Due diligence before you buy.

Due diligence is the homework you do before you sign a contract or transfer any money. It confirms that the unit exists as described, that the seller has the right to sell it, that the title is clean, and that the terms you agree to are the terms you actually get. In El Gouna and across Egypt, this homework is what turns a hopeful purchase into a safe one.

El Gouna is a master-planned Red Sea town developed primarily by Orascom Development, roughly 25 kilometres north of Hurghada, with a marina, golf, and a network of lagoons. That master-planned structure makes some checks easier — the town and its phases are well documented — but it does not remove the need to verify the specific unit, the specific seller, and the specific contract in front of you.

This guide is a buyer's checklist. It applies to both routes: a brand-new off-plan unit bought from a developer, and a completed resale unit bought from a current owner. Some checks differ by route, and the guide flags where. The order roughly follows a sensible sequence: confirm who you are dealing with, confirm what they are selling, confirm the unit's condition and obligations, then confirm the contract.

The single most important principle is to verify before you pay, not after. A reservation deposit, once paid, is far harder to recover than it is to never pay in the first place.

Disclaimer: This is a general process guide, not legal, tax, or financial advice on a specific transaction. Egyptian property law and procedure change and depend on the unit, the parties, and your own circumstances. Engage a qualified Egyptian real-estate lawyer for any actual purchase.

Start with who you are dealing with, because every later check depends on it.

For a resale unit, confirm that the person selling is the registered owner, or holds a valid, documented power of attorney to sell on the owner's behalf. Match the name on the ownership documents to the seller's identification. Where an agent represents the seller, confirm the agent's mandate and that any deposit is held in a properly identified account, not handed over informally.

For an off-plan unit, the counterparty is a developer, and the developer's track record carries more weight than in resale because you are buying a promise to build and deliver. Reasonable checks include:

• Delivery history — prior phases or projects completed, and whether they were delivered on time and to the agreed specification.
• Corporate standing — that the developing entity is properly registered and is the party named in your contract.
• Reputation signals — independent owner feedback, not only the developer's own marketing.

In both cases, be cautious with intermediaries you cannot trace. A legitimate seller or developer will not object to identity verification, document requests, or a lawyer's involvement. Resistance to basic verification is itself a warning sign.

Disclaimer: Verifying corporate standing and ownership records in Egypt is best done through a local lawyer who can access and interpret the relevant registries. Do not rely on assurances alone.

The title check confirms that the seller owns what they are selling and that the unit is free of claims that would transfer to you.

A thorough title review typically looks for:

• Clear, registered ownership — the seller's name on the official record, traced back through prior transfers where relevant.
• No encumbrances — no mortgage, lien, court dispute, or third-party claim attached to the unit.
• Boundary and description match — that the registered unit matches the property you are actually buying, including any parking, storage, or land allocation.
• Inheritance clarity — where the unit passed through inheritance, that all heirs consent and the chain is documented.

Egypt operates a property registration system, and foreign freehold ownership runs under Law 230/1996, covered in the foreign-ownership guide. The practical point for a buyer is that registration status and history are verifiable through official channels, and a lawyer should do that verification rather than the buyer accepting copies of documents at face value.

For off-plan, title transfers to you around handover rather than at signing, so the early focus is the developer's right to the land and the contractual path to your eventual registered title. For resale, the focus is the existing registered title and a clean transfer to your name.

Disclaimer: Title verification is a legal task with real consequences. The categories above are general; the exact searches, documents, and registration steps depend on the unit and must be handled by a qualified Egyptian real-estate lawyer.

This check matters most for off-plan and newer units, where construction is recent or still under way.

For an off-plan or under-construction unit, reasonable areas to confirm include:

• Building permits and approvals — that the development is properly licensed to be built as described.
• Completion stage — the actual construction progress against the contracted schedule, ideally observed on site.
• Delivery terms — what the contract commits to deliver, by when, and what happens on delay or non-delivery.
• Snagging and handover — how defects found at handover are recorded and remedied before final payment.

For a completed resale unit, the relevant questions shift to whether any later modifications were permitted and documented, and whether the building has the certificates expected for a finished, occupied property.

Within a master-planned town, much of the underlying infrastructure and approvals sit at the development level, which can simplify the picture. Even so, the specific unit's permits, completion stage, and delivery commitments are what protect your money, and they belong in writing in the contract, not in a sales conversation.

Disclaimer: Permit and completion verification can require local technical and legal input. Treat any timeline given verbally as indicative only; rely on the written contract and independent checks.

Service charges fund the upkeep of shared areas, security, landscaping, and amenities. In a managed resort town, they are a normal and recurring cost of ownership, and their history tells you two things: how the unit has been maintained and whether any debt would transfer to you.

For a resale unit, ask for and verify:

• Arrears status — confirmation that the service-charge account is fully paid, with no outstanding balance that could become your liability.
• Current rate — the present annual or periodic charge for the unit, so you can budget accurately.
• Recent history — how the charge has moved over recent years, which signals future direction.
• What is included — the services the charge actually covers, and any separate costs (for example, utilities or specific amenity access).

