Can foreigners buy property in Hurghada?

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SANDSOFWEALTH

A team specialized in real estate investing in MENA countries (Egypt, Morocco, UAE, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Egypt. If you'd like to learn more about us, you can check our presentation page.

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At SandsOfWealth, we explore the Egyptian real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Cairo, Hurghada, and Sharm El Sheikh. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

Can foreigners legally buy property in Hurghada or are there any restrictions compared to Egyptian citizens?

Yes, foreigners can legally buy property in Hurghada, but they face several important restrictions that don't apply to Egyptian citizens.

The Egyptian government allows foreign ownership in designated tourist areas like Hurghada, making it one of the most accessible Red Sea destinations for international buyers. However, foreigners are limited to owning a maximum of two residential properties for personal use, with a combined area not exceeding 4,000 square meters.

All foreign property purchases must receive approval from the Council of Ministers, a process that typically takes about two months to complete. Additionally, foreigners cannot resell their property within five years of acquisition without obtaining special permission from the Prime Minister's office. Agricultural land remains completely off-limits to foreign buyers throughout Egypt, including the Hurghada region.

Egyptian citizens face none of these ownership limits, approval requirements, or resale restrictions, giving them significantly more freedom in the property market. As of June 2025, these regulations remain strictly enforced to control foreign investment while still encouraging tourism-related development.

It's something we develop in our Egypt property pack.

What types of property can foreigners buy in Hurghada — apartments, villas, land — and are there any limits on number or size?

Foreigners can purchase apartments, villas, and commercial properties in Hurghada, but with specific limitations on quantity and total area.

For residential properties, foreigners are restricted to owning maximum two properties for personal use, whether apartments or villas, with a combined total area not exceeding 4,000 square meters. This means you could own one apartment and one villa, or two apartments, as long as the total area stays within the legal limit.

Commercial properties can be purchased by foreigners, but only through establishing an Egyptian company rather than as individual buyers. This route allows for more flexibility in terms of number and size of properties owned. Land purchases are heavily restricted - foreigners cannot buy agricultural land anywhere in Egypt, and military or restricted zones are also prohibited.

Many foreign investors work around the individual ownership limits by purchasing additional properties through Egyptian companies, which face fewer restrictions. The 4,000 square meter limit applies specifically to individual foreign ownership for personal use, making company structures an attractive option for larger investment portfolios.

As we reach mid-2025, these ownership limits remain unchanged and are strictly monitored by Egyptian authorities through the mandatory government approval process.

Do foreigners need to be residents of Egypt or hold a visa to buy property in Hurghada?

Officially, foreigners should have a residence visa to buy property in Egypt, but Hurghada's regulations are more flexible in practice, especially for purchases from developers.

Many foreigners successfully purchase property in Hurghada using only their passport, particularly when buying from established developers or working through power of attorney arrangements. The tourism-focused nature of Hurghada has led to more relaxed enforcement of residency requirements compared to other Egyptian cities.

For full legal registration and to obtain residence permits based on property ownership, a valid passport is sufficient to start the process. However, having residency or a valid visa becomes more important for certain steps like obtaining mortgages or accessing long-term benefits. Most developers and real estate agencies in Hurghada are experienced in helping foreign buyers navigate these requirements.

The property purchase itself can often proceed with just passport documentation, but buyers planning to use their investment for residence permit applications should ensure they meet all visa requirements. As of June 2025, this flexible approach continues in Hurghada's competitive tourism real estate market.

The residence permit benefits make the visa consideration worthwhile for serious investors looking to spend extended time in Egypt.

Is it necessary to be physically present in Hurghada during the property purchase process, or can it be done remotely?

Physical presence is not required for buying property in Hurghada, as the entire process can be completed remotely through power of attorney arrangements.

Many developers and real estate agencies in Hurghada offer comprehensive remote purchase services, allowing buyers to reserve, pay, and receive documentation by courier. The key requirement is establishing a valid power of attorney for a local representative, typically a lawyer or licensed agent, who can act on your behalf throughout the transaction.

While the buyer can remain abroad, the seller must be physically present at the notary office to authorize the property transfer. Your local representative handles all government approvals, document submissions to the Council of Ministers, and final registration procedures. The entire two-month approval process can proceed without the buyer being in Egypt.

Remote buyers typically handle property selection through virtual tours, online consultations, and detailed documentation provided by agents. Payment schedules are arranged through international transfers, and the final title deed (green contract) can be couriered to the buyer's home country once the transaction completes.

This remote purchase capability has made Hurghada particularly attractive to European investors who want Egyptian Red Sea properties without multiple trips to complete the transaction.

What is the full step-by-step process for foreigners buying property in Hurghada, and which documents are required?

The property purchase process for foreigners in Hurghada follows eight essential steps, from initial selection to final ownership registration.

