Property in Egypt is a strong favourite with British overseas property buyers who have been buoyed by the potential for high capital appreciation. Whilst there has been undoubted capital growth, 42% in 2005 according to international surveyors,the Egyptian property market had its problems like any developing country should therefore be treated with caution.
Some of the property in Egypt has been of a sub-standard quality and property rental potential has been overblown. Overseas property buyers have invested predominantly in the areas of Hurghada,El Gouna, Safaga and Marsa Alam (sometimes spelled Mersa Allam or Marsa Allam). In the main, these areas have been overdeveloped where supply outstrips demand. The prices of many properties in Egypt are out-with the budget that can be afforded by local residents and are reliant on overseas property buyers who buy for investment or lifestyle reasons.
Overseas property buyers hoping to rent out their Egyptian property should ensure that their property has agreements with travel companies as Egypt is not the sort of country where tourists turn up and rent holiday apartments on impulse. Rental potential in many areas should be estimated at approximately 7%-9% net and not the 12% that is quoted by some. Genuine guaranteed rentals schemes are an attractive option to many investors as it gives peace of mind with regard to relying on a rental income, if necessary, and saves having to spend time marketing the property. Guaranteed rentals are not always genuine and are sometimes merely the result of the price increase in the property. Genuine guaranteed rentals can be given where the developer has agreements in place with tour operators and is therefore assured of occupancy levels.
Property in Egypt is still appealing for property investors. EU entry and the associated levels of investment as a result of membership will no doubt assist capital appreciation. Additionally, tourism levels are increasing making buying a diving destination property, golf property or beach property all the more appealing. The main consideration when buying property in Egypt is to focus on areas that are not over-developed. We can only recommend property in Egypt where our analysis has shown that there is good growth potential and importantly, the possibility to sell or rent at a later date. Such areas that have highest potential for selling and renting are as example in Marsa Alam which has a low number of completed apartments or flats for sale and it will be a few years for the construction of new apartment homes in Marsa Alam to catch up with the current demand. As more and more people are discovering this area, the available apartments do get sold and then they are occupied or let once completed.
Author: Ewan McGarrie
Beach Property For Sale
Land Parcels for resort development. Direct beach access, priced to sell Red Sea, Hurghada, Egypt. Red Sea Resorts
Egypt Apartments For Sale
Brand new 1 or 2 bedroom apartments/flats in Red Sea city of Marsa Alam Egypt.Egypt Apartment For Sale
Showing posts with label overseas property investors. Show all posts
Showing posts with label overseas property investors. Show all posts
Tuesday, June 16, 2009
Why Invest In Egypt Property?
The prospect of growth in developing markets means that property investors are becoming more adventurous in their choice of location, an investment firm has said.
Investors becoming more Hetal Shah, director of Investors Provident, says that traditional markets still provide a strong draw because of their guaranteed returns and reliability - but double-digit growth in countries such as Brazil, Morocco and Egypt means investors are increasingly setting their sights on more exotic locations.
"I think with the established markets, it's never going to really die down. Even with the recent scare in the Spanish property market, I don't think it's really died down to that degree," Mr Shah commented.
"Even in tried and tested markets, I don't think you can go wrong … You've got the security, you've got guaranteed capital growth; although it's going to be slow. It's not going to be as high as what you’d find in somewhere like … India, or Brazil, Morocco, Egypt.
"We're finding that Morocco, Egypt and Brazil seem to be the highlights of the day at the moment … People are being quite adventurous in that respect. And capital growth is really, really good in these locations. You're looking at anywhere between ten, fifteen per cent a year," he added.
The possibility of snapping up a bargain property is drawing many foreign investors to Egypt, an expert has stated.
Egypt Paul Collins, spokesperson for the BuyAssociation website, stated that the country was very popular because of the relative affordability of high-quality houses.
Commenting on the Egyptian market, he said: "Property is very, very cheap in comparison with other places where you have similar facilities and similar climates."
He added that the country's weather was also a strong draw for overseas investors, as they were "virtually guaranteed" to get hot and sunny conditions when visiting.
