Authored by the expert who managed and guided the team behind the Egypt Property Pack
Everything you need to know before buying real estate is included in our Egypt Property Pack
Foreign investors can legally purchase up to two residential properties in Egypt's major cities, each limited to 4,000 m² maximum. Property prices in Egypt have surged dramatically, with popular areas like New Cairo and Sheikh Zayed experiencing 175-180% price increases in 2024 alone, driven by currency devaluation and infrastructure development.
If you want to go deeper, you can check our pack of documents related to the real estate market in Egypt, based on reliable facts and data, not opinions or rumors.
Egypt's property market offers strong investment potential with gross rental yields ranging from 6.5% to 10%, particularly in New Cairo, Sheikh Zayed, and coastal resort areas.
Entry-level apartments start around EGP 2-3 million for 80-100 m² units, while luxury villas in prime locations can exceed EGP 100 million, with total first-year costs including taxes and fees adding 10-15% to the base price.
| Property Type | Price Range (EGP/m²) | Total Investment Range | Expected Gross Yield |
|---|---|---|---|
| Entry Apartment (80-100m²) | 20,000-30,000 | 2-3 Million | 7-8% |
| Mid-tier Apartment (100-150m²) | 25,000-40,000 | 3-6 Million | 6.5-7.5% |
| Luxury Villa (300-500m²) | 75,000-130,000 | 30-65 Million | 6-7% |
| Townhouse (200-350m²) | 40,000-70,000 | 8-25 Million | 6.5-7% |
| Resort/Coastal Property | 70,000-200,000 | 10-50 Million | 7-10% |
| Budget Area Apartment | 9,450-15,000 | 1-2 Million | 8+% |
What's your primary goal—live in it, rent it short-term or long-term, or buy to resell later?
Your investment strategy determines which Egyptian property markets offer the best returns and liquidity options.
For live-in purchases, focus on secure, amenity-rich districts with established expat communities. New Cairo, Katameya Heights, Sheikh Zayed, and Alexandria Corniche offer international schools, modern hospitals, and Western-style amenities that make daily life comfortable for foreign residents.
Short-term rental investments perform best in tourist destinations along the Red Sea and North Coast. Hurghada, Sharm El Sheikh, and North Coast resorts like Marassi generate gross yields up to 10% with seasonal occupancy rates reaching 48%. These properties command premium nightly rates during peak tourist seasons from December to March and June to September.
Long-term rental strategies work well in urban centers where consistent tenant demand exists. Cairo's business districts, Alexandria's revitalized areas, and Sheikh Zayed's residential compounds attract professional tenants willing to pay stable monthly rents, generating 6.5-7.5% annual yields.
Resale-focused investors should target early-stage developments in smart city zones like the New Administrative Capital and Mostakbal City, where government relocation plans and infrastructure projects drive long-term appreciation potential.
Which city and neighborhoods in Egypt are you targeting, and why those locations?
Egypt's property investment opportunities concentrate in five primary markets, each offering distinct advantages for different investor profiles.
Cairo's satellite cities—New Cairo, Fifth Settlement, Sheikh Zayed, and 6th October—lead for capital appreciation and rental demand. These areas combine modern infrastructure, international schools, shopping malls, and secure gated communities that appeal to both Egyptian professionals and expatriate families. Property values in these districts increased 175-180% in 2024, making them the fastest-growing residential markets.
Alexandria offers more affordable entry points with solid rental fundamentals. The Corniche waterfront district and Smouha neighborhood provide urban lifestyle amenities at lower price points than Cairo, with apartments starting around EGP 25,000-40,000 per square meter compared to Cairo's EGP 35,000+ premium areas.
North Coast and Red Sea resort destinations excel for vacation rental income and lifestyle purchases. Marassi, Sidi Abdel Rahman, El Gouna, and Sharm El Sheikh attract both domestic weekend visitors and international tourists, supporting higher rental rates and seasonal demand patterns.
The New Administrative Capital represents Egypt's most ambitious urban development project, with government ministries and international businesses gradually relocating there. Early investors benefit from pre-construction pricing and infrastructure development, though completion timelines carry execution risks.
It's something we develop in our Egypt property pack.
Which property types are you open to and do you prefer off-plan, new, or resale?
