Egypt Real Estate Brokerage Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 2.45 Billion |
| Market Size (2029) | USD 3.63 Billion |
| CAGR (2024 - 2029) | 8.20 % |
| Market Concentration | Low |
Major Players
*Disclaimer: Major Players sorted in no particular order |
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Egypt Real Estate Brokerage Market Analysis
The Egypt Real Estate Brokerage Market size is estimated at USD 2.45 billion in 2024, and is expected to reach USD 3.63 billion by 2029, growing at a CAGR of 8.20% during the forecast period (2024-2029).
- The Egyptian real estate brokerage market operates as a dynamic segment within the country's broader real estate industry. Egypt's real estate industry has been on a steady growth trajectory, fueled by factors such as population expansion, urbanization, and economic development initiatives. This market encompasses a diverse range of properties, spanning residential (apartments and villas), commercial (office spaces and retail units), and tourism-centric (resorts and hotels) offerings.
- Key urban hubs, notably Cairo and Alexandria, stand out as pivotal centers for real estate activities, given their dense populations and economic significance. The ongoing trend of urbanization continues to propel demand for both residential and commercial real estate.
- Egypt remains a magnet for both local and global investors eyeing real estate opportunities, particularly in tourist hubs along the Red Sea coast and historical locales, drawn by the promise of robust rental yields.
- The year 2024 kicked off on a strong note for Egypt's residential sector, witnessing the completion of over 7,000 units, primarily in large-scale master-planned developments. This pushes Cairo's total residential stock to around 276,000 units, with an additional 24,000 units set for completion by year-end. With bolstered cross-border collaborations, heightened foreign investments, and a government push to boost tourism, Egypt's hospitality sector is also on an upward trajectory. The nation aims to host 30 million visitors by 2028, with plans to augment its hotel capacity by almost 250,000 keys. While Q1 didn't witness any major hotel openings, the latter half of 2024 is poised to unveil several new hotels and renovations of existing properties.
- The Egyptian real estate brokerage market stands at the point of significant growth, driven by urbanization, infrastructure enhancements, and ongoing economic reforms. Brokers who adeptly navigate regulatory hurdles, harness technology, and seize emerging prospects are primed to excel in this evolving landscape.
Egypt Real Estate Brokerage Market Trends
Increasing Investments in Real Estate Development
- The residential and mixed-use real estate sectors in Egypt are bustling with a total of 522 projects, collectively valued at USD 309.9 billion (AED 1.1 trillion). These projects dominate the landscape, accounting for over half of all projects, and command a significant 83% of the total investments.
- Spread across 21 governorates, Egypt's real estate ventures are making significant progress, with approximately 52% of them already past the halfway mark in construction. Notably, Cairo leads the pack, securing 59% of residential real estate investments, closely followed by Giza Governorate at 15%.
- Q1 of 2023 saw eight developers kick-starting nine projects across four governorates, with an initial estimated cost of USD 1 billion (AED 3.67 billion). However, these figures are set to soar, with projections indicating a staggering increase to USD 15 billion (AED 55 billion) in the subsequent quarter.
- Naia Development, previously known as Jumeirah Egypt Real Estate Investment, took the lead in Q1, committing USD 370 million (AED 1.4 billion), representing a notable 37% of the total investment. Meanwhile, Times Development was not far behind, aiming for an investment of approximately USD 252 million (AED 926 million). The lion's share of these new developments, around 44%, is concentrated in Cairo, with Giza Governorate trailing at 33%, primarily centered in New Zayed City.
- Q1 of 2023 marked the completion of 17 projects in Egypt, collectively valued at USD 1.304 billion (AED 4.8 billion). This showcases a robust 31% increase in volume and a 32% surge in value compared to the same period in 2022. Cairo, with around 24% of these projects, saw New Cairo emerge as the focal point, hosting 50% of the city's projects and contributing a staggering 92% of their total value.
- Noteworthy achievements in Q1 2023 include Palm Hills Developments (PHD), which solidified its position as a key player by constructing 662 buildings in the Palm Hills-Fera New Cairo project, amounting to USD 640 million (AED 2.35 billion). In addition, Cairo Investment and Real Estate Development (CIRA) invested close to USD 200 million (AED 735 million) in the completed Katameya Dunes Compound in New Cairo.
- Giza Governorate saw the delivery of 18% of the projects, with a cumulative value of USD 108.5 million (AED 399 million). SODIC, a prominent player, wrapped up projects worth USD 44.5 million (AED 163.4 million) in phase two of The Estates compound in Sheikh Zayed City.
