual ground rent: Some PDS estates charge a nominal annual fee to the government; your developer will advise.

There is no capital gains tax in Mauritius, which makes the jurisdiction attractive for long-term property investment.

Popular PDS Developments

Anahita Golf & Spa Resort on the east coast is one of the island's most established IRS/PDS estates, with Four Seasons managing its hotel and rental pool. Resale villas here start from around USD 700,000. Azuri Ocean & Golf Village in Roches Noires blends residential, hotel, and commercial uses with a strong rental yield track record. In the north, several newer PDS apartment projects near Trou aux Biches offer lower entry prices close to the USD 375,000 threshold.

The Buying Process

The process broadly follows this sequence: sign a reservation agreement and pay a 10% deposit; appoint a Mauritius-registered notary; the notary conducts due diligence and drafts the deed of sale; sign the deed before the notary and pay the balance plus taxes; register the title with the Registrar General. The full process typically takes 60–90 days for a straightforward transaction.

Getting a Residence Permit Through PDS

Once the sale is registered and the purchase price meets the USD 375,000 threshold, your notary issues a certificate which you submit to the Economic Development Board (EDB) together with your passport and a health declaration. The permit is typically issued within 10 working days and is valid for as long as you own the property.