Property Taxes and Fees in Mauritius: What Buyers and Sellers Pay

Buyers in Mauritius typically pay registration duty (commonly around 5% for citizens, with different rates and minimums for foreign buyers under schemes such as PDS), plus notary fees of roughly 1–2% of the purchase price, while sellers generally pay land transfer tax of around 5%, often shared or negotiated between the parties by agreement. These are indicative figures — actual rates depend on buyer nationality, the type of scheme, and any exemptions in force, so confirming current rates with a notary before signing is essential.

This guide summarises the main costs involved in a typical residential transaction, from reservation through to completion.

Costs for Buyers

Registration Duty

Registration duty (droit d'enregistrement) is payable on most property transfers, calculated as a percentage of the purchase price or the government-assessed value, whichever is higher. Rates and any minimum thresholds can differ depending on whether the buyer is a Mauritian citizen, a non-citizen, or purchasing through a scheme such as PDS or Smart City, so it is worth confirming the applicable rate for your specific transaction type before budgeting.

Notary Fees

All property transfers in Mauritius must go through a notary, who prepares and registers the deed of sale. Notary fees are generally calculated on a sliding scale relative to the property price, and cover the legal work of verifying title, drafting the deed and handling registration formalities.

Foreign Buyer Considerations

Non-citizens buying under schemes such as PDS, Smart City or qualifying G+2 apartments should factor in scheme-specific administrative costs alongside standard registration duty and notary fees. Our guide to residency through property investment covers the investment thresholds that also affect eligibility and cost planning.

Other Buyer Costs to Budget For

• Property valuation or survey fees, if commissioned independently.
• Bank arrangement fees, if financing the purchase with a mortgage.
• Ongoing costs such as property management fees if the property will be rented out or is a second home.

Costs for Sellers

Land Transfer Tax (Capital Gains-Style Duty)

Sellers typically pay land transfer tax on the sale of immovable property, generally calculated as a percentage of the sale price. In practice, some transactions see this negotiated between buyer and seller as part of the overall deal, so it is worth clarifying who bears which cost early in negotiations — our selling guide covers this in more detail.

Agency Fees

Estate agency commission is usually paid by the seller and is agreed as a percentage of the sale price at the time the property is listed. This is separate from notary and transfer tax costs.

Exemptions and Special Cases

Certain transactions, such as sales between close family members or specific first-time circumstances, may qualify for reduced rates or exemptions. These are worth investigating with a notary rather than assuming standard rates apply.

Annual and Ongoing Property Taxes

Land and Building Tax / Local Council Rates

Property owners may be liable for local municipal or district council rates depending on the property's location and classification. These are generally modest compared to transaction taxes but should be factored into annual ownership costs, especially for rental property owners tracking net yield.

Income Tax on Rental Income

Rental income earned in Mauritius is subject to income tax under the standard regime, with allowable deductions for certain expenses. Non-resident owners should check their obligations both in Mauritius and in their home country, ideally with a tax adviser familiar with both jurisdictions.

A Simplified Example Walkthrough

For illustration only (not a quote): on a property priced at MUR 10 million, a buyer might see registration duty plus notary fees amounting to a low-to-mid single-digit percentage of the price, while a seller might see land transfer tax and agency commission take a comparable bite from the proceeds. Because exact rates depend on buyer status, scheme type and negotiated terms, always request a written cost estimate from your notary before signing a reservation agreement.

How to Plan Ahead

• Request an itemised cost estimate from your notary as soon as you have a property in mind, whether through buy or land listings.
• If selling, get a clear breakdown of transfer tax and agency commission before agreeing a net price — see our insights hub for related guides.
• Factor annual holding costs into any rental yield calculations, particularly if working with a property management company.

Talk to Olaya Properties

Understanding the full cost picture — not just the headline price — is essential to a smooth transaction. Our team can walk you through likely costs on a specific property, whether you are buying, selling, or investing via a development.

• Phone: +230 5511 1510
• Email: sales@olaya.mu
• Contact us for a personalised cost breakdown before you commit.

Fees Specific to PDS and Smart City Purchases

Beyond standard registration duty and notary fees, buyers in PDS or Smart City schemes should budget for scheme-specific charges, which can include a one-off development or infrastructure contribution, as well as ongoing service charges covering shared amenities such as pools, gardens and security. These charges vary significantly between developments, so requesting the service charge schedule before signing a reservation agreement is a sensible step, particularly for buyers comparing several developments side by side.

Financing-Related Costs

Buyers taking out a mortgage with a Mauritian bank should factor in arrangement fees, property valuation fees required by the lender, and mortgage registration costs, which are separate from the registration duty paid on the sale itself. Interest rates and loan-to-value ratios for non-residents typically differ from those available to citizens, so it is worth comparing terms across a few local banks before committing to financing.

Practical Timeline of When Costs Fall Due

Understanding when each cost is payable helps with cash flow planning:

• At reservation: a reservation deposit, typically a small percentage of the purchase price, paid to secure the property while due diligence and financing are arranged.
• At signing of the deed of sale (or preliminary contract): a further deposit, often in the region of 10–25% depending on the transaction structure.
• At completion/registration: the balance of the purchase price, along with registration duty and notary fees.
• Ongoing: service charges, local council rates, insurance and, where applicable, income tax on rental receipts.

Getting Professional Advice

Because tax and fee rules can change and often depend on individual circumstances — nationality, scheme type, property value and intended use — buyers and sellers should treat this article as a starting framework rather than a final quote. A notary, and where relevant a tax adviser familiar with cross-border matters, should confirm exact figures before any contract is signed. Pairing this with guidance from our buying and selling resources can help ensure no cost is overlooked.