- As for the market trends, Q1 of 2023 witnessed a 30% surge in the average asking price for apartments compared to the previous year, while villas saw a 25% increase. Rentals were not far behind, with flats and villas witnessing a 24% uptick. This upward trajectory can be attributed to the depreciation of the Egyptian pound and the prevailing high inflation rates, impacting building costs in the real estate sector.
- For investors, Hay El Maadi emerged as a top choice for one-bedroom apartments, boasting an impressive 9.85% return on investment (ROI). Meanwhile, New Cairo City took the lead for three-bedroom villas, offering a solid 8% ROI.
- The robust growth and substantial investments in Egypt's real estate sector are significantly boosting the real estate custom brokerage market. The increasing number of projects and rising property values create a fertile ground for brokerage firms to thrive, offering specialized services to navigate the complex market dynamics. This surge in activity not only enhances the demand for brokerage services but also drives innovation and competition within the sector, ultimately benefiting consumers and investors alike.
Increasing Urbanization and Population Growth Driving the Real Estate Brokerage Services
- Urbanization drives population growth in cities, intensifying the need for housing. As urban hubs attract more people in pursuit of better job prospects, education, and amenities, the demand for residential properties surges. Real estate brokers play a pivotal role in facilitating transactions between buyers and sellers.
- With Egypt's urban growth rate currently at 2%, its cities need to accommodate nearly 1 million new residents annually. Projections suggest that by 2041, urban residents will outnumber their rural counterparts, with an estimated 69 million individuals living in urban areas.
- Between 2024 and 2029, Egypt's population is forecasted to grow by 11.2 million, marking a 10.39% increase. This growth trajectory is set to culminate in a population peak of 119 million in 2029, following a decade of consistent increases. It is important to note that Egypt's population has been steadily rising in recent years.
- Urbanization in Egypt is not just boosting demand for residential properties; it is also driving interest in commercial real estate. As urban areas expand, the need for office spaces, retail outlets, industrial facilities, and hospitality venues rises. Commercial real estate brokers are instrumental in helping businesses secure suitable locations and navigate negotiations, be it for leasing or purchasing.
- Urbanization emerges as a key catalyst for Egypt's real estate brokerage market, fueling demand for residential and commercial properties. This trend not only spurs infrastructure development and boosts property values but also diversifies property offerings and fosters economic growth. Brokers who grasp the nuances of urbanization and adeptly navigate the evolving market landscape are poised to leverage the opportunities arising from Egypt's urban growth. This surge in demand for both residential and commercial properties significantly boosts the real estate custom brokerage market, as brokers are increasingly sought after to provide tailored solutions and expert guidance in a rapidly evolving urban environment.
Egypt Real Estate Brokerage Industry Overview
Egypt's real estate industry is witnessing robust growth, driven by a surge in infrastructure projects, residential developments, and commercial ventures, all in response to escalating demand. Urbanization stands out as a pivotal force fueling this demand surge. With a rising influx into urban centers, the appetite for both sale and rental housing has intensified. The Egyptian real estate landscape is notably diverse, spanning residential, commercial, and industrial segments. Such diversity not only caters to a broad spectrum of client needs but also presents a myriad of opportunities for property brokerage firms. Notably, the Egyptian government has been actively promoting foreign investments, especially in sectors like tourism and hospitality, successfully luring in international investors and developers, thereby bolstering the property market's growth trajectory. Some of the key players are New Capital for Real Estate, Palm Hills Developments, The Address Investments, and MB Real Estate, among others.
Egypt Real Estate Brokerage Market Leaders
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The Address Investments
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Palm Hills Developments
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MB Real Estate
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Connect Homes
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Remax
*Disclaimer: Major Players sorted in no particular order
Egypt Real Estate Brokerage Market News
- May 2024: Sotheby's International Realty, under the leadership of George Azar, Chairman and CEO of Dubai and Saudi Arabia Sotheby’s International Realty, unveiled a novel service tailored for ultra-high-net-worth individuals and multifamily offices. This service offers a comprehensive suite encompassing premier real estate luxury assets like fine art, jewelry, and automobiles alongside holistic wealth management, investment, and legal counsel.
- April 2024: Marriott International Inc. announced a strategic agreement with Palm Hills Developments to launch The Ritz-Carlton Cairo, Palm Hills. This move underscores Marriott's dedication to bolstering its luxury brand presence in Egypt. Set to debut in 2027, The Ritz-Carlton Cairo, Palm Hills, will boast 150 guestrooms, along with 50 serviced apartments ranging from one to three bedrooms. Nestled in West Cairo, the property will embody The Ritz-Carlton's renowned service and sophisticated design. Envisioned amenities encompass five distinct dining venues, a spa, fitness center, pool, children's club, and cutting-edge meeting and event spaces.
