From heaven to hell: the drama of Mauritius
In the collective imagination, the term Mauritius immediately makes us think of a real paradise on earth. Long white beaches, crystal clear sea and a perfect climate. The typical holiday. In short, in our mind, a feeling of relaxation and well-being immediately materializes. The desire to invest in national real estate has always been common to many. Considering also the very low cost of living, it is not surprising that, in recent years, tourism has been the engine that has most influenced the national real estate. A flourishing period that however has dramatically stopped.
With the arrival of the Covid -19 also in dream locations like Mauritius, the problems were not few. And it is for this reason that today we decided to analyze those that have mainly affected this so enchanting state. It is clear how Coronavirus changed the cards on the table, even in the places that showed signs of growth. Especially with regards to real estate.
The actual blockade in Mauritius began on March 20, by decree. A lethal closure, which has prevented many potential investors from pouring into the local real estate. In fact, many transactions which, shortly thereafter, would have resulted in deeds of sale. But unfortunately it was necessary to 'freeze' everything. But what has impacted even more on local real estate has not revealed its effects in the immediate future. Being a land with a tourist vocation, there are few alternative services and activities. Also in terms of supplies, Mauritius is based on international relations with their other exporting countries. Rationalized resources means an increase in the cost of the same.
And, in the medium to long term, it will also lead to a considerable increase in the cost of living. As you can guess, it is a chain reaction, which occurred in perhaps the heyday of the nation. But that is not all. Mauritius' health system is not the best and, as can be deduced, its collapse was inevitable. It is therefore not surprising that the title of our column today, which sums up just how this nation has gone from being a paradise for everything to a 'hell for the locals. Property owners do not find a sufficiently valid and wide demand to be able to sell homes at a price proportionate to the value of the property. On the other hand, uncertainty on the part of investors remains. Considering also the doubts deriving from the problems that emerged in the last period, many have decided to back off, before investing in the national brick.
Obviously it is not easy to define the dimensions of the crisis nor to hypothesize a real end to this very critical parenthesis. What we recommend to do, based on the considerations made by the experts, is to stall. Leaving the purchase of a property on standby is the only wise solution at the moment. Only once everything has unfolded will it be possible to act accordingly!
With the arrival of the Covid -19 also in dream locations like Mauritius, the problems were not few. And it is for this reason that today we decided to analyze those that have mainly affected this so enchanting state. It is clear how Coronavirus changed the cards on the table, even in the places that showed signs of growth. Especially with regards to real estate.
The actual blockade in Mauritius began on March 20, by decree. A lethal closure, which has prevented many potential investors from pouring into the local real estate. In fact, many transactions which, shortly thereafter, would have resulted in deeds of sale. But unfortunately it was necessary to 'freeze' everything. But what has impacted even more on local real estate has not revealed its effects in the immediate future. Being a land with a tourist vocation, there are few alternative services and activities. Also in terms of supplies, Mauritius is based on international relations with their other exporting countries. Rationalized resources means an increase in the cost of the same.
And, in the medium to long term, it will also lead to a considerable increase in the cost of living. As you can guess, it is a chain reaction, which occurred in perhaps the heyday of the nation. But that is not all. Mauritius' health system is not the best and, as can be deduced, its collapse was inevitable. It is therefore not surprising that the title of our column today, which sums up just how this nation has gone from being a paradise for everything to a 'hell for the locals. Property owners do not find a sufficiently valid and wide demand to be able to sell homes at a price proportionate to the value of the property. On the other hand, uncertainty on the part of investors remains. Considering also the doubts deriving from the problems that emerged in the last period, many have decided to back off, before investing in the national brick.
Obviously it is not easy to define the dimensions of the crisis nor to hypothesize a real end to this very critical parenthesis. What we recommend to do, based on the considerations made by the experts, is to stall. Leaving the purchase of a property on standby is the only wise solution at the moment. Only once everything has unfolded will it be possible to act accordingly!
