Pocket Money Properties

[Peter Mitry]

In recent months we have noticed the acceleration of a trend which began last year; particularly amongst Eastern European buyers and now more often from UK buyers too. This is the tendency towards buying low cost studios, and often from buyers making their first entry into the property market.

We are frequently working with Developers now in the planning stages of a project to ensure there are sufficient of these smaller units included. The Egyptian way was always to build big apartments but the result of this is too high a price point for a holiday apartment.

We are getting to a point now where many buyers who have managed to save a small deposit to buy in their own country are now using this to buy a studio outright.

The market now seems to be polarising between the low cost starter apartments and the high end beachfront apartments. There will always be people who can afford the best and there will always be those who want to get in at the entry level. The Developers who will suffer during the current global crisis are those who are producing the middle range homes where there is too much choice and the prices are just not attractive.

In the months ahead I am sure that we will see many more incentives from Developers to help move this stock. This could include more 'bells & whistles' in the project itself or longer and more creative payment terms.

 

[dave2u]

so we now say the world ression has hit egypt as expected, so you might argue that buyers as in the uk should wait to see what offers the developers come up with late next year.also a few resales comming on the market there will be bargains to be had.i have always thought that theres to many units for sale in hurghada beachfront or not lets finish whats being built without the need to start yet more developments lining agents and developers pockets . so lets hope that this does not leave more shells and unfinshed buildings making hurghada the ever ending building site.