By: Hamada Ismail
Real estate companies extended their promotional offers to include the month of Ramadan in an attempt to support the relative growth the sector has experienced during the last several months. The offers included extended financing periods, lowered down payments, discounts for up-front payments, and gifts such as furniture.
Traders in the sector said that the offers are designed to attract clients working abroad who spend their Ramadan holiday in Egypt. In addition, the companies were targeting clients who did not have an opportunity to take advantage of deals during the short real estate season or offers made in real estate exposed recently.
They noted that real estate companies will have to adapt to the reality that Ramadan is now part of the real estate season and will remain so for the next five years. They added that real estate companies must do away with the impression that the holy month is a time of calm and lower sales, stressing the necessity of marketing properties with the same level of energy as the rest of the year.
Ashraf Fahmy, Chairman of the Board of Directors for company El-Diar, said that his company had become used to offering deals during the summer real estate season, ending the offers with the start of Ramadan, which normally witnesses slower sales. He added that the company offered deals that included extending financing periods to five years instead of three in addition to an 18% discount in the case of up-front payment.
He said that the company will extend the offers throughout the month of Ramadan, explaining that many potential clients working abroad will spend their Ramadan holidays in Egypt. He noted that the company’s advertisement campaigns will continue.
Fahmy said that President Morsy’s trip to Saudi Arabia will have a positive impact on sales, particularly to Saudis and Egyptians working in the kingdom.
He added that competition between real estate companies is fierce, especially for projects along the northern coast, driving companies to exert great efforts to attract the greatest number clients to implement all phases of projects.
Rasha Fouad, an official with Creation for Development, explained that her company offered several deals for its projects in Al-Shorouk City that included five year extended finance periods, zero down payments, and up to 20% discounts for up-front payments.
She added that the company decided to extend the offers during Ramadan because of the recent increase in sales after President Morsy’s electoral victory was announced. She went on to say that the company will offer new deals as well, including offering special gifts for the first ten buyers, noting that the company offered cars with double-lux villas at recent real estate expos.
Fouad said that the company formulated a plan for Ramadan that will not interfere with current projects. The company plans to deliver all units on time and for promotional efforts to continue.
Aliaa Hussien, Director of Marketing for the Yafamak development company, noted that her company will continue its work during the month of Ramadan, pointing out the holy month this year coincides with the height of the real estate season, particularly on the northern shore.
She predicted sales rates, which rose recently, to remain strong during Ramadan, especially if companies continue with their current marketing campaigns.