Property Financing in Mauritius for Foreign Buyers
Last updated: November 2026 Are you considering buying a holiday home in Mauritius? One option is to finance part of your purchase with a mortgage from a Mauritian bank. However, not all properties are eligible for financing on the same terms. Your options depend on the type of property, its price and your financial situation. Here is what to consider before making a purchase. PDS, SCS and G+2: What Do the Schemes Mean for Financing? Foreign buyers can purchase new-build properties in Mauritius under several government-approved schemes. Three particularly relevant to financing are PDS, SCS and G+2. Each has its own eligibility requirements and purchase conditions, which can also affect how you finance your purchase. PDS (Property Development Scheme) allows foreign buyers to purchase properties in approved residential developments, including villas and apartments. SCS (Smart City Scheme) applies to larger-scale developments known as smart cities. These projects combine residential properties with a range of amenities and facilities, including shops, services, business premises, workspaces, and other infrastructure. When buying under the PDS or SCS schemes, the first USD 750,000 must be paid from the buyer’s own funds transferred from abroad. If the property costs USD 750,000 or less, the full purchase price must be covered this way. For properties priced above USD 750,000, the remaining amount can be financed through a loan from a Mauritian bank, subject to its lending conditions. G+2 allows foreign buyers to purchase apartments in residential buildings with at least two floors above ground level. The minimum purchase price is MUR 6 million, equivalent to approximately USD 127,000, depending on the current exchange rate. Unlike the PDS and SCS schemes, G+2 does not have a specific financing requirement linked to the USD 750,000 threshold. Foreign buyers can apply for a mortgage from a Mauritian bank, with the amount available depending on the bank's lending criteria and the applicant's financial circumstances. In some cases, financing may cover up to 70% of the property's value. What Should You Know About Mortgages in Mauritius? When planning to finance a property purchase in Mauritius, there are three key factors worth considering: Loan-to-Value (LTV): LTV shows how much of a property value a bank is willing to finance. Foreign buyers may be able to borrow up to 70% of the property's value, depending on the bank and their financial situation. The remaining amount must be covered from their own funds. Interest rates: Mortgage interest rates for foreign buyers are generally quoted from approximately 5.5% per year. The actual rate may vary depending on the bank and the applicant's financial situation. Life insurance: Some banks may require borrowers to take out life insurance as a condition of mortgage approval. Can You Use an Existing Property to Finance a Purchase in Mauritius? A mortgage from a Mauritian bank is not your only financing option. If you own a property in your home country, you may be able to use it as security for a loan and put the funds toward your purchase in Mauritius. Depending on your country and lender, this may be a non-purpose mortgage or a similar property-backed loan. Unlike a standard purchase mortgage, this type of loan is not tied to a specific property and may offer greater flexibility in how you use the funds. Before choosing this option, compare the interest rate, maximum loan amount, repayment term, and any associated fees. Finally, check with your bank to see whether the loan can be used to finance a property purchase abroad. Questions to Ask Before Choosing a Property Before choosing a particular development, it is worth getting a few key questions answered: Which purchase scheme applies? If you are considering a newly built property, check whether it falls under the PDS, SCS or G+2 scheme and what purchase conditions apply. How much will you need to contribute yourself? Work out how much you will need to cover from your own funds and make sure to account for any additional purchase costs. What mortgage terms are available? Find out how much you may be able to borrow, what interest rate you can expect, and how long you can take to repay the loan. Are there any additional requirements? Check whether the bank requires life insurance or additional security for the loan. Are there alternative financing options? It may be worth comparing a mortgage from a Mauritian bank with a loan secured against a property you already own in your home country. We recommend exploring your financing options while you are still comparing developments. Having these answers early can help you choose a property that fits your financial circumstances. You will also have a clearer budget and a better idea of whether you can meet the developer’s payment schedule. Which Financing Option Should You Choose? A mortgage from a Mauritian bank can help finance your purchase. However, with interest rates starting at around 5.5% per year or higher, it may not always be the most cost-effective option overall. It is worth exploring other financing solutions too, depending on your country of residence and financial circumstances. At Zentima, we help you navigate the buying process and prepare a clear overview of the costs associated with your chosen property. Together with our mortgage partner, we also explore the financing options available to you, helping you make an informed decision based on reliable information.