Egyptian residential property markets offer several distinct categories, each with specific liquidity, yield, and appreciation characteristics.
Apartments remain the most liquid option for foreign investors, with standard sizes ranging from 80-150 square meters for entry to mid-market units. These properties offer easier resale after the mandatory 5-year holding period and generate consistent rental income in urban locations.
Villas in gated compounds command the highest absolute prices—typically 300-500 square meters selling for EGP 30-65 million in prime areas—but offer luxury amenities, privacy, and strong appeal to high-net-worth tenants. Villa rental yields average 6-7% gross, slightly lower than apartments due to higher maintenance costs and smaller tenant pools.
Townhouses and twin houses provide middle-ground options at 200-350 square meters, popular with families seeking more space than apartments but lower costs than standalone villas. These properties work well for long-term rentals to professional families.
Resort units and chalets along the coast generate the highest yields—up to 10% gross—through short-term vacation rentals, though seasonal demand creates income volatility and higher management requirements.
Off-plan purchases offer 10-20% discounts to current market prices but carry construction delays and developer completion risks. New properties command premium rents and sale prices, while resale units provide immediate occupancy and established neighborhood dynamics. Given foreign ownership restrictions requiring 5-year holding periods, resale properties may offer better liquidity for investors needing flexibility.
What size and layout do you want and what's your minimum vs ideal?
Property size requirements in Egypt depend on your investment strategy, target tenant profile, and budget constraints across different market segments.
For apartments, 80-100 square meters represents the minimum viable size for rental income generation, typically featuring 2 bedrooms and 1-2 bathrooms. These units attract young professionals and small families, commanding rents around EGP 8,000-15,000 monthly in good locations. Ideal apartment sizes range from 120-150 square meters with 3 bedrooms, offering broader tenant appeal and higher absolute rental income.
Townhouse investors should consider 200 square meters as the minimum practical size, usually configured as 3-4 bedrooms across multiple floors. Ideal townhouse layouts range from 250-350 square meters, providing family-friendly features like private gardens, parking, and storage that justify premium rents.
Villa purchases work best at 300+ square meters minimum, with luxury compounds often featuring 400-500 square meter properties. These properties include private pools, landscaped gardens, and 4-5 bedroom layouts that appeal to executive families and affluent tenants willing to pay EGP 25,000-50,000+ monthly rents.
Resort properties operate differently, with smaller 60-80 square meter chalets generating strong vacation rental income through premium nightly rates rather than size-based pricing. Beach proximity and resort amenities matter more than interior square footage for these investments.
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What all-in budget are you comfortable with today, including taxes, legal, registration, developer fees, and furnishings?
Total property acquisition costs in Egypt include significant fees and taxes beyond the base purchase price that investors must factor into their budget calculations.
Base property prices vary dramatically by location and type. Entry-level apartments start around EGP 2-3 million for 80-100 square meters in decent neighborhoods, while mid-market units in premium areas like New Cairo cost EGP 4-6 million for 120-150 square meters. Luxury villas in top compounds range from EGP 30-100+ million depending on size and location.
| Cost Component | Percentage/Amount | Example (EGP 5M Property) |
|---|---|---|
| Legal & Agency Fees | 3-5% | EGP 150,000-250,000 |
| Transfer Tax | 2.5% | EGP 125,000 |
| Registration Fee | Max EGP 2,000 | EGP 2,000 |
| Furnishing & Fixtures | 5-10% | EGP 250,000-500,000 |
| Developer/HOA Setup | 1-3% annually | EGP 50,000-150,000/year |
| Insurance & Utilities Setup | 1-2% | EGP 50,000-100,000 |
First-year all-in costs typically add 15-20% to the base purchase price. A EGP 5 million apartment requires approximately EGP 5.8-6.2 million total investment including all fees, taxes, furnishing, and first-year operating expenses.
Ongoing annual costs include homeowners association fees (1-3% of property value), property management (5-10% of rental income), maintenance reserves, and property insurance.
For your shortlist, what are current asking and achieved prices with real examples in expensive, up-and-coming, and budget areas?
As of September 2025, Egypt's residential property market shows significant price variations across location and property segments, with recent transactions providing clear market benchmarks.
