Egypt has grabbed the attention of property investors predominantly due to its steady economic growth and easy-living lifestyle. Currently, property in Egypt is still affordable, but as potential investors become increasingly aware of the amazing opportunities the country has to offer property prices are expected to rise quickly.
Still widely considered as emerging, the Egypt property market has already shown healthy returns for early bird investors, in some cases returns have been as high as 20-30% depending on the location. In acknowledgment of this, the pro-foreign investment Egyptian government has stepped up its marketing initiatives, and has committed themselves to a far reaching infrastructure development programs.
The focus of this influx of overseas property investment in Egypt has predominantly focused around the popular Red Sea coastal resorts, as well the major cities such as Cairo, Luxor and Alexandria. In particular, the past few years has seen a major series of construction initiatives in the coastal resort regions. Here increasing tourist figures have resulted in large increases in demand for property in Hurghada, Sharm El Sheikh, El Gouna and Marsa Alam.
So why has Egypt increased in popularity such much in the past few years? In the main, visitors are attracted to this exotic, yet modern, culture and land for a variety of reasons. From most European cities and the UK, Egypt can be reached in less than 5 hours, amenities are modern, and transport facilities, including the airports as well as getting around the country itself, are already at a high standard. As well as this, the warm climate, great beaches and coastline, and wide range of activities are on offer throughout this intoxicating country. Today, the country has a strong economy and with the government actively working hard to encourage tourists to visit, these factors lay solid foundations for investors looking for long term returns from Property in Egypt.
The success of a country like Egypt is reliant upon the tourist industry, as more visitors see the advantages of traveling here then things can only get better. In particular, property prices remain low in comparison to other European property hot spots such as Italy and Spain. These low prices, coupled with the increasing prices of other major European holiday destinations due to currency fluctuations, have ensured that an increasing number of overseas tourists will be traveling to Egypt in the months to come.
As more visitors flock to its shores Egypt has experienced an increased demand for high yielding short term holiday rentals. Also, as the Egyptian climate is good all year round there is the opportunity for year round holiday rental. Low-cost airlines have already set up flights to the Mediterranean and Red Sea resorts, reducing travel time and costs. British Airways and Egypt Air have established regular direct services between Heathrow and Cairo International Airport; from there it is easy to get connecting internal flights to the various coastal resorts. Charter flights are also available direct from the UK and Europe to the coastal resorts of Sharm el Sheikh, Marsa Alam, Hurghada and Taba.
The investment opportunities for Egypt real estate are encouraging in the long term, and if you are considering investing in property in Egypt, then this is the best time to make a move. The country has a stable economy and the steady growth in GDP over the past few years is positive. The government is promoting the country to overseas investors by offering tax breaks and an uncomplicated purchasing process. Labor costs in Egypt are low, tourists are arriving in their thousands every week looking for rented accommodation, and the standard of living is improving within the country.
Long-established home buying destinations, such as Spain and Turkey, are fast being overtaken in favor of Egypt. Most of the resorts offer first-class facilities and with the number of tourists arriving in the country throughout the year needing accommodation there is potential for high rental returns. The future of the country looks positive and investing in Egypt property is a wise decision that is sure to bring its rewards.
Michiel Van Kets provides article services for Mark Burns who has extensive experience in the overseas investment property market, specializing in property and real estate and through the Offplanworld.tv website provides extensive coverage on the worlds major property markets including property in Egypt and Egypt real estate.