How to buy property in Egypt

Legal Process for Buying Property in Hurghada as a British Citizen

1. Select a Property: Begin by choosing a property that fits your budget and preferences, whether for personal use or investment.
2. Make an Offer: Once you’ve selected the property, submit a formal offer to the seller in writing, specifying the purchase price and sale conditions.
3. Sign a Preliminary Contract: If the offer is accepted, a preliminary contract will be created. This contract outlines the terms of the sale and is legally binding.
4. Conduct Due Diligence: Ensure the property is free from legal disputes, debts, or other issues before proceeding with the sale. It’s important to thoroughly verify the property’s status at this stage.
5. Finalize the Sale: Once due diligence is complete, the final contract is signed, and ownership is transferred. The property can be registered with the Egyptian government once all funds paid.

Financing Options for British Citizens

1. Cash Purchases: Many British buyers opt for cash purchases, especially for holiday homes or investment properties, as it simplifies the process and avoids the need for loan approval.
2. Egyptian Mortgages: Although mortgage options for foreigners are limited, British buyers can explore financing through Egyptian banks, particularly for properties in popular tourist areas like Hurghada. Mortgages are often based on the buyer’s income, credit history, and the property’s value.
3. Home Equity Loans: British citizens can also consider using home equity loans from UK lenders to finance property purchases in Egypt, leveraging the equity from their existing UK property to fund their investment abroad.
4. Developer finance: Downpayment ranging from 10% upwards and remaining payable with interest free installments. No credit checks are required and financing is guaranteed. The onus is on the buyers to calculate affordability.