Premium areas command the highest prices per square meter. New Cairo's Fifth Settlement averages EGP 35,000-50,000/m² for quality apartments, with luxury compounds reaching EGP 60,000-80,000/m². Sheikh Zayed's Beverly Hills and Allegria compounds see villa prices at EGP 75,000-130,000/m², translating to EGP 30-65 million for 400-500 square meter properties. North Coast prime resorts like Marassi charge EGP 70,000-200,000/m² for beachfront units.
Up-and-coming areas offer better value with strong growth potential. The New Administrative Capital's residential districts average EGP 25,000-35,000/m² for apartments, while Mostakbal City ranges EGP 20,000-30,000/m². These areas benefit from government infrastructure investment and planned business relocations.
Budget-friendly options exist in established but less prestigious neighborhoods. Alexandria's non-waterfront areas start around EGP 25,000/m², while emerging satellite cities offer apartments from EGP 9,450-15,000/m². A typical 100-square-meter apartment in these areas costs EGP 1-2.5 million.
Recent transaction examples include: 120m² apartment in New Cairo's Moon Valley sold for EGP 4.2 million (EGP 35,000/m²); 350m² villa in Sheikh Zayed's Palm Hills achieved EGP 28 million (EGP 80,000/m²); 80m² North Coast chalet in Hacienda Bay reached EGP 6.4 million (EGP 80,000/m²).
It's something we develop in our Egypt property pack.
How have prices moved versus 5 years ago and 1 year ago, and what's driving the change?
Egypt's property market experienced unprecedented price acceleration, with the most dramatic increases occurring in 2024 following major economic policy changes.
Five-year price trends show steady appreciation until 2024's explosive growth. Properties in New Cairo, Sheikh Zayed, and 6th October that sold for EGP 12,000-15,000/m² in 2020 now command EGP 35,000-50,000/m², representing 180-230% total appreciation over the period.
The past year delivered extraordinary gains, with prime areas experiencing 175-180% price increases in 2024 alone. This surge followed Egypt's currency devaluation, IMF agreement implementation, and floating exchange rate adoption in March 2024. Properties that cost EGP 20,000/m² in early 2024 reached EGP 35,000-40,000/m² by year-end.
Primary price drivers include currency devaluation making real estate an inflation hedge, construction cost inflation increasing replacement values, and limited supply of quality properties in desirable locations. Foreign investment increased as dollar-denominated Egyptian real estate became relatively cheaper for international buyers despite local price increases.
Government infrastructure projects, including the New Administrative Capital, monorail construction, and highway expansions, added location premiums to properties with improved connectivity. Rising construction material costs and labor expenses also pushed new development pricing higher, supporting resale property values.
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.
What 1-, 5-, and 10-year price and rent forecasts look reasonable given supply, demand, and currency trends?
Egypt's property market outlook reflects continued urbanization, infrastructure development, and economic stabilization following recent currency reforms and IMF program implementation.
One-year forecasts through 2026 anticipate 10-30% price appreciation as construction costs remain elevated and quality property supply stays limited. Rental yields should maintain 6.5-8% levels as economic stabilization supports tenant income growth. Currency stability improvements may moderate the extreme hedging demand that drove 2024's price surge.
Five-year projections through 2030 suggest 80-200% cumulative price growth, driven by New Administrative Capital completion, expanding middle class, and continued infrastructure development. Smart city projects and planned business relocations should create new demand centers, while supply constraints in established premium areas support pricing power.
Ten-year outlook through 2035 assumes 120-150% total price appreciation as Egypt's urbanization accelerates and regional economic integration increases. Rental yields may increase to 8-10%+ as tourism recovery and business expansion create stronger tenant demand. However, new supply from large-scale developments could moderate growth rates in some segments.
| Time Horizon | Expected Price Growth | Rental Yield Range | Primary Drivers |
|---|---|---|---|
| 2026 (1 Year) | +10-30% | 6.5-8% | Inflation, demand stability, economic adjustment |
| 2030 (5 Years) | +80-200% | 7-10% | Infrastructure completion, smart cities, middle class growth |
| 2035 (10 Years) | +120-150% | 8-10%+ | Urbanization acceleration, regional integration, tourism recovery |
Key risks include potential oversupply from large developments, economic policy changes, and regional political stability. Conservative investors should focus on established locations with proven rental demand rather than speculative new developments.
