Egypt residency is to be made available to overseas property investors who acquire property worth a minimum of $100,000.
The North African country has followed in the footsteps of many others in offering Egypt residency in return for property investment to help boost an already surging property market.
The central government is keen to promote the real estate market to increase foreign direct investment (FDI) in the country. Under the new law, a one-year Egypt residency permit will be granted to foreigners who buy a property for as little as $100,000.
Three- and five-year Egypt residency permits will be granted for property purchases worth $200,000 and $400,000 respectively. These measures imitate similar residency programmes previously adopted in countries such as Spain and Portugal which helped boost their property markets.
Egypt’s private property developers welcomed the decision as a positive step to attract more foreign investment into Egypt’s promising property market.
The country offers a range of luxury property at significantly lower prices compared to similar property elsewhere.
Furthermore, a series of mega-projects such as the flagship New Administrative Capital, the coastal New Alamein City and the Suez Canal Economic Zone adjacent to the newly-expanded Suez Canal, will encourage additional investments.
Many private property developers are launching new developments across the country to take advantage of the booming market and potential overseas property investor interest to come from the new measures.
To address affordability, and because the market is largely cash based with a small proportion of mortgage transactions, off plan property developers are often offering extended payment plans for up to ten years with no added interest.
The Red Sea Riviera is an international destination regarded as one of the finest diving spots in the world. The United Nations World Tourism Organisation revealed in its annual report that Egypt received approximately 8.5 million tourists in 2017 – a 55.1 per cent year-on-year increase – making it the world’s fastest growing tourist destination.
British overseas property investors may wish to dive in and test the water.