Egypt Real Estate Brokerage Market Report - Table of Contents
1. INTRODUCTION
1.1 Study Assumptions
1.2 Market Definition
1.3 Scope of the Study
2. EXECUTIVE SUMMARY
3. RESEARCH METHODOLOGY
4. MARKET INSIGHTS
4.1 Current Market Scenario
4.2 Government Regulations and Initiatives
4.3 Technological Advancements
4.4 Real Estate Buying Trends - Socioeconomic and Demographic Insights
4.5 Financial Impact on Egypts Real Estate Market
4.6 Insights into Residential/Commercial Real Estate Brokerage Services
4.7 Impact of COVID-19 and Geopolitical Events on the Market
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Population Growth and Urbanization Boosting the Market Demand
5.1.2 Rising Real Estate Prices Across Major Cities
5.1.3 Wealth Accretion in Youth Population
5.1.4 Technological Innovations in the Real Estate Brokerage Industry
5.2 Market Restraints/Challenges
5.2.1 Regulatory Environment
5.2.2 Evolution of Online Platforms Connecting Buyers Directly to Customers
5.3 Market Opportunities
5.3.1 Tourism and Hospitality
5.3.2 Green Buildings and Sustainability
5.4 Porter's Five Forces Analysis
5.4.1 Bargaining Power of Suppliers
5.4.2 Bargaining Power of Consumers
5.4.3 Threat of New Entrants
5.4.4 Threat of Substitutes Products and Services
5.4.5 Intensity of Competitive Rivalry
5.5 Value Chain/Supply Chain Analysis
6. MARKET SEGMENTATION
6.1 By Type
6.1.1 Residential
6.1.2 Non-Residential
6.2 By Service
6.2.1 Sales
6.2.2 Rental
6.3 By City
6.3.1 Cairo
6.3.2 Alexandria
6.3.3 Rest of Egypt
7. COMPETITIVE LANDSCAPE
7.1 Market Concentration
7.2 Company profiles
7.2.1 New Capital for Real Estate
7.2.2 Palm Hills Developments
7.2.3 Amer Group
7.2.4 Roya Developments
7.2.5 Sotheby's International Realty
7.2.6 Bluerock Real Estate
7.2.7 Alfajr Real Estate
7.2.8 The Address Investments
7.2.9 MB Real Estate
7.2.10 Remax
7.2.11 Connect Homes
7.2.12 Coldwell Banker
- *List Not Exhaustive
7.3 Other Companies
8. FUTURE OF THE MARKET
9. APPENDIX
Egypt Real Estate Brokerage Industry Segmentation
The real estate brokerage market, a subset of the expansive real estate industry, comprises intermediaries, commonly referred to as real estate brokers or agents. These professionals represent buyers, sellers, or both, facilitating negotiations for the sale, lease, or rental of properties spanning residential, commercial, industrial, and agricultural segments.
The Egyptian real estate brokerage market is segmented by type (residential and non-residential), service (sales and rental), and city (Cairo, Alexandria, and the Rest of Egypt). The report offers market sizes and forecasts in value (USD) for all the above segments.
| By Type | |
| Residential | |
| Non-Residential |
| By Service | |
| Sales | |
| Rental |
| By City | |
| Cairo | |
| Alexandria | |
| Rest of Egypt |
Egypt Real Estate Brokerage Market Research FAQs
How big is the Egypt Real Estate Brokerage Market?
The Egypt Real Estate Brokerage Market size is expected to reach USD 2.45 billion in 2024 and grow at a CAGR of 8.20% to reach USD 3.63 billion by 2029.
What is the current Egypt Real Estate Brokerage Market size?
In 2024, the Egypt Real Estate Brokerage Market size is expected to reach USD 2.45 billion.
Who are the key players in Egypt Real Estate Brokerage Market?
The Address Investments, Palm Hills Developments, MB Real Estate, Connect Homes and Remax are the major companies operating in the Egypt Real Estate Brokerage Market.
What years does this Egypt Real Estate Brokerage Market cover, and what was the market size in 2023?
In 2023, the Egypt Real Estate Brokerage Market size was estimated at USD 2.25 billion. The report covers the Egypt Real Estate Brokerage Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Egypt Real Estate Brokerage Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Egypt Real Estate Brokerage Industry Report
Statistics for the 2024 Egypt Real Estate Brokerage market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Egypt Real Estate Brokerage analysis includes a market forecast outlook for 2024 to (2024to2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
