All about installments:

• Down payment 
• Duration
• Terms

Egyptian banks do not issue loans to foreign citizens, so the only way to pay for an apartment in Hurghada, not for a full one-time payment, is to buy real estate from a developer who offers installment plans.

Installment options

The down payment, as a rule, is 25-50% of the cost of the apartment. It depends on the degree of readiness of the house or on the desire and ability of the developer to provide the most convenient conditions for buyers.

Subsequent payments are usually made once every 3-4 months. At the same time, you can always individually agree on the most convenient conditions for you, for example, make payments every six months or once a year.

What documents does the buyer receive

The buyer receives a preliminary contract of sale, which indicates what he is buying, from whom and on what terms.

For example, if you buy an apartment with a down payment of 30%, then the contract will indicate that you have paid 30% of the cost of the apartment, and then the payment schedule for the remaining amount will be indicated. This is an official contract, with the seal and signatures of the developer, which is the basis for the transfer of payments for the bank.

After sending each payment to the developer, you need to inform the AKAR REAL ESTATE agency about it. This is necessary to track the payment and receive confirmation from the developer about the receipt of money in the account. After the developer has received the money, confirmation of receipt of the installment payment is sent to the buyer by e-mail. This allows for full control over the sending and receiving of payments for an apartment in Hurghada, both on the part of the buyer and the agency.

What properties you can buy in installments?

Installments are not available for apartments in the secondary real estate market due to the high of risk.

Installment payment can be obtained only for the primary real estate market from the developer.

As a rule, it is possible to move into housing purchased in installments after paying 50% of the cost of the apartment. This allows, if necessary, to rent out housing and, at the expense of the money received, partially pay off installment payments.

Installment duration

For finished housing, installments are usually provided from six months to a year. However, the buyer can also discuss individual options for installment payment with the developer.

Longer installments are provided for housing under construction. For example, you can buy an apartment with a down payment of only 35% and an installment plan of 2.5 years.

Payment amounts and installment terms

Installment developers, as a rule, provide interest-free. For example, if the cost of an apartment is $10,000 and the down payment is 50%, then $5,000 is paid first, and the remaining $5,000 will be divided into equal payments over a predetermined period of time.

On an individual basis, you can ask the developer for a longer installment period than the proposed one, but often then you will have to pay interest on the balance, which are set by the developer on their own.

For expensive luxury housing there are interest-free installment programs even up to 10 years. In such cases, the down payment can also be less, for example, 10% of the property value.