For an off-plan unit, the service charge usually begins around handover, so confirm the basis on which it will be set and what it is expected to cover once the phase is operational.

Unpaid service charges are a common and avoidable problem. A clean, documented account at transfer protects you from inheriting a previous owner's debt.

Disclaimer: Service-charge structures and the treatment of arrears vary by development and by contract. Confirm the figures and the arrears position in writing through the managing entity and your lawyer before completing.

An inspection confirms that the unit's real condition matches its description and price.

For a resale unit, you can inspect what you are actually buying. A practical inspection covers:

• Structure and systems — walls, roof, plumbing, electrics, air conditioning, and water, checked for condition and function.
• Finishes and fittings — the real quality of floors, kitchens, bathrooms, and joinery, against what the listing claims.
• Outlook and orientation — the actual view, light, and noise, which can differ from photographs.
• Documented contents — where the unit is sold furnished, a written inventory of what is included.

For an off-plan unit, you cannot inspect the finished home because it does not exist yet. Instead, assess the floor plans, the specification, a show unit if available, and the developer's prior completed work as the closest proxy. The real inspection then happens at handover, through a snagging process that records defects for the developer to fix before final payment.

Where a unit is high in value or shows signs of age, an independent professional survey is a sound investment. It is far cheaper than discovering a structural or systems problem after you own the unit.

Disclaimer: Photographs and descriptions are marketing. Treat them as a starting point, verify the real unit in person or through a trusted local representative, and commission a professional survey where the value or condition warrants it.

The contract is where every earlier check is locked in or lost. A verbal assurance that is not in the written agreement does not protect you.

Areas a lawyer should review before you sign include:

• Parties and unit — correct legal names, and a precise description of the unit matching the registered title or off-plan specification.
• Price and payment — the total price, the payment schedule, what each payment unlocks, and the consequences of late payment by either side.
• Delivery and registration — for off-plan, the delivery date and remedies on delay; for both routes, the path and responsibility for registering title in your name.
• Defects and warranties — what condition is guaranteed, and how defects are handled after handover.
• Exit and default — what happens if you, or the seller or developer, cannot complete, and how your paid funds are treated.

Read the full agreement, including annexes and specifications, not just a summary. Translation matters: if the binding version is in Arabic, you need a reliable translation and a lawyer who works in both languages so nothing is lost between versions.

Never sign or pay under time pressure. A genuine opportunity survives a few days of proper review. Pressure to "decide today" is a tactic, not a deadline.

Disclaimer: Contract review is a core legal task. The points above are general; the binding terms, their enforceability, and the remedies available depend on the specific contract and Egyptian law, and must be assessed by a qualified Egyptian real-estate lawyer.

Due diligence is a team task, and the right people reduce both cost and risk.

• An independent Egyptian real-estate lawyer is the central figure. They verify the seller and title, review the contract, confirm licenses where relevant, and manage registration. Independent means acting for you, not the seller or developer.
• A reputable local agent helps you find suitable units, understand pricing and neighbourhoods, and communicate with the seller. A good agent welcomes your lawyer's involvement.
• A professional surveyor or engineer inspects the physical condition of a resale unit, or assesses construction at handover for off-plan.
• A notary or the relevant registration authority formalises the transfer of title under Egyptian procedure.
• A tax adviser clarifies your obligations both in Egypt and in your home country, especially if you plan to rent the unit or hold it as an investment.

You do not need every party on every purchase, but the lawyer is non-negotiable. The cost of independent legal advice is small against the value of the unit, and far smaller than the cost of a problem discovered after you own it.

Disclaimer: Choose advisers who act independently in your interest. A lawyer or agent recommended only by the seller may have a conflict; an independent recommendation or your own selection is safer. Tax outcomes are personal — take advice on your own situation.

Some warning signs should slow you down or stop you entirely. None of these alone proves a problem, but each deserves a clear explanation before you proceed.

• Pressure to pay fast. Urgency to reserve or transfer money "today" is a tactic that bypasses verification. A genuine deal survives proper checks.
• Resistance to a lawyer. A seller or developer who discourages independent legal review, or who only offers their own lawyer, is a concern.
• Missing or copy-only documents. Refusal to provide originals of title or identity documents, or vagueness about ownership, blocks the most basic checks.
• A price far below the market. A unit priced well under comparable listings often carries a reason — a title issue, arrears, a defect, or a problem with the seller's right to sell.
• Informal or untraceable payment. Requests to pay cash, to an unrelated account, or off the contract, remove your protection if anything goes wrong.
• Unregistered or unclear title. Where ownership cannot be confirmed on the official record, do not pay.
• Verbal promises only. Anything important that is not in the written contract is not protection. If it matters, it must be written.

When a red flag appears, the right response is to pause, ask for a clear written explanation, and have your lawyer assess it before any money moves.

When you are ready to compare actual units, browse the live inventory and filter by neighbourhood, price, and type. A careful buyer with an independent lawyer is the best protection against every risk above.

Disclaimer: This list is general guidance, not a complete catalogue of risks. The presence or absence of these signs does not replace professional verification. When in doubt, take independent legal advice before committing any funds.