When browsing various real estate listings in the Kingdom, it appears that some properties are offered for sale without a land title. The proposed price may seem attractive and entice some individuals to purchase an untitled property in Morocco. However, this is a risky real estate transaction that is not advisable. Buying a melkia (untitled property) can bring the new owner a number of issues in the short or long term. In fact, the lack of guarantees characterizes this type of real estate transaction. This is why it is recommended to look for a titled property when investing in real estate in Morocco.
What is an untitled property or melkia ?
In Morocco, the land tenure system follows a dual legal framework:
- Contemporary law governs titled properties based on the Dahir of August 12, 1913, concerning the registration of real estate.
- Islamic law governs untitled properties, or melkia, and establishes possession, or hyazat.
An untitled property refers to vacant or built land, a building, or any other real estate asset that has not been registered with the ANCFCC (National Agency for Land Conservation, Cadastre, and Cartography). It is traditionally called melkia or an adoulaire property. Ownership is based on peaceful, public, and uninterrupted possession (for at least 10 years in most cases) and exercised in the eyes of third parties as an owner. This is formalized through the drafting of a moulkiya (a handwritten deed of ownership) by an adoul (a legal official similar to a notary in Islamic law).
These untitled properties are common in rural areas and are often co-owned among heirs. They are usually offered at very attractive prices. However, purchasing an untitled property in Morocco can expose buyers to problematic situations that could jeopardize their ownership rights.
Buying a melkia, a risky real estate transaction
Whether you are Moroccan, a Moroccan residing abroad (MRE), or a foreigner (resident or non-resident), acquiring a melkia is a high-risk operation that could result in a total loss of ownership rights.
An imprecise definition of the property
The main drawback of the moulkiya is that it does not precisely define the property. This document does not specify essential details such as boundaries, topographical limits, land charges, or easements, unlike a land title.
No protection against ownership claims
Purchasing an untitled property in Morocco also exposes buyers to potential ownership disputes. These may arise, for example, from co-owners (indivisaires) who were not consulted during the sale, or a neighbor who claims possession rights. It is particularly difficult to determine all rightful owners of a melkia especially if it has been passed down through generations.
Ownership disputes represent a major risk when buying an untitled property. These disputes may arise during the transaction or years later. Many European buyers have found themselves in court trying to defend their ownership rights against property claims.
The registration request: A long and uncertain process
If you purchase a melkia, you must initiate a registration request with the ANCFCC to convert the untitled property into a titled one, thus securing all legal guarantees.
This process follows five steps:
- Submission and registration of the property’s registration request.
- Publication of the request in the Official Bulletin and display at the Court of 1st Instance and the Municipal Council.
- Land surveying and preparation of the property plan (or topographical plan).
- Publication and display of the notice of survey closure.
- The registrar’s decision:
- Approval and registration of the property.
- Referral to court if objections arise during the process.
- Rejection of the registration request.
If you still wish to buy a melkia, it is strongly recommended to include in the sales agreement a suspensive clause making the purchase conditional on obtaining a registration request number. This will protect you from potential claims or objections.
Buying a titled property: A real estate transaction with legal guarantees
Purchasing an untitled property in Morocco presents many risks and does not provide the same level of legal security as a titled property transaction.
A definitive land title
Once registered, the property is clearly identified and marked. Its land title is final and cannot be contested.
Easier access to bank loans
Most banks require a definitive land title before granting a mortgage. This serves as a protection for both borrowers and financial institutions.
Impact on property value
A property’s value increases significantly once it receives a land title. This is an important factor for investors purchasing real estate for speculative purposes.
Protection of heirs in case of resale
By purchasing a titled property, you protect your heirs, ensuring that they inherit a secure, indisputable asset.
