Residency and Citizenship
Residency | Citizenship | Legal Representation | Financial and Tax Considerations
Residency
Residency Conditions for Foreigners Buying Property in Egypt
What You Need to Know Before Investing in Property in Egypt
If you're a foreigner interested in buying a property in Egypt, there are certain conditions you need to be aware of. Here's a breakdown of what you need to know:
Residency Permits:
- 5-year renewable residence permit: For those who own one or more properties with a value of not less than $400,000.
- 3-year renewable residence permit: For those who own one or more properties with a value of not less than $200,000.
The Ministry of Interior decides whether to approve the application after submitting it to the Department of Passports, Immigration, and Nationality.
Transferring Funds:
Open a bank account in Egypt: It is possible to open an account in a bank in Egypt in the name of the owner of the money and transfer money to it from abroad without any problems.
Real estate development company: The transfer can be made at the expense of the real estate development company from which the property will be purchased.
Establishing a company: It is possible to establish a company in the Investment Authority, and it costs no more than 20,000 pounds for publication expenses. Funds can be transferred to the company's bank account.
Investment Protection:
Real estate sale contract: A real estate sale contract should be drawn up according to civil law. In case of a dispute, the court separates the parties, and a civil lawsuit is filed against the company based on the contract's conditions.
Legal representation: It is recommended to have a lawyer or a real estate marketing company present when drawing up the contract clauses.
Complaints: If a dispute arises between the buyer and the real estate development company, the buyer can complain to the legal advisor of the Real Estate Development Chamber of the General Federation of Industries. Complaints can also be submitted to the Office of the Minister of Housing, Utilities, and Urban Communities or the Administrative Capital for Urban Development if the property is located in the New Administrative Capital.
Insurance:
Property insurance: Buyers can insure their properties through a specialized insurance company when purchasing the property.
Citizenship
Is granted to foreigners in return for investing, depositing, or buying real estate in dollars, according to one of the following scenarios:
- Owning a property developed by a public company with an amount of not less than $300,000
- Creating or participating in a project with a value of not less than $350,000. With a deposit of $100,000 in the state treasury as non-refundable direct revenue
- A deposit of $500,000 to be recovered after 3 years in Egyptian pounds at the exchange rate announced at the time of recovery, without interest
- deposit of $250,000 as direct revenue in foreign currency that goes to The state�s public treasury and is not returned
Payments of any of the above scenarios are permitted to be deposited as installments within a period not exceeding one year, in which case citizenship is granted after the entire is paid in full.
Legal Representation
Legal Assistance
Importance of legal representation
While not mandatory, legal experts can guide applicants through complex processes, improving the chances of approval.
Recommendations for finding lawyers
The Egyptian Bar Association lists licensed attorneys, with many specializing in immigration.
Legal Fees
Overview of legal fees
Fees range based on the lawyer's expertise and the service complexity. Initial consultations can cost $50-$200, with full representation ranging from $1,000 to $5,000.
Affordable legal services
The Egyptian Bar Association may recommend pro bono lawyers or legal aid services for those who qualify.
Financial and Tax Considerations
Financial Planning
Overview
New residents and citizens should consider opening local bank accounts, understanding the taxation system, and possibly investing locally.
Information on bank accounts
Major banks, like the National Bank of Egypt, offer services to foreigners. A residency permit, proof of address, and a passport are typically needed.
Tax Obligations
Egypt imposes taxes on global income for residents and on Egyptian-sourced income for non-residents.
Relevant taxes
Income tax rates vary based on income, with a top rate of 25%. There's also a VAT of 14%.
How can we help
- InvestGo is a company that specializes in helping foreigners invest in property in Egypt. They can assist you throughout the residency process in several ways.
- First, InvestGo can provide you with the right property that fits your residency goals. Whether you are looking for a property that qualifies for a 5-year renewable residence permit or a 3-year renewable residence permit, InvestGo has the expertise and experience to help you find the right property that meets your needs.
- Second, InvestGo can arrange for the right legal representation to ensure that your real estate sale contract is drawn up according to civil law. They can connect you with a lawyer who can assist you in reviewing the contract clauses and ensure that your interests are protected.
- Third, InvestGo can connect you with the right third-party companies that help with the entire process. They work closely with these companies to ensure that you have a smooth and hassle-free investment experience. These third-party companies can help you with opening a bank account, transferring funds, and establishing a company in the Investment Authority.
- Overall, InvestGo can provide you with the support and guidance you need throughout the residency process. They have the expertise, experience, and network to help you invest in property in Egypt with confidence. Whether you are a first-time investor or an experienced one, InvestGo can help you achieve your investment goals and make your investment journey in Egypt a success.