Financing a home in Egypt, from Cairo to the new cities
Buying a home on credit in Egypt means going through a bank, an FRA-licensed mortgage finance company or a subsidised state programme, yet many buyers still pay the developer in instalments spread over eight to ten years.
A market where mortgages remain a minority
In Egypt, most property deals are settled in cash or through instalment plans with the developer. Bank mortgages are growing, but the frequent lack of final title registration still limits their use, particularly in the older districts of Cairo and Giza.
The legal framework for real estate finance
Law 148 of 2001 on real estate finance governs mortgage companies, which fall under FRA supervision. It sets the rules for the mortgage itself, the valuation of the property by accredited experts and the remedies available when a borrower defaults.
Active banks and mortgage companies
National Bank of Egypt, Banque Misr and Banque du Caire provide most subsidised loans. Specialised FRA-licensed companies also finance new or resale apartments, sometimes with more flexible criteria for self-employed income than the banks apply.
State programmes for low and middle incomes
The Social Housing and Mortgage Finance Fund, working with the CBE, finances units under the Sakan Misr programme and social housing. Rates are subsidised, and eligibility depends on income ceilings and on not already owning another home.
Developer payment plans
Talaat Moustafa, Palm Hills, SODIC and Emaar Misr sell off-plan with a down payment followed by quarterly instalments over several years. This avoids a bank application, but the price includes the cost of time and handover can be delayed.
How Egypt compares with its neighbours
Relying on developers rather than banks sets Egypt apart from markets where a mortgage in Morocco is far more bank-based. On the Egyptian side, our overview of credit in Egypt stresses the weight of the I-Score bureau in every decision.
Registration at the Shahr Aqari
The real estate publicity department, known as the Shahr Aqari, records ownership and mortgages. Many homes are held only under a preliminary contract or a court ruling validating a signature, which can stop a bank from accepting the property as collateral.
Down payment and loan term
Banks finance only part of the appraised value, and the buyer covers the rest as a personal contribution. Terms can reach around twenty years or more in state programmes, while each lender sets its own maximum age at the end of the loan.
Subsidised rate or market rate
Outside subsidised schemes, the rate tracks CBE policy rates, which stayed high after the 2024 devaluation. The gap with a subsidised programme is therefore substantial, which explains the strong demand for units offered by the Social Housing Fund.
Insurance and property valuation
The bank requires life insurance covering the outstanding capital and often fire insurance on the home. An accredited expert assesses the apartment's value, which sets the loan amount, and the mortgage is then registered in the lender's favour.
The diaspora and buying from the Gulf
Many Egyptians living in Saudi Arabia, the UAE or Kuwait buy property back home. Some banks and developers accept payments in foreign currency, but the borrower must prove a regular income and appoint a reliable proxy in Egypt.
After the purchase: service charges and upkeep
In the compounds of New Cairo, 6th of October or Sheikh Zayed, maintenance fees, often paid upfront as a percentage of the price, come on top of the instalment. A personal loan in Egypt is sometimes used to fund finishing and furnishings.
Buying an Egyptian apartment with a mortgage: the route
- Check the property's legal status: a contract registered at the Shahr Aqari, a building permit and no dispute between heirs or with the developer.
- Estimate your borrowing capacity with two or three banks, taking into account the debt-to-income cap applied by the CBE.
- Apply for eligibility under the state programme if household income falls within the Social Housing Fund ceilings.
- Have the home valued by the expert appointed by the lender and obtain the written loan offer stating its rate and term.
- Sign the sale contract and the loan deed, then register both the mortgage and the ownership with the Shahr Aqari.
- Set up the monthly direct debit and keep the life insurance certificate handed over at signing.
Extra costs of financing a home in Egypt
| Item | Indicative amount | What makes it vary |
|---|---|---|
| Down payment | Unfinanced share of the appraised value | State programme or standard bank offer |
| Interest rate | Subsidised or linked to the CBE | Scheme eligibility, term, profile |
| Shahr Aqari registration fees | Official scale based on floor area | Location and type of property |
| Property valuation | Charged by the accredited expert | Value and size of the unit |
| Life and fire insurance | Annual or single premium | Borrower's age, insured capital |
Standard file for a home loan in Cairo or Alexandria
- National ID cards of the buyers and marriage certificate where applicable
- Salary certificate and recent bank statements
- Sale contract or reservation with the developer
- Registered title or documents proving the seller's chain of ownership
- Building permit and certificate of conformity for the building
- Sworn statement of not owning another home for state programmes
Common traps when buying property in Egypt
- Buying an unregistered apartment expecting a bank loan, when most banks insist on a property that can actually be mortgaged.
- Paying a large deposit to a developer without checking its permits or the real progress of construction in the new city concerned.
- Underestimating compound maintenance fees and finishing work, which can add up to a large sum when the keys are handed over.
- Hiding another property you own to access a subsidised programme, which can lead to the allocation being cancelled and the subsidy reclaimed.
Lenders to contact
- Banque Misr: Major Egyptian state-owned bank providing credit to individuals and financing facilities supporting small and micro enterprises across Egypt.
- Banque Misr: Major Egyptian commercial bank offering consumer loans, mortgage loans and fast cash loans secured against savings accounts for retail customers.
- Al Baraka Bank Egypt: Egyptian subsidiary of the Al Baraka group, offering Islamic banking services to individuals and businesses in line with Shariah principles.
- Al Baraka Bank Egypt: Egyptian subsidiary of the Bahrain-based Al Baraka group, an Islamic bank providing Sharia-compliant banking services and financing across Egypt.
Questions about buying an Egyptian home on credit
Can you borrow for an off-plan property in Egypt?
Banks prefer to finance a completed home that can be registered. For an off-plan unit, the developer's instalment plan remains the usual route, with a bank loan sometimes stepping in at handover to settle the remaining balance.
Are subsidised-rate programmes open to everyone?
No. They target low and middle-income households under income ceilings set by the authorities, and applicants must not already own a home. Eligible units are generally offered through official announcements by the Social Housing Fund.
Can a foreigner get an Egyptian mortgage?
Foreigners may buy homes in Egypt under certain conditions, but access to local credit is limited. They generally have to show residence, income earned in Egypt and a fully registered property, otherwise paying cash becomes the only option.
What happens if payments are missed for a long time?
The lender sends reminders and can then start enforcement proceedings on the mortgage under Law 148 of 2001. The default is reported to I-Score, which makes any new financing difficult for several years.