In addition, he said Egypt had a number of attractions that made it popular with holidaymakers, opening up the possibility of letting a property out to tourists.
Mr Collins cited the diving that takes place in the reef near Sharm El Sheikh as an example, along with the new golf courses in the region.
Meanwhile, tourists in Egypt are currently enjoying the opportunity to view the face of the country's former ruler King Tutankhamun.
The mummified pharaoh has been placed on public display for the first time, exactly 85 years after it was first discovered.
Warm countries such as Egypt are proving to be highly popular tourist destinations this winter, experts have revealed.
Britons seek sunnier climes this Christmas According to TravelRepublic.co.uk, many Britons are choosing to leave the country over the Christmas period in order to enjoy high temperatures overseas.
The firm said that the number of people going abroad for a two-week holiday during the festive season was 238 per cent higher than at the same time last year.
Egypt was said to be one of the most popular locations among British leisure travellers, along with Spain and Portugal.
Speaking to the Northumberland Gazette, Mr Sanders commented: "More and more people are choosing to go away for Christmas and the New Year, whether it be to join friends and family or simply to catch some winter sun."
This comes after the Buy Association website praised the quality and affordability of Egyptian property.
This will be good news for owners of tourist accommodation in major tourist resorts, as they will be likely to see an increase in rental yields as a result.
The research follows a similar study by Co-operative Travel carried out last month.
Analysts at the firm predicted that more than three million Britons would spend the festive period overseas - 11 per cent more than during last year's Christmas season.
Author: Simona Coates
Beach Property For Sale
Land Parcels for resort development. Direct beach access, priced to sell Red Sea, Hurghada, Egypt. Red Sea Resorts
Egypt Apartments For Sale
Brand new 1 or 2 bedroom apartments/flats in Red Sea city of Marsa Alam Egypt.Egypt Apartment For Sale
Investors becoming more Hetal Shah, director of Investors Provident, says that traditional markets still provide a strong draw because of their guaranteed returns and reliability - but double-digit growth in countries such as Brazil, Morocco and Egypt means investors are increasingly setting their sights on more exotic locations.
"I think with the established markets, it's never going to really die down. Even with the recent scare in the Spanish property market, I don't think it's really died down to that degree," Mr Shah commented.
"Even in tried and tested markets, I don't think you can go wrong … You've got the security, you've got guaranteed capital growth; although it's going to be slow. It's not going to be as high as what you’d find in somewhere like … India, or Brazil, Morocco, Egypt.
"We're finding that Morocco, Egypt and Brazil seem to be the highlights of the day at the moment … People are being quite adventurous in that respect. And capital growth is really, really good in these locations. You're looking at anywhere between ten, fifteen per cent a year," he added.
The possibility of snapping up a bargain property is drawing many foreign investors to Egypt, an expert has stated.
Egypt Paul Collins, spokesperson for the BuyAssociation website, stated that the country was very popular because of the relative affordability of high-quality houses.
Commenting on the Egyptian market, he said: "Property is very, very cheap in comparison with other places where you have similar facilities and similar climates."
He added that the country's weather was also a strong draw for overseas investors, as they were "virtually guaranteed" to get hot and sunny conditions when visiting.
In addition, he said Egypt had a number of attractions that made it popular with holidaymakers, opening up the possibility of letting a property out to tourists.
Mr Collins cited the diving that takes place in the reef near Sharm El Sheikh as an example, along with the new golf courses in the region.
Meanwhile, tourists in Egypt are currently enjoying the opportunity to view the face of the country's former ruler King Tutankhamun.
The mummified pharaoh has been placed on public display for the first time, exactly 85 years after it was first discovered.
Warm countries such as Egypt are proving to be highly popular tourist destinations this winter, experts have revealed.
Britons seek sunnier climes this Christmas According to TravelRepublic.co.uk, many Britons are choosing to leave the country over the Christmas period in order to enjoy high temperatures overseas.
The firm said that the number of people going abroad for a two-week holiday during the festive season was 238 per cent higher than at the same time last year.
