Property Buying Guide for Egypt

From iconic pyramids to medieval markets and a vibrant contemporary culture, Egypt is a territory that is packed with captivating treasures. The country is a prime destination for tourists and it also provides wonderful opportunities to international expatriates living and working there, as well as to those who are wishing to relocate to Egypt in future. Everyone wants to visit the Valley of Kings, the Pyramids, the Nile Cruise and Abu Simbel, but sadly, Egypt has one of the lowest rates when it comes to return visits and relocation. The reason for this is lack of awareness.

There is no doubt that Egypt has endless opportunities when it comes to visiting and exploring landmarks and monuments, but in reality Egypt is more than just that. People come to Egypt in order to experience desert treks, nature, scuba diving, golf, bird expeditions, fishing – and shopping!

Egypt - which is officially called the Arab Republic of Egypt - covers an area of approximately 1,010,000 square kilometers (390,000 sq mi). The country is bordered by the Mediterranean Sea from the north, the Red Sea to the east, the Israel and Gaza Strip to the northeast, Libya to the west and Sudan to the south.

In the past two years, the nature of the overseas real estate market has changed considerably. Before, people were interested in buying property in major countries such as Spain, France and Portugal. However, the real estate market has changed drastically and now people are motivated to buy properties in different countries because of increased travel and business. Egypt is one of the countries where people have started to focus, in particular through Marsa Alam, Hurghada and Sharm El Sheikh.

Because of the emerging real estate market in Egypt and expanding tourism industry, the region is developing throughout. Egypt was previously known only for ancient Pyramids and the glorious cruises in the Nile region but today the emphasis has shifted towards major resorts - especially those which offer easy access to the Red Sea.

According to a recent study on the tourism industry of Egypt, the estimated growth of the industry has been reported to be around 6% for 2010. This has made a great impact on the Egyptian property market too. This is a considerable amount of improvement compared to global figures that have been severely affected by the global financial crisis. Today, the Egyptian tourism industry is emerging much stronger than ever before as there are a number of low-cost airlines and package-deals that are being offered for travel to Egypt.

There are several other reasons that account for the growth of the real estate market in Egypt. Tourists willingly choose this extremely beautiful part of the world because of the suitable seasonality it offers. Egypt has a stunning year-round climate and some of the most beautiful beaches in the world. It is also one destination that can cater to all ages. The popular Red Sea region offers an amazing water sports and SCUBA diving activities.

If you compare the Egyptian real estate market with traditional overseas property markets, you'll find that prices of property in Egypt are quite attractive and also offers great potential for long-term results. Because of this, the amount of foreign investment in the property market is high. In fact, in the last two years, investors have capitalized on the Egyptian property market because of the tremendous potential for growth.

There are a number of Egyptian property developers who are encouraging investment in real estate by foreigners. To make the proposal even better they are offering incentives, bank backed guaranteed rental returns etc. The price of apartments starts from as low as £12,000. 

The Egyptian property market has large amounts of beachfront land that are still due for development. These properties are situated along the Red Sea coastline. The Marsa Alam region in particular (towards south Egypt), offers substantial development prospects. A number of new and major property developments have already been announced in this region. Right now there are big opportunities for buying afforable property here. In future, these properties can give high returns.

The majority of international expatriates work and live in Cairo, Egypt. However in Alexandria, Luxor, the Red Sea resorts and the Mediterranean Sea resorts, the number of expatriates is growing. It has been estimated that approximately 30,000 Northern Americans and Europeans expatriates are currently living in Cairo and enjoy the excellent social atmosphere, support and business networking environment.
Egyptians pay a lot of importance to traditions and customs. In fact, it is their general way of living and this is what attracts the majority of Western expatriates to this country. There are organizations such as ‘Community Services Association’ or CSA in el Maadi, Cairo that are meant to serve the entire international community that is living and working in Egypt. This community offers everything from Arabic classes, to sessions and seminars, for those who have newly arrived in Egypt and who want to learn more about fundamentals of Egyptian living.

In summary, it would be appropriate to say that the real estate market in Egypy is healthy and justified. Right now, both tourism and real estate are at the early stages of development - and with property prices remaining almost steady in the past 12 months – they can only promise to grow.