Having had a conversation with West Side Village's team today, the subject of resale came up. I was asking about pre release prices and real market value and just how good investments are likely to be here. He made a valid point of stating that this will depend on other developments , ie what has the competative edge, be this finishes, location and price..

When do you think the resale market will kick in? Will these developments make decent money? Are the predicted figures realistic?


I am buying for investment but there is a sense of personal enjoyment for me as this is the first one. Ultimately though, i am wanting to make cash on this and then make more. The good thing is, in Egypt this can be done with low outlay. We could not achieve this easily in the UK..

Im not sure who the buyers of resale are likely to be and I question whether enough profit can be made to enable progression as an investor

Would be nice to here peoples thoughts

The Egyptian property market is in its infancy and has been likened to Spain 30 years ago. Even in the past two years in Egypt prices have doubled. With the projected growth in tourism coupled with the future availability of mortgages and cheaper flights, who can doubt that Egypt is a great place to invest. But the old rules apply; marina, front line beach, facilities will all add value.

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PROPERTY SHOP INC. International Property Brokers
EGYPT REAL - Your One Stop Shop for Hurghada Property

yes i agree

i am rather drawn to the bigger developments i must say!! the one i mentioned really appeals to me due to its positioning within the marketplace.

im keen to take a speculative punt but there is no compromise on contract stage payment .. for that sort of finish and facility .. 19964 seems to be a steal ..

I think it is too early to talk about resale property,admittedly it won't be far off, as many of the larger developments come to nearing handover to their eager owners.
Hopefully all resellers will make a handsome profit,however catch 22 it will only be any good if you decide to pull out and take your profit,buying a similar property to the one you have just sold for the money you have just received may be a little harder just for now.
For those flippers they may be in their villas quicker then they anticipated.

i would not be aiming to sell straight away. i realise that midterm would be good. my only fear is that what i hope to achieve would not be possible as prices are shooting up. thats why i really want another now whilst prices are low.

Im hoping that if all goes well on my first one I will be able to get a few more 'under my belt' before the 'hype' kicks in.

One thing I will do is just put money away as I am really interested in Gamsha Bay if it ever goes ahead!
If the studio apartment I have reserved goes to plan then I will one day live in it (Just me and maybe my girlfriend - no kids involved) and in the mean time rent it to close friends and family!

I think everybody knows for a lot of buyers it is probably getting borderline to what is affordable without a mortgage,so until mortgages kick in there could be a lull.
What I have noticed a lot of the newer developments are now offering interest free payments over a few years so this will help.
I really do not think Egypt will have the same pull as Spain has had in previous years but it is certainly a very attractive option both for buyers who are looking for a holiday home or investors.
Whatever route you may choose and whatever development you all buy in, you will have made a good decision to invest in Egypt.That's all that matters.

Having bought 3 years ago I think the "hype" has already kicked in . I am sceptical that Egypt will ever be a mainstream destination as its quite different to the norm . The property market in Hurghada has gone mad this year ,whether its sustainable I just don't know.I suppose that's the big risk that might bring big profits ?

I personally think Egypt is more of a lifestyle destination and if you like it then great. I think of my place as a second home and I am considering moving out permanently,I'm not too bothered about profits .

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El Gouna - Life as it Should be

http://www.villa-vacation.com/home-rental-12686.htm

Crombie,...I agree with you about the lifestyle. Ive been to Egypt a few times and absolutley love it.
At 29 years old Im already thinking of when I can sod off and live out there. Just finish my diving and become an instructor! Failing that If Brits can get bar work then Id be happy to do that for the rest of my life or a few hours a day in MacDonalds or KFC would suit me fine. Just enough to cover bills and food!!!

Why stress it here in the Uk when I can lounge it in Egypt at a fraction of the cost!?

I agree Crombie. I too am sceptical that Egypt will become a mainstream market - certainly not in the next 5-10 years. My two key reasons for this are the different culture which certainly does not appeal to everybody and the length of flights involved. 5 hours or so really is quite a long time and around twice as long as Southern Spain. These could change in the long-term of course, in particular a new breed of faster passenger aircraft could be with us in 5-6 years time.
I think the key (no pun intended) for property purchase in Egypt is to ensure you are going to make use of it yourself so you at least get enjoyment out of it. Then, if you do not make a large capital gain (which for UK citizens would of course be potentially taxable) you will still have enjoyed your purchase.
I still do think though that many on here who have paid around the £25K mark and below for their properties have got good buys and will do OK, I just fear a little for those who have paid around the £70K mark for 2 bedroom type apartments as I think there is very little leeway for capital growth at that price.
As a different offering, I remember reading about some properties in (I think)
Ain Soukhna (sp?) which was about an hours drive from Cairo.
If capital gain is your key aim I would think that they would be good because as a Country becomes richer it tends to emanate from the capital and if you were to get a new breed of well-off entrepreneurs they might well be looking for a place on the beach for weekend family use.

Mark .Y.