Egypt was said to be one of the most popular locations among British leisure travellers, along with Spain and Portugal.
Speaking to the Northumberland Gazette, Mr Sanders commented: "More and more people are choosing to go away for Christmas and the New Year, whether it be to join friends and family or simply to catch some winter sun."
This comes after the Buy Association website praised the quality and affordability of Egyptian property.
This will be good news for owners of tourist accommodation in major tourist resorts, as they will be likely to see an increase in rental yields as a result.
The research follows a similar study by Co-operative Travel carried out last month.
Analysts at the firm predicted that more than three million Britons would spend the festive period overseas - 11 per cent more than during last year's Christmas season.
Author: Simona Coates
Beach Property For Sale
Land Parcels for resort development. Direct beach access, priced to sell Red Sea, Hurghada, Egypt. Red Sea Resorts
Egypt Apartments For Sale
Brand new 1 or 2 bedroom apartments/flats in Red Sea city of Marsa Alam Egypt.Egypt Apartment For Sale
Sunday, June 14, 2009
Egypt Property Popular With German Investors
German tourists are becoming increasingly willing to venture outside of Europe for their holidays, according to new research. Egypt A poll by Urlaub Perfekt magazine found that people from Germany considered Egypt one of their favourite holiday destinations. The survey of 1,200 respondents found that the country was the only non-European nation to make it to the top five, which also included Bulgaria, Greece, Turkey and Spain.
Egypt was found to be rated highly because of the quality of its holiday accommodation, as well as the customer service that visitors were likely to receive. In addition, its suitability for family holidays and its overall affordability were also much lauded by German consumers. The country's popularity as a holiday destination recently prompted the BuyAssociation website to recommend Egypt as a market for overseas property investors. According to the online portal, it has become one of the most popular destinations for winter sun-seekers over the last few years.
One of the world's top boxers has spoken of his decision to purchase a property in north Africa. Egypt recommended by sports star Joe Calzaghe told the Western Mail that he was tempted to buy a residence in Egypt after visiting the country on a holiday. He now owns a property in Hurghada, which is described as a bustling market town on the Red Sea coastline. Commenting on his purchase, Calzaghe said: "At first I was in two minds about buying in Egypt because of the bombings a few years ago." However, he added that he decided to "go for it" after considering the relative pros and cons of the country. Calzaghe highlighted the affordability of property when compared with other sunny locations as one of the deciding factors.
Overseas property buyers were recently advised to consider purchasing holiday accommodation in the country by the BuyAssociation website. The online portal said Egypt was a good option since it was becoming one of the most popular winter sun destinations.
Egypt's rental market could be set for a boost from an influx of British holidaymakers this year. Britons set to boost Egyptian rental sector The north African country has been tipped to be a popular location among holidaymakers from the UK by the Association of British Travel Agents (ABTA). According to the industry body, Britons are increasingly choosing to take their holidays outside of Europe in more exotic locations, such as Africa. This is likely to be welcomed by people who have bought property in Egypt, especially those who are reliant on its growing tourist trade in order to generate wealth and strong returns.
Frances Tuke, spokesperson for ABTA, commented: "People are becoming very demanding in their holiday choices. "They want to be a bit more adventurous." Speaking to BBC News, she added that travel companies have already seen a high level of bookings during January and February.
Overseas property buyers were recently advised to consider purchasing holiday accommodation in the country by the BuyAssociation website. The online portal said Egypt was a good option since it was becoming one of the most popular winter sun destinations. Rental investors in popular African tourist destinations could be set to see increased demand this year.
African tourist trade could boost investment prospects The World Travel and Tourism Council (WTTC) has revealed that tourism across the continent has risen by 5.9 per cent in the last year. This figure, which is above the worldwide average, suggests that Africa could present a number of investment opportunities. Specifically, increased tourism is likely to drive up demand for rental accommodation in hotspots such as Morocco, Cape Verde and Egypt. WTTC figures also showed that the impact of economic problems in the US was affecting the popularity of more established locations such as the Americas and Europe. This could further reinforce Africa's potential as place in which to invest.
