How off-plan (VEFA) works in Morocco

Off-plan in Morocco has a detailed legal framework, the VEFA (vente en l’état futur d’achèvement), but much of the market works around it. Many developers sell on simple reservations instead. As a broker, your job is to know what the law protects, spot when a deal sits outside it, and explain the difference to the buyer before money moves.

The short version

1. Off-plan sales are governed by Law 44-00, amended by Law 107-12, inside the Code of Obligations and Contracts.
2. The law sets two steps: a reservation contract once the building permit is issued, then a preliminary contract, also allowed once the building permit is issued (Art. 618-5). Since 16 July 2026 it must be an authentic deed drawn up by a notary or adouls.
3. Payments follow a legal schedule: 5% + 5% + 10% + 60% + 20%, tied to the progress of works.
4. The developer must give a bank or insurance guarantee covering the buyer’s advances.
5. Many developers prefer informal reservations, sometimes backed only by a receipt. That leaves the buyer with little protection.
6. The direct housing aid (MAD 70,000 or 100,000) is for Moroccan first-time buyers of new homes, and is paid at the final sale.

The legal framework

Law 44-00 created the VEFA chapter of the Code of Obligations and Contracts, and Law 107-12 amended it, notably by bringing in the reservation contract. Until July 2026, VEFA contracts could be drawn up as an authentic deed (by a notary or adouls) or as a deed with a fixed date by an approved professional, such as a lawyer admitted to the Court of Cassation. Law 41.25, published in the Bulletin officiel on 16 July 2026, removed that second route: the preliminary contract must now be an authentic deed by a notary or adouls, or it is void. Any clause that goes against the law is void.

Ownership does not pass when the buyer signs. It passes only when the final deed is recorded at the conservation foncière, after completion. Until then, the developer stays the owner of the project.

The reservation contract

Once the building permit is issued, the developer may sign a reservation contract and take an advance. It must state the parties, the land title number (or references if titling is in progress), the permit number and date, a description and approximate area of the unit, the price per square metre, the payment terms and the delivery date. The payment schedule must be shown at this stage.

The buyer can withdraw within one month of signing. The developer must then refund the full advance within 7 days.

The preliminary contract

Under Article 618-5 of the current text, the preliminary contract can be signed once the building permit is obtained. Older guides, written before Law 107-12, still say it must wait for the ground-floor foundations; today the foundations are only the first of the three construction payment stages. Attached to it: certified copies of the architectural plans, the reinforced concrete plans and the specifications. The developer also draws up a cahier des charges (specifications covering works, equipment and deadlines), signed by both sides. These documents, and the co-ownership rules where relevant, are filed at the conservation foncière (or at the court registry for untitled land).

Payment stages

The legal schedule, as described in the 2016 interview:

Stage	Share of price
Signing the reservation contract	5%
Signing the preliminary contract	5%
Start of works	10%
Three instalments tied to construction milestones (structural works, finishing works, occupancy permit)	60%
Handover of keys and signing of the final deed	20%

The split of the 60% across its three stages is agreed between the parties.

Worked example

Example figures: a buyer reserves a MAD 1,200,000 flat in a VEFA project in Rabat. The contract splits the 60% into three equal parts.

Stage	Working	MAD	Paid so far
Reservation contract	5% x 1,200,000	60,000	60,000
Preliminary contract	5% x 1,200,000	60,000	120,000
Start of works	10% x 1,200,000	120,000	240,000
Structural works	20% x 1,200,000	240,000	480,000
Finishing works	20% x 1,200,000	240,000	720,000
Occupancy permit	20% x 1,200,000	240,000	960,000
Keys and final deed	20% x 1,200,000	240,000	1,200,000

After the structural works stage, the buyer has paid 40%. Once the finishing works instalment is paid, they have passed 50% (60% here), which opens the right to register a conservatory seizure on the title (see below). On top of the price, the buyer pays registration duty, land registry duty and notary fees at the final deed, roughly 6.5% to 7% for a built property. Every instalment should go by bank transfer: since 1 July 2026, cash paid on a sale above MAD 300,000 attracts an extra 2% duty.

