Economic factors such as high inflation and interest rates are likely to put significant pressure on financing and investment costs, leading to a 10% to 30% price increase in the absence of major changes in economic or monetary policy.
Osama Saad El-Din, executive director of the Chamber of Development at the Federation of Egyptian Industry, predicts that property prices in Egypt could rise by 20-25% in 2025, despite the recent decline in steel prices and the potential reduction in other construction costs.
Saad El-Din noted that many developers have already set prices for next year, taking into account expected inflation and return on investment.Although some developers may freeze prices, a direct reduction is unlikely.
Mohamed El Aasar, Chairman of the Board of Margins Developments, stressed that the real estate sector will face significant challenges in 2025.He noted that the key tasks will be to maintain prices in the face of economic pressure and timely implementation of projects.El-Aasar predicts a price increase of at least 30% next year.
Mohamed Amin, CEO of Cratos Real Estate, shared his forecast for the market, predicting a price increase of 15-25% in 2025.Amin attributed this growth to continued high demand and high sales rates, reflecting investors' confidence in real estate as a reliable investment destination.He noted that in areas such as New Cairo and the North Coast, which attracted significant interest in 2024, particularly high demand is expected in 2025 due to rapid development and investor interest.
Amin also noted the growing demand for residential and serviced apartments.These projects, offering advantages for both living and investment, are gaining popularity, especially serviced apartments, which are becoming more in demand.
Source: Daily News Egypt
