Typical house buying procedure

The market consists of resale or key ready properties (which are ready to be moved into) and off-plan properties (which may be at any stage of construction, including not yet existing in any form but on paper).
Off-plan properties normally require a deposit of between 20% and 40% of the purchase price, and may allow interest free payment plans for a number of years. They are registered as complete properties at the point that they become inhabitable.
Other than that, all stages of the purchase process are the same as for key ready properties, which is described below.
By law, the purchase contract must be in both Arabic and English. You will need an independent solicitor, who can check the Arabic and English terms of the contract. They can conduct all due diligence: the seller’s history; all necessary ownership and building permissions for the property; and whether there are outstanding debts on the property that you will inherit as the new owner. They will also ensure that all due taxes and utility bills are paid on the property up to the date of purchase.
Always agree fees with your solicitor before proceeding, and be sure to choose one who is experienced in property sales. Do not go with a solicitor simply because they are recommended by the seller.

Once you have confirmed the price with the seller, you will normally pay a reservation deposit, which will secure the property and remove it from the market. This is normally non-refundable.
The purchase contract is then drawn up. This details everything about the purchase, including: the property (location, street name, building number and floor number); your details; the seller’s details; precisely what you are purchasing; confirmation that the building was constructed under license from the government; a date for the final transfer of funds and completion; and the payment method. You will sign two copies, and pay a further deposit, as specified in the contract. The seller then signs the contracts, keeps one copy and returns the other to you.
At this stage, you can opt to register your purchase immediately, or to wait until completion. There are two types of registration. Local registration (also known as Court Validity Suite) is carried out by a local solicitor and takes two to six months. National registration is with the Land Registry in Cairo and can take a long time for new properties, as the owner or builder cannot begin the process until it has been built. The process from there can take 18 months to complete, and then they have to transfer the registration to the new buyer. Therefore, most buyers opt for local registration first, then national when it becomes possible.
Once everything has been completed according to the contract (i.e. you have paid the asking price and, in the case of off-plan properties, the property is ready to be lived in), you can take possession, regardless of the stage of registration you are at.
A complete off-plan property will not necessarily have water, a water boiler or electricity installed, so you may need to take care of this post-purchase.
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