Should I buy a riad as an investment?

Short answer: probably not. Riads in Marrakech can produce yield as short-term rentals, but the economics are harder than they look on paper and the risks are specific.

The headline rental figures sometimes quoted in foreign property press (8% to 12% gross yield on a well-located riad) are achievable but rest on assumptions that often don't hold. They assume 60%+ occupancy year-round, professional management, tight renovation quality, and no structural surprises. In practice, a foreign owner managing remotely through a local contact typically nets far less — often breaking even or modestly positive once vacancy, platform fees, maintenance, utilities, staff, and local taxes are accounted for.

The capital appreciation story is stronger. A well-bought riad in Laksour or Mouassine, renovated to a reasonable standard, has historically held value well and in many cases appreciated substantially since 2020. But the liquidity is poor — selling a riad in Marrakech takes months, not weeks, and requires the right buyer with the right budget. This is not a trade you enter for a two-year exit.

The buyers who do best with Moroccan property are generally the ones who want to spend time there themselves — the riad is a second home, a project, a reason to come back. If short-term rental income helps cover costs, that's a bonus. If the numbers have to justify themselves purely, the math is harder than it looks.