If you plan to live there, what must-have features and location criteria define the best options?
Residential choice for foreign residents in Egypt requires careful consideration of security, infrastructure, community amenities, and proximity to essential services that support comfortable daily living.
Security represents the primary concern for expat families. Gated compounds with 24/7 security, controlled access, and established expatriate communities provide peace of mind. Areas like Katameya Heights, Palm Hills Sheikh Zayed, and New Cairo's prominent developments offer these features along with Western-standard infrastructure.
International school access determines residential viability for families with children. Properties within 30 minutes of schools like Cairo American College, New Cairo British International School, or Deutsche Evangelische Oberschule command premiums but ensure educational continuity. School bus routes also influence neighborhood desirability.
Healthcare proximity matters for emergency situations and routine care. Areas near Cairo's premium hospitals like As-Salam International Hospital or Cleopatra Hospital provide better access to English-speaking medical professionals and international insurance acceptance.
Daily convenience factors include reliable internet connectivity, consistent electricity and water supply, modern shopping centers, restaurants with international cuisine, and proximity to metro or highway systems for city access. Zamalek offers urban convenience, while New Cairo provides suburban amenities with better infrastructure reliability.
1. Secure gated community with 24/7 security and expat residents2. International school within 30-minute commute or school bus service3. Premium hospital access with English-speaking medical staff4. Reliable utilities (electricity, water, internet) with backup systems5. Modern shopping and dining options including international brands6. Highway or metro connectivity for business district access7. Western-standard property management and maintenance servicesIf you plan to rent it out, what occupancy and rates are realistic, and what net yield can you expect after all costs?
Rental property performance in Egypt varies significantly between short-term vacation rentals and long-term residential leasing, with different management requirements and return profiles for each strategy.
Short-term rentals in resort destinations achieve the highest gross yields but require active management. Red Sea properties in Hurghada and Sharm El Sheikh generate 7-10% gross yields with seasonal occupancy averaging 48% during peak periods. North Coast properties command EGP 800-2,000+ per night during summer months (June-September) but may sit empty during off-seasons.
Long-term residential rentals in urban areas provide more stable income streams. Cairo apartments in good locations achieve 6.5-7.5% gross yields with occupancy rates above 85% for well-maintained properties. Professional tenants typically sign 1-2 year leases with annual rent increases tied to inflation.
Net yields after expenses average 2-3 percentage points below gross yields. Property management fees consume 5-10% of rental income, while HOA charges, maintenance, insurance, and vacancy periods reduce returns further. A property generating 8% gross yield typically delivers 5-6% net return to owners.
| Rental Type | Gross Yield Range | Occupancy Rate | Net Yield After Costs |
|---|---|---|---|
| Urban Long-term (Cairo) | 6.5-7.5% | 85-90% | 5-6% |
| Resort Short-term (Red Sea) | 7-10% | 48% average | 5-7% |
| Suburban Long-term (Sheikh Zayed) | 6-7% | 80-85% | 4.5-5.5% |
| North Coast Seasonal | 8-12% | 60% summer only | 6-8% |
Local regulations require foreign property owners to register rentals with tourism authorities for short-term letting and maintain proper tax documentation. Property management companies handle licensing, guest services, and revenue optimization for 15-20% of gross income in resort areas.
What financing can you access and what will your total monthly and first-year cash outlay be?
Foreign property financing in Egypt remains limited compared to domestic buyers, with most international investors using cash purchases or offshore financing arrangements to acquire properties.
Local mortgage options for foreigners exist through select Egyptian banks but carry restrictive terms. Down payments typically require 25-40% of purchase price, with interest rates ranging from 12-18% for variable or fixed-rate loans. Loan tenors extend 15-30 years maximum, and income verification requirements favor applicants with Egyptian employment or significant assets.
Islamic (Sharia-compliant) financing provides alternative structures through banks like Faisal Islamic Bank or Abu Dhabi Islamic Bank Egypt. These products use cost-plus or lease-to-own arrangements rather than traditional interest, but pricing often exceeds conventional mortgages.
