The top 10 developers in Egypt recorded sales worth 235 billion pounds during the first quarter of the current year, with a growth rate of 217% compared to the first quarter of the previous year, 2023.
The report stated that the significant surge in sales during the first quarter was due to panic buying. It added that with the currency exchange rate floatation in March last year, this frenzy subsided, leading to a shift in customer anxiety towards developers who are now concerned about achieving their sales targets.
The report revealed that real estate development companies maintained their strong sales during January, February, and the beginning of March by launching several operations. However, the announcement of the largest direct investment deal in the Ras El Hekma project, followed by the announcement of the pound floatation plan, caused a shake-up in market dynamics and halted the panic state in sales.
The report revealed that real estate development companies maintained their strong sales during January, February, and the beginning of March by launching several operations. However, with the announcement of the largest direct investment deal in the Ras El Hekma project, followed by the announcement of the pound floatation plan, this caused a shake-up in market dynamics and halted the panic state in sales.
The report continued: After 18 months of sustained and vigorous sales growth, we are faced with several questions about the possibility of real estate price declines, the stance on slowing sales, and the situation regarding units purchased for investment hedging purposes. Will the market witness a correction process?
It affirmed that in times of instability and ambiguity, sales flourish, but with stability and clarity, sales decline relatively. During the Ramadan period, the market witnessed some stability and slowdown, but with the approaching North Coast season, it is expected that the market will regain momentum in sales. The North Coast is expected to witness an unprecedented level of competition with the entry of Talaat Moustafa Group for the first time, and with the announcement of the Ras El Hekma project, the areas are expected to experience a significant increase in demand from Egyptians and expatriates.
The report included a breakdown of sales for each of Talaat Moustafa Group, Orascom Development, Palm Hills, Mountain View, City Edge, La Vista Developments, Cityscape, New Giza, Hyde Park, and Egypt Development Company.
The report also highlighted that the number of units sold by the ten real estate companies reached 18,300 units during the first quarter of the current year, with a growth of 51% compared to the same period in the first quarter of 2023, with an average unit price of 13.5 million pounds, an increase of 115% from the same period last year.
