Real Estate - Egypt | Statista Market Forecast

Egypt's Real Estate market market is expected to reach a value of US$1.46tn by 2024.
The Residential Real Estate sector is expected to dominate the market with a projected market volume of US$1.10tn in 2024.
It is anticipated that the market will experience an annual growth rate (CAGR 2024-2029) of 7.21%, resulting in a market volume of US$2.07tn by 2029.
In comparison to other countries, United States is projected to generate the highest value in the Real Estate market market, with US$132.0tn in 2024.
Egypt's real estate market is experiencing a surge in demand as foreign investors are attracted by the country's stable economic growth and government initiatives.

Definition:

The real estate market refers to the transaction of properties, including residential properties (such as houses and apartments) and commercial properties, such as office buildings and industrial properties. Apart from property sales, this market includes leases and the value of real estate.

Structure:

The real estate market comprises residential and commercial real estate. The residential real estate market covers real estate transactions and leases, and residential real estate leases are divided into apartment and house leases.

Additional information:

The market contains the following KPIs: real estate value aggregated for all countries and regions, average real estate value, real estate transaction revenue, number of real estate sold, number of leased and owned real estate, average room per resident, and dwelling type shares. The dwelling type shares comprise the share of the population that lives in houses and apartments. These shares are displayed for real estate owners and real estate renters as well.

Residential real estate (houses and apartments)
Commercial real estate (office buildings, retail spaces, warehouses, industrial properties)

Real estate agencies
Construction companies
Accommodation services, such as Airbnb
Commercial real estate leases and transactions
Publicly owned buildings used by the local government
Buildings used for public health care services

The Real Estate market in Egypt has been experiencing significant development in recent years. Customer preferences in the Egyptian Real Estate market have been shifting towards more modern and luxurious properties. This can be attributed to the growing middle class and increasing disposable income, which has led to a higher demand for high-end housing. Additionally, there is a rising trend of young professionals and families looking for integrated communities that offer amenities such as shopping centers, schools, and recreational facilities. These preferences reflect a global trend of urbanization and the desire for a convenient and comfortable lifestyle. One of the key trends in the Egyptian Real Estate market is the focus on sustainable and eco-friendly developments. Developers are increasingly incorporating green building practices and technologies to reduce energy consumption and promote environmental sustainability. This trend is driven by a growing awareness of the importance of environmental conservation and the desire to live in a healthier and more sustainable environment. Additionally, there is a growing demand for energy-efficient homes, which can help reduce utility costs in the long run. Another trend in the market is the increasing popularity of real estate investments among both local and foreign investors. The Egyptian government has implemented several reforms and incentives to attract investment in the real estate sector, such as the introduction of new laws and regulations to facilitate property ownership and streamline the investment process. This has resulted in a surge of foreign direct investment in the sector, as well as a growing interest from local investors looking for profitable opportunities. Local special circumstances in Egypt, such as the country's strategic location and rich cultural heritage, have also contributed to the development of the Real Estate market. Egypt is a popular tourist destination, attracting millions of visitors each year. This has led to a growing demand for vacation homes and rental properties in popular tourist areas, such as Cairo, Alexandria, and Sharm El Sheikh. Additionally, the government's focus on infrastructure development, such as the construction of new airports, highways, and metro lines, has further fueled the growth of the Real Estate market. Underlying macroeconomic factors, such as population growth, urbanization, and economic stability, have played a crucial role in the development of the Real Estate market in Egypt. The country's population is rapidly expanding, leading to a higher demand for housing and commercial properties. Urbanization is also on the rise, with more people moving to cities in search of better job opportunities and a higher standard of living. Furthermore, Egypt has maintained a relatively stable economic environment, which has boosted investor confidence and encouraged real estate development. Overall, the Real Estate market in Egypt is experiencing significant growth and development, driven by changing customer preferences, emerging trends, local special circumstances, and underlying macroeconomic factors. With the government's continued focus on infrastructure development and investment incentives, the market is expected to continue its positive trajectory in the coming years.

Data coverage:

Figures are based on value of residential and commercial real estate, average real estate value, residential estate transactions and leases.

Modeling approach / Market size:

Market sizes are determined by a combined Top-Down and Bottom-Up approach, based on a specific rationale for each market segment. As a basis for evaluating markets, we use data from international organizations and industry associations. Next we use relevant key market indicators and data from country-specific associations such as GDP, price level index, household wealth, household size, number of renter and owner households, housing consumer spending per capita. This data helps us to estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the particular market. For example, exponential trend smoothing. The main drivers are GDP per capita, population, number of renter and owner households, price level index, housing consumer spending per capita.

Additional Notes:

The market is updated twice per year in case market dynamics change. The impacts of the Russia-Ukraine war are considered at a country-specific level.

This report presents a comprehensive analysis and additional information on the Financial market, in a PDF format.

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Soaring inflation and aggressive mortgage interest rate hikes cooled the European housing market after a nearly decade-long period of growth. Since 2015, house prices in the European Union have grown by about 50 percent. When inflation in Europe started to rise at an alarming rate in 2021, the European Central Bank increased interest rates, resulting in substantially higher mortgage interest rates and a decline in homebuying. But how important is homeownership for Europeans?

Real Estate - Egypt

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