Eng. Randa El-Menshawy, Minister of Housing, Utilities, and Urban Communities, announced today, Tuesday, that the Social Housing and Mortgage Finance Fund affiliated with the Ministry is preparing to offer 15,000 housing units under the rental system in a number of governorates and new cities within one month, according to the conditions approved by the Cabinet.
Eng. Randa El-Menshawy added that the offering comes in implementation of directives issued by President Abdel Fattah El-Sisi to provide housing units under a monthly rental system for citizens, helping meet the needs of a large number of citizens nationwide seeking housing units in line with their financial capabilities and circumstances.
The Minister of Housing explained that the new rental offering by the Social Housing and Mortgage Finance Fund includes 8,464 units in the governorates, 3,256 units in new cities, and 3,280 units constructed under the presidential “Decent Life” (Hayah Karima) initiative. She noted that these units will be offered in addition to the units previously announced by the New Urban Communities Authority, which include 5,000 units under a rent-to-own system, also within one month.
Eng. Randa El-Menshawy pointed out that the Social Housing and Mortgage Finance Fund continues to offer housing units under the presidential “Housing for All Egyptians” initiative and is preparing to launch a new announcement for low-income units under the ownership system in the governorates and new cities before the end of the current year.
The minister of housing noted that the ministry is keen to diversify the housing programs it offers to meet the needs of various segments of society and provide multiple housing alternatives suited to citizens’ income levels and financial capabilities, contributing to the state’s objectives of providing adequate housing and improving quality of life.
For her part, Mai Abdel Hamid, CEO of the Social Housing and Mortgage Finance Fund, said the fund’s new rental announcement includes 8,384 units with an area of 90 square meters and 80 units with an area of 75 square meters in the governorates.
Mai Abdel Hamid added that the 90-square-meter units offered by the Fund in the governorates are located in Cairo, Giza, Qalyubia, Menoufia, Damietta, Ismailia, Suez, Beheira, Beni Suef, Fayoum, Assiut, Sohag, Qena, Luxor, Aswan, and Matrouh governorates, while Minya Governorate alone will see the offering of 75-square-meter units.
The CEO of the Social Housing and Mortgage Finance Fund said the new rental announcement will also include 3,256 units in new cities, consisting of 2,606 housing units with an area of 90 square meters and 650 units with an area of 75 square meters.
She added that the new cities offering 90-square-meter rental units are New October, 15 May, New Obour, New Borg El Arab, Sadat, New Nubariya, New Fayoum, New Minya, New Assiut, New Sohag, New Akhmim, New Qena, New Tiba, New Aswan, and West Qena. The new cities offering 75-square-meter units are Capital Gardens, New Obour, and New Akhmim.
Mai Abdel Hamid pointed out that the Fund is cooperating with the presidential “Decent Life” (Hayah Karima) initiative, under which a number of units constructed as part of the initiative will be offered in different parts of the country as part of the Fund’s social role.
She explained that the new announcement includes 3,280 units under the “Decent Life” initiative, with areas ranging from 96 to 100 square meters, in the governorates of Giza, Menoufia, Gharbia, Luxor, Kafr El-Sheikh, Qena, Sohag, Beheira, Dakahlia, Minya, and Sharqia.
Mai Abdel Hamid added that the announcement includes several conditions detailed in the terms and conditions booklet, most notably that the applicant must be no older than 35 years and that the monthly amount deducted to pay the rent must not exceed 25% of the applicant’s total income. The remaining rental value will be paid in the form of support provided to beneficiaries.
She noted that the rental period for the offered units is three years, renewable for another rental period at the request of the beneficiary, provided that the beneficiary has fulfilled all obligations arising from the contract or any written amendments thereto. The renewal will be for another equivalent period under the terms, conditions, and value determined by the Social Housing and Mortgage Finance Fund at the time.
She added that if the tenant wishes to continue renting, they must submit an application at least three months before the end of the second rental period, stating whether they wish to own the unit or continue renting it according to the prevailing market rental value.
She noted that among the conditions is that if the applicant or any member of their family is renting a housing unit under exceptional rental laws and wishes to benefit from the units offered under this announcement, they must have submitted an application for an alternative housing unit through the Egypt Digital Platform and relinquished the rental contract concluded under the exceptional rental laws in favor of the unit owner before taking possession.
A notarized declaration of relinquishment must be submitted to the Real Estate Registration Office. Failure to submit the declaration will be considered a withdrawal from the application, and allocation and contracting procedures will be suspended.
Mai Abdel Hamid explained that beneficiaries of the rental program may benefit from housing units offered in the future under the low-income ownership program, after deducting the value of the support previously received from the support applicable at that time.
The beneficiary must return the housing unit allocated to them under the rental system to the fund in the same condition in which it was delivered or pay the cost of upgrading the unit, if applicable, and return all utility meter cards.
The CEO of the Social Housing and Mortgage Finance Fund pointed out that beneficiaries may transfer from the rental program to the ownership program during the contractual period after completing at least one year.
She added that a social assessment/inquiry report will be conducted through the Ministry of Social Solidarity’s directorates or inquiry companies to verify the authenticity of documents submitted by citizens and their eligibility for rental support.
The Fund will also conduct an inquiry into whether the applicant and their family members (husband/wife and minor children) have previously benefited from the Fund to ensure that they have not received a rental or ownership housing unit, a plot of land from the state, or any other housing support or mortgage finance initiative in order to determine their eligibility for rental support.
She explained that the applicant or their spouse, if applicable, must be a resident or employee in the same governorate where the housing unit they are applying for is located, based on their national ID card or income verification certificate. Units located in the governorates are exempt from this condition.
Mai Abdel Hamid noted that the new announcement will contribute to diversifying the options offered by the Social Housing and Mortgage Finance Fund to citizens seeking housing units in a manner that suits their specific social and financial circumstances.