Step	Action Required	Timeline
1. Property Selection	Choose apartment, villa, or commercial property	1-7 days
2. Reservation	Pay reservation fee to secure property	Same day
3. Legal Due Diligence	Lawyer checks title, ownership, encumbrances	1-2 weeks
4. Contract Signing	Both parties sign sale contract	1-2 days
5. Government Approval	Submit documents to Council of Ministers	8 weeks
6. Payment	Complete purchase according to schedule	During approval
7. Registration	Register at notary and Real Estate Publicity Department	1-2 weeks
8. Title Deed	Receive green contract (proof of ownership)	2-4 weeks

Required documents include valid passport, power of attorney (for remote purchases), proof of funds, completed government application forms, signed sale contract, and the seller's title deed. Additional documentation may be requested during the Council of Ministers approval process, which represents the longest phase of the transaction at approximately two months.

Do foreigners need to hire a local lawyer or notary in Hurghada to complete a safe real estate transaction?

Hiring a local lawyer is strongly recommended for foreign property buyers in Hurghada, while notary services are legally required for transaction completion.

A qualified Egyptian lawyer provides essential services including title verification, ownership history checks, lien searches, and contract review to protect against common pitfalls like double-selling or undisclosed debts. Legal fees typically range from 1-3% of the property value, but this investment prevents much larger potential losses from fraudulent transactions.

The notary office registration is mandatory under Egyptian law to make the property transfer legally valid and enforceable. Without proper notarization, the purchase has no legal standing, regardless of money paid or contracts signed. The notary handles the official registration with the Real Estate Publicity Department and ensures all government requirements are met.

Local lawyers also navigate the Council of Ministers approval process, prepare required documentation in Arabic, and coordinate with notaries to ensure smooth transaction completion. Their knowledge of Hurghada's specific regulations and relationships with local officials can significantly expedite the approval timeline.

As of June 2025, the complex nature of Egyptian property law and the high stakes involved make professional legal representation essentially mandatory for foreign buyers seeking secure transactions.

What are the total taxes, government fees, legal costs and other expenses involved in buying, owning, and reselling property in Hurghada?

Property transactions in Hurghada involve several mandatory fees and ongoing costs that foreign buyers must budget for beyond the purchase price.

The registration fee represents the largest upfront cost at 3% of the property value, paid as a one-time expense during the official transfer process. Legal fees typically range from 1-3% of the property value for comprehensive services including due diligence, contract review, and transaction coordination. Utilities re-registration costs approximately $250 for water and electricity meter transfers to the new owner's name.

Ongoing ownership costs include annual property tax calculated at 10% of the annual rental value minus 30% for maintenance, though this is often waived or minimal for residential properties used personally rather than for rental income. Maintenance fees vary significantly by property type and development, ranging from $200-800 annually for apartments in managed complexes.

Resale transactions incur a 2.5% tax on the sale price, paid by the seller, plus new legal and registration fees for the buyer. The five-year resale restriction means most foreign owners hold properties longer term, reducing the impact of these exit costs. Administrative fees for document processing, translations, and government submissions typically add $200-500 to the total transaction cost.

It's something we develop in our Egypt property pack.

Can foreigners get a mortgage in Hurghada and if yes, what banks offer it, under what conditions, rates, and tips for approval?

Mortgages for foreigners in Hurghada are possible but rare, with most international buyers relying on developer financing instead of traditional bank loans.

Several Egyptian banks offer mortgages to foreigners, including QNB Egypt, Crédit Agricole (EHFC), and select international banks, but approval requirements are stringent. Banks typically require proof of Egyptian residency, local income documentation, or substantial Egyptian bank deposits to qualify for mortgage financing. Interest rates for residential properties range from 3-8% annually, but terms and conditions vary significantly between institutions.

Developer financing has become the preferred option for most foreign buyers, offering interest-free payment plans that don't require credit checks or extensive documentation. These arrangements allow buyers to spread payments over 2-5 years directly with the property developer, making the purchase process much simpler than traditional mortgage applications.

For traditional mortgage approval, banks require minimum down payments of 25-30%, proof of income at least three times the monthly payment amount, and often demand co-signers or additional collateral. The lengthy approval process can extend transaction timelines by several months, while developer financing can be arranged within days of property selection.

As we reach mid-2025, the vast majority of foreign property purchases in Hurghada utilize developer payment plans rather than conventional mortgages due to the simplified qualification process and competitive terms offered.

What are the common mistakes and pitfalls foreigners should avoid when buying property in Hurghada?

Foreign property buyers in Hurghada frequently encounter five major pitfalls that can result in significant financial losses or legal complications.

1. **Unclear ownership history verification** - Many buyers fail to thoroughly investigate property title history, leading to purchases of properties with disputed ownership, undisclosed liens, or double-selling schemes where the same property is sold to multiple buyers.2. **Working with unlicensed agents** - Using unregistered real estate agents or developers without proper licensing increases fraud risk and provides no legal recourse when problems arise during or after the transaction.3. **Skipping legal representation** - Attempting to navigate Egyptian property law without qualified local lawyers exposes buyers to contract issues, improper documentation, and failure to complete required government procedures.4. **Ignoring unpaid taxes and fees** - Purchasing properties with outstanding tax obligations, utility bills, or maintenance fees transfers these debts to the new owner, creating unexpected financial burdens.5. **Missing the green contract requirement** - Some buyers accept preliminary contracts or developer agreements without ensuring they receive the official green contract, which is the only legally recognized proof of ownership in Egypt.