Guarantees

At the preliminary contract, the developer must give the references of a guarantee that refunds the buyer’s advances if the developer fails. Accepted forms are a bank completion guarantee, a bank refund guarantee or an insurance policy. The professional drafting the contract should not release the buyer’s money to the developer until that guarantee is proven.

A buyer who has paid more than 50% of the price can register a conservatory seizure (saisie conservatoire) on the land title. This right cannot be removed by a contract clause. It stays on the title until the buyer’s ownership is registered, and it can be turned into an enforceable seizure if the developer misses the deadline or delivers something non-compliant.

The reservation trap

Finances News reported in March 2023 that VEFA transactions remain “very minimal”: developers prefer reservation deals they see as less constraining. In some cases there is no contract at all, just advance payments against a simple receipt, with no guarantee on the deadline or the specifications. An expert quoted in the article cited the Bab Darna affair as the textbook example of where this leads, and noted that court cases take two to three years on average.

How to spot it:

• The document says “bon de réservation” or “reçu” but has no permit number, no title number and no delivery date.
• No guarantee reference, no cahier des charges, no notary or authorised drafter.
• Money is asked before the building permit exists.
• Payments go to a person, or in cash.

If the developer will not sign a proper reservation contract, tell the buyer plainly what they are giving up.

What to check on the developer and the project

• The building permit: number, date and that it covers this phase. No permit, no legal reservation.
• The land title: request a land registry certificate showing the developer as owner and any bank mortgage on the land.
• The guarantee: name of the bank or insurer and the reference.
• The developer’s delivered projects and how late they were. Visit one and talk to owners.
• Disputes in the press or before the courts.
• The contract: delivery date, delay remedies, specifications, area tolerance, and what happens to the advance if the buyer cancels.

Delays and what the buyer can do

The developer may extend the delivery deadline by six months, but must notify the buyer at least one month before the original date. After that, according to the lawyer quoted by Finances News, a buyer facing a late delivery can terminate the contract without penalty and claim an indemnity of 20% of the sums advanced. When either side ends a contract through the other’s fault, the injured party can claim 15% of the payments once the structural works are finished, or 20% once the occupancy permit is issued.

ReaConsult, writing in June 2026, lists the usual route in practice: a formal notice by registered letter setting a new deadline, then the delay penalties written into the contract (it says these typically run at 0.1% to 0.5% of the price per month, as a market practice, not a legal rate), then a court claim to cancel with a refund, plus damages such as rent paid while waiting. It cites a 2021 Casablanca commercial appeal ruling that ordered a developer to refund MAD 332,500 plus MAD 20,000 in damages. The guarantee and the conservatory seizure are what make these remedies worth something, which is why the buyer should insist on them from day one.

The direct housing aid and new homes

The government’s direct housing aid runs from 2024 to 2028. According to Medias24:

• MAD 100,000 for a home priced up to MAD 300,000 including tax, and MAD 70,000 for one priced above MAD 300,000 and up to MAD 700,000.
• The buyer must be of Moroccan nationality (MRE included) and must not own a home in Morocco.
• The home must be sold for the first time, have at least two rooms, and hold an occupancy permit dated 1 January 2023 or later.
• The buyer applies on daamsakane.ma, signs the compromis within 30 days of approval, and the aid is paid to the notary, who then has the final deed signed.
• The buyer gives the State a mortgage and must live in the home as a main residence for five years, or repay the aid.

For off-plan, the key point is timing: because the home needs an occupancy permit, the aid arrives at the final sale, not during construction. Example figures: a Moroccan first-time buyer purchases a new MAD 650,000 flat; the aid is MAD 70,000, so the buyer funds MAD 580,000 plus costs. From 2026, co-owners can also apply. By June 2026, more than 105,000 households had benefited, 24% of them MRE. A foreign buyer cannot use it.

Red flags

• A reservation before the building permit, or with only a receipt.
• No guarantee reference in the preliminary contract.
• A developer with no delivered projects you can visit.
• Cash payments, or payments to a personal account.
• A promised delivery date that is not written in the contract.

Off-plan rules in Morocco were checked on the date shown above. This guide is general information, not legal advice. CloserPass is not affiliated with any developer or authority.

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