Cash purchase remains the preferred approach for most foreign investors, especially given Egypt's 5-year holding requirement and currency considerations. Buyers using offshore financing from their home country banks often achieve better rates and terms than local Egyptian mortgages.
For a EGP 5 million property purchase with 30% down payment and 15-year financing at 15% annual rate, monthly payments would be approximately EGP 51,000. First-year cash outlay includes EGP 1.5 million down payment, EGP 600,000 in closing costs, and EGP 612,000 in mortgage payments, totaling EGP 2.7+ million.
Additional first-year costs include property insurance (EGP 15,000-25,000), HOA fees (EGP 50,000-150,000), property management setup (EGP 20,000-40,000), and maintenance reserves (EGP 25,000-50,000), adding another EGP 110,000-265,000 to annual outlays.
It's something we develop in our Egypt property pack.
Which specific areas and property types look like the smartest buys today, and how do they compare to peer regional cities?
Egypt's current property market offers compelling value relative to comparable emerging markets in the Middle East and North Africa, with specific segments providing optimal risk-adjusted returns for different investor profiles.
New Cairo apartments represent the strongest combination of liquidity, appreciation potential, and rental yield for foreign investors. At EGP 35,000-45,000/m², these properties cost significantly less than equivalent areas in Dubai (AED 2,000+/m² or ~EGP 60,000+) or Istanbul's premium districts ($3,000+/m² or ~EGP 50,000+), while offering similar amenities and infrastructure quality.
Sheikh Zayed villas provide luxury lifestyle options at regional competitive pricing. EGP 75,000-130,000/m² for compound properties compares favorably to Casablanca's premium areas ($2,500-4,000/m²) or Amman's exclusive neighborhoods ($2,000-3,500/m²), with Egypt offering better currency upside potential.
Red Sea resort properties compete directly with Turkish Mediterranean resorts and Moroccan Atlantic developments. Egyptian coastal properties at EGP 70,000-200,000/m² often provide better vacation rental yields (7-10%) than comparable Antalya or Agadir properties (5-7%), while offering year-round tourism potential.
| Egypt Property Type | Price/m² (EGP) | Regional Comparison | Yield Advantage |
|---|---|---|---|
| New Cairo Apartment | 35,000-45,000 | Dubai: 60,000+, Istanbul: 50,000+ | Similar quality, 25-40% lower cost |
| Sheikh Zayed Villa | 75,000-130,000 | Casablanca: 80,000-120,000 | Better infrastructure, currency upside |
| Alexandria Urban | 25,000-40,000 | Tunis: 35,000+, Amman: 40,000+ | Mediterranean access, lower entry cost |
| Red Sea Resort | 70,000-200,000 | Antalya: 85,000+, Agadir: 60,000+ | Higher rental yields, year-round tourism |
The strongest current opportunities combine established locations with proven rental demand and continued infrastructure development. New Cairo's completed phases offer immediate income generation, while early-stage smart city developments provide higher risk-reward ratios for patient capital.
Budget-conscious investors should focus on Alexandria's urban properties or emerging Cairo satellites, which offer 8%+ potential yields at entry price points below EGP 2 million for decent apartments. These areas provide regional upside exposure at significantly lower capital requirements than premium segments.
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.
Egypt's property market in 2025 presents compelling opportunities for foreign investors willing to navigate legal requirements and hold properties for minimum five-year periods.
Prime locations like New Cairo, Sheikh Zayed, and coastal resorts offer strong rental yields (6.5-10%) and appreciation potential, while requiring all-in budgets starting from EGP 2-3 million for entry-level apartments and EGP 30+ million for luxury villas.
Sources
- Foreign Ownership Real Estate Egypt Legal Boundaries - LinkedIn
- Egypt's Real Estate Market Booms in H1 2025 - Economy Middle East
- Average House Price in Egypt - Sands of Wealth
- Egypt Real Estate Forecast - Sands of Wealth
- Egypt Property Investment Guide - Veles Club
- Top Neighborhoods in Cairo for Real Estate Investment - Select Realty
- Egypt Real Estate Market Outlook - Sands of Wealth
- Buy Land Egypt Guide - Sands of Wealth
- Luxury Apartment Prices - Edaraps
- Foreign Ownership of Real Estate in Egypt - Tamimi Law