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egypt one of most attractive destinations for real estate investors

News Posted On: 26 November 2009

Egypt is one of the "most attractive destinations for real estate investors in 2009," said experts at a recent conference in Cairo.

The panel of 19 experts said that Egypt's relatively young mortgage market left it shielded from the banking crisis because its lending policies are still restrictive. The US crash they said, was because mortgage LTVs were upped from 70% to 110%.

I agree that Egypt is one of the brightest stars in international property investment. Prices are currently among the lowest in the world, and the economy growing among the fastest in the world. Even now as we struggle to climb out of the worst global recession in between 30 and 50 years, Egypt's economy is forecast to grow by over 4% this year, according to the International Monetary Fund.

This economic growth will certainly generate rising affluence in the country, and a growing middle class much like we have seen across Asia. A growing middle class equates to growing demand for residential property to buy and to rent, which will put upward pressure on prices and rental rates in the coming years.

However, tourism to Egypt is also rising at a rapid rate, especially on the red sea coast, where property can be bought for as little as £10k. This also makes Egypt property perfect for holiday let investors, who may or may not want to use the property for their own holidays. The low prices make red sea Riviera property in Egypt the kind of investment that everyone can afford to make -- less people can afford not to.

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Written by Liam Bailey

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