Real Estate News

Foreign Ownership in Egypt: A Complete Guide to Buying Property by the Sea

Thinking of owning a home by the Red Sea? This guide explains how foreigners can legally buy property in Egypt, covering laws, process, and why Hurghada and El Gouna are top investment spots.

Foreign Ownership in Egypt: A Complete Guide to Buying Property by the Sea

Over the past few years, Egypt’s Red Sea coast has become one of the most desirable destinations for international investors and holiday homeowners. Areas such as Hurghada, El Gouna, Sahl Hasheesh, and Somabay are no longer hidden gems—they’ve evolved into thriving coastal hubs offering modern living, luxury facilities, and impressive investment potential. With growing interest from foreign buyers, the question often arises: how easy is it to purchase property in Egypt as a non-Egyptian? The good news is that Egypt’s property laws allow foreigners to own homes by the sea, provided they follow a few clear regulations.

Under Law No. 230 of 1996, foreign individuals are permitted to buy real estate in Egypt for residential use. The law allows ownership of up to two properties, each not exceeding 4,000 square meters, as long as they are used for personal, not commercial, purposes. In popular resort towns like Hurghada, Sahl Hasheesh, and El Gouna, developers often offer full freehold ownership or renewable 99-year leasehold options—both of which are legally recognized. This means foreign buyers can confidently invest in seaside properties and enjoy the same ownership rights as local citizens in designated areas.

The process of purchasing and registering a property in Egypt is straightforward when handled professionally. It typically begins with selecting the desired property and signing a reservation agreement, followed by a preliminary sales contract that outlines payment terms and project details. Once payment is completed, ownership is officially registered through Egypt’s Real Estate Registration Office, and a title deed is issued in the buyer’s name. Working with a trusted real estate agency and a legal consultant ensures each step is handled transparently and efficiently.

Another major advantage of buying property in Egypt is its affordability and low tax environment. Registration fees usually range between two and three percent of the property’s total value, and residential units under EGP 2 million are exempt from annual property tax. In addition, most developers offer extended installment plans that stretch over five to seven years, making it possible for investors to secure prime Red Sea properties with flexible and convenient payment options.

Investing in coastal real estate is not only about owning a holiday home—it’s about securing long-term value. The Red Sea region continues to attract both tourists and digital nomads year-round, creating strong rental potential and solid returns on investment. Infrastructure has developed rapidly, with international schools, hospitals, shopping centers, and entertainment venues now serving a growing expat community. Property values in areas such as El Gouna, Sahl Hasheesh, Makadi and SomaBay have risen steadily over recent years, reflecting consistent demand and limited supply.

For foreign investors, success in Egypt’s property market depends on working with the right partners. At HPK Real Estate, our team provides expert guidance tailored to international clients—from helping with legal procedures and ownership registration to recommending projects with strong growth prospects. Whether you’re looking for a vacation home, a retirement escape, or an investment opportunity, HPK ensures a seamless and transparent experience from start to finish.

Owning a home by Egypt’s Red Sea is more than just a lifestyle upgrade—it’s a smart investment in a region with unlimited potential. With its welcoming property laws, competitive prices, and expanding infrastructure, now is the perfect time to explore Egypt’s coastal real estate market. Discover the beauty, stability, and profitability of seaside living with HPK Real Estate, your trusted partner for Red Sea investments.