Additional risks include inadequate property inspections, unrealistic rental yield expectations, and insufficient understanding of the five-year resale restriction. The most successful foreign buyers engage experienced legal teams, verify all documentation thoroughly, and work only with licensed, established developers in Hurghada's competitive market.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Egypt versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

Which neighborhoods in Hurghada are the most popular with foreigners for living, renting out or investment, and why?

Six key neighborhoods in Hurghada attract the majority of foreign property investment, each offering distinct advantages for different buyer profiles.

**Sahl Hasheesh** stands as the premium destination, featuring luxury villas and apartments in gated communities with high-end amenities, private beaches, and golf courses. This area commands the highest property prices but offers excellent rental yields from affluent tourists and expatriate residents seeking upscale accommodations.

**El Gouna** operates as a self-contained resort town with international schools, marinas, golf facilities, and European-style architecture that appeals strongly to Western European buyers. The area's comprehensive infrastructure and year-round activities generate consistent rental demand from both tourists and long-term expatriate residents.

**Al Ahyaa** represents the growing affordable investment sector, offering newer developments at lower entry prices with strong potential for capital appreciation. Many foreign investors target this area for buy-to-let strategies, capitalizing on increasing tourism demand and limited supply of quality rental properties.

**El Mamsha** attracts buyers seeking vibrant beachfront living with its modern apartment complexes along the famous promenade. The central location provides easy access to restaurants, shopping, and entertainment, making properties highly rentable to tourists preferring urban conveniences.

**El Kawther and Magawish** remain popular with budget-conscious foreign buyers, offering well-located properties near the airport and established tourist infrastructure at competitive prices, ideal for first-time investors in the Egyptian market.

What are the latest stats on property prices in Hurghada by neighborhood or zone, rental yields, tourism numbers, and market growth forecasts?

As of June 2025, Hurghada's property market shows strong performance across all key metrics, driven by record tourism numbers and increasing foreign investment.

Neighborhood	Apartment Prices (USD)	Villa Prices (USD)	Rental Yields
Sahl Hasheesh	$40,000 - $80,000	$150,000 - $300,000	6-8%
El Gouna	$35,000 - $70,000	$120,000 - $250,000	7-9%
Al Ahyaa	$15,000 - $35,000	$65,000 - $120,000	8-10%
El Mamsha	$25,000 - $50,000	$85,000 - $150,000	7-9%
El Kawther	$20,000 - $40,000	$70,000 - $130,000	6-8%
Magawish	$18,000 - $38,000	$68,000 - $125,000	7-9%
El Hadaba	$22,000 - $45,000	$75,000 - $140,000	6-8%

Tourism statistics show Hurghada welcomed over 3.2 million visitors in 2024, representing a 15% increase from 2023 levels. This growth drives strong rental demand, with average occupancy rates of 70-85% in well-managed properties during peak seasons. The Egyptian government's infrastructure investments, including airport expansions and new resort developments, support continued tourism growth projections of 8-12% annually through 2027.

Market forecasts indicate property prices will continue rising 5-8% annually, driven by limited supply of quality developments and increasing international tourism. Rental yields remain attractive at 5-10% annually, significantly outperforming many European coastal destinations.

It's something we develop in our Egypt property pack.

Are there any visa or residency benefits for foreigners who own property in Hurghada, and how do they work?

Foreign property owners in Hurghada can obtain renewable residence permits based on their real estate investment, with benefits scaling according to property value.

Properties worth at least $50,000 qualify owners for a one-year renewable residence permit, while higher investment levels unlock longer permit durations. Investments of $100,000 typically secure two-year permits, while $200,000+ investments can qualify for five-year renewable residence permits. These permits allow extended stays in Egypt without tourist visa limitations.

Residence permit holders can sponsor immediate family members including spouses and dependent children, making this attractive for families considering relocation or extended stays. The permits also facilitate opening Egyptian bank accounts, obtaining local mobile phone contracts, and accessing various services typically restricted to residents.

While property ownership doesn't grant Egyptian citizenship, a separate citizenship-by-investment program exists for larger investments starting at $300,000, though this requires additional documentation and approval processes beyond standard property purchases. The residence permit process can often be managed remotely through lawyers and agents, similar to the property purchase itself.

As of June 2025, these visa benefits make Hurghada property investment particularly attractive to European and North American buyers seeking flexible Middle East and Africa access, with the Red Sea location providing year-round lifestyle advantages and strong rental income potential.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

1. SandsOfWealth - Egypt Real Estate for Foreigners
2. Global Property Guide - Egypt Buying Guide
3. Oro Beach Hurghada - Foreign Buyer Guide
4. Hurghadians Property - Property Law Guide
5. ElBayt - Ultimate Foreign Buyer Guide
6. MultiLaw - Egypt Real Estate Guide
7. GoInvestment - Hurghada Investment Guide
8. Wise - Buying Property in Egypt
9. Ideal Home Red Sea - Visa Benefits
10. Integra Dom - Foreign Rights Guide