Jean-Claude Baumgarten, president of the WTTC, commented: "The continued strong expansion in emerging countries as an increasing source of international visitors means the industry's prospects remain bright." This comes after Frances Tuke of the Association of British Travel Agents told BBC News that Egypt is likely to be a popular location among holidaymakers from the UK this year.
Author: Simona Coates
Beach Property For Sale
Land Parcels for resort development. Direct beach access, priced to sell Red Sea, Hurghada, Egypt. Red Sea Resorts
Egypt Apartments For Sale
Brand new 1 or 2 bedroom apartments/flats in Red Sea city of Marsa Alam Egypt.Egypt Apartment For Sale
Egypt was found to be rated highly because of the quality of its holiday accommodation, as well as the customer service that visitors were likely to receive. In addition, its suitability for family holidays and its overall affordability were also much lauded by German consumers. The country's popularity as a holiday destination recently prompted the BuyAssociation website to recommend Egypt as a market for overseas property investors. According to the online portal, it has become one of the most popular destinations for winter sun-seekers over the last few years.
One of the world's top boxers has spoken of his decision to purchase a property in north Africa. Egypt recommended by sports star Joe Calzaghe told the Western Mail that he was tempted to buy a residence in Egypt after visiting the country on a holiday. He now owns a property in Hurghada, which is described as a bustling market town on the Red Sea coastline. Commenting on his purchase, Calzaghe said: "At first I was in two minds about buying in Egypt because of the bombings a few years ago." However, he added that he decided to "go for it" after considering the relative pros and cons of the country. Calzaghe highlighted the affordability of property when compared with other sunny locations as one of the deciding factors.
Overseas property buyers were recently advised to consider purchasing holiday accommodation in the country by the BuyAssociation website. The online portal said Egypt was a good option since it was becoming one of the most popular winter sun destinations.
Egypt's rental market could be set for a boost from an influx of British holidaymakers this year. Britons set to boost Egyptian rental sector The north African country has been tipped to be a popular location among holidaymakers from the UK by the Association of British Travel Agents (ABTA). According to the industry body, Britons are increasingly choosing to take their holidays outside of Europe in more exotic locations, such as Africa. This is likely to be welcomed by people who have bought property in Egypt, especially those who are reliant on its growing tourist trade in order to generate wealth and strong returns.
Frances Tuke, spokesperson for ABTA, commented: "People are becoming very demanding in their holiday choices. "They want to be a bit more adventurous." Speaking to BBC News, she added that travel companies have already seen a high level of bookings during January and February.
Overseas property buyers were recently advised to consider purchasing holiday accommodation in the country by the BuyAssociation website. The online portal said Egypt was a good option since it was becoming one of the most popular winter sun destinations. Rental investors in popular African tourist destinations could be set to see increased demand this year.
African tourist trade could boost investment prospects The World Travel and Tourism Council (WTTC) has revealed that tourism across the continent has risen by 5.9 per cent in the last year. This figure, which is above the worldwide average, suggests that Africa could present a number of investment opportunities. Specifically, increased tourism is likely to drive up demand for rental accommodation in hotspots such as Morocco, Cape Verde and Egypt. WTTC figures also showed that the impact of economic problems in the US was affecting the popularity of more established locations such as the Americas and Europe. This could further reinforce Africa's potential as place in which to invest.
Jean-Claude Baumgarten, president of the WTTC, commented: "The continued strong expansion in emerging countries as an increasing source of international visitors means the industry's prospects remain bright." This comes after Frances Tuke of the Association of British Travel Agents told BBC News that Egypt is likely to be a popular location among holidaymakers from the UK this year.
Author: Simona Coates
Beach Property For Sale
Land Parcels for resort development. Direct beach access, priced to sell Red Sea, Hurghada, Egypt. Red Sea Resorts
Egypt Apartments For Sale
Brand new 1 or 2 bedroom apartments/flats in Red Sea city of Marsa Alam Egypt.Egypt Apartment For Sale
Subscribe to:
Posts (Atom)
