Buying Properties in Egypt - Traps to Avoid

The property market in Egypt has only recently got going and this is good news for overseas investors! However, the fact that it hasn't been going very long has its downside too. For those thinking of buying properties in Egypt, there are things you need to be very wary of.

1. Remember construction standards are lower in Egypt and the standards that do exist are not strictly observed. So don't put down any money on a property until you have ensured that it's structurally sound. Ideally you should commission a structural engineer, preferably a European one. (This may seem expensive but you will be getting a bargain on the property.)


2. You must check whether a property is registered before committing yourself - insist on seeing the original title document, not a copy. Many properties are unregistered - the reason for this is that registration used to be much more expensive than it is now, so many owners just didn't bother! If you don't check, you could find later that you don't actually own the property, even though you've paid for it!


3. Another vital check you must make is if there are any mortgages registered on the property. In Egypt, mortgages are recorded on the actual property rather than being in the name of a person. So a transfer of ownership doesn't make any difference. You don't want to find after purchasing a property that it's mortgaged to a third party! You can check any encumbrances on a property through the Pledge Register at the Notary Public's office.


4. Before beginning the actual purchase process, make sure you get a lawyer who is fluent in your language. Unfortunately, foreigners are sometimes seen as "fair game" and other parties may try to slip something past you! Insist that the initial "Sale and Purchase" agreement document is bilingual and check that it includes all the legal guarantees. You can then complete your purchase by registering the title through the Real Estate Department and the Notary Public.

Yes - buying properties in Egypt CAN be a bit of a minefield - but making the effort can be very worthwhile. You will have a beautiful property at an amazing price and it is almost certain to appreciate in value. Remember, we have a few superb Egypt properties at http://www.bizwrite.co.uk/realestate/propertyabroad.html And the good news is that if you buy one of these, we will help you through all these steps and make sure you have a good clear title!