Morocco weighs 20% rent cut as it moves to rein in Airbnb-style rentals

Morocco weighs 20% rent cut as it moves to rein in Airbnb-style rentals
Tuesday 13 January 2026 - 13:00

The Moroccan government is considering measures to lower apartment rents by up to 20% and tighten regulations on short-term rentals such as Airbnb, as it seeks to ease pressure on housing costs and curb speculation.

The proposed reforms aim to make housing more affordable, particularly for middle-income households, and to prevent investment-driven demand from pushing prices even higher.

Speaking in parliament on Monday, Housing Secretary of State Adib Benbrahim said home prices and rents have surged in recent years, especially in major cities where employment opportunities, health care and public services attract more residents than limited land can accommodate.

As buildable land becomes increasingly scarce in urban centers, property purchase prices have risen sharply, with rents following the same trend, he said.

To address the issue, the government is preparing a new rental housing scheme expected to deliver its first results by March. Under the plan, apartments would be offered at rents at least 20% below prevailing market rates.

One option under consideration would allow tenants to count part of their rent toward eventual ownership, enabling them to buy the property at the end of the contract.

Benbrahim said the initiative is primarily aimed at middle-income households, which he described as the group most affected by rising rental costs.

The government is also concerned about investors purchasing homes solely for resale or rental profit, a practice officials say fuels speculation and further drives up prices.

“This pressure ultimately falls on ordinary citizens, who are forced to pay higher rents,” Benbrahim said.

Short-term rentals have emerged as another growing challenge. Homes that once served as long-term housing are increasingly being converted into temporary accommodations through platforms such as Airbnb.

Benbrahim said banks are showing a growing preference for financing such projects, a trend he warned could worsen housing shortages. Urban planning regulations clearly define zones designated for tourism, he added, raising concerns about the spread of short-term rentals into residential neighborhoods.

The government now plans to impose stricter regulations on short-term rentals to prevent them from operating freely across all residential areas.

On social housing, Benbrahim said Morocco’s long-running “Cities Without Slums” program continues to make progress.

By the end of 2025, more than 382,000 families had benefited from the initiative, and 62 cities and urban centers were officially declared slum-free.

A new five-year program running from 2024 to 2028 aims to support 120,000 families nationwide, with no city excluded. Private developers are involved in delivering housing units priced below 300,000 Moroccan dirhams ($30,000), with some beneficiaries paying as little as 100,000 dirhams after state support.

The program is expected to be completed in early 2028, with continued monitoring planned to prevent the re-emergence of informal settlements.

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