How to release an apartment sale contract from social housing

The Ministry of Housing amended the period of possibility of selling a social housing apartment to 5 years instead of 7 years.

The contract for the sale of an apartment from social housing is an agreement between the two parties, the seller and the buyer, to purchase an apartment from the social housing apartments by issuing a contract for the sale of an apartment from the social housing.

Article 418 of the Civil Code stipulates that (a sale is a contract by which the seller is bound to transfer to the buyer ownership of a thing or other financial right in return for a cash price).

The contract for the sale of an apartment from social housing is widespread at the present time, despite the refusal of the Ministry of Housing and its various agencies to recognize the contract for the sale of an apartment from social housing.

The ministry of housing Restrictions were placed on contract for the sale of an apartment from social housing   several publications were issued addressing the real estate registry not to document any contract of sale of an apartment from social housing and not to make any power of attorney to sell to oneself or others emanating from a contract of sale of an apartment from social housing.

Correct legal formula

Before we clarify the correct legal formula for the contract for the sale of an apartment from social housing, we must know the correct legal methods for the contract for the sale of an apartment from social housing. 

The Ministry of Housing clarified the period of possibility of selling a social housing apartment to become 5 years instead of 7 years, whereby citizens can sell the apartment, and those who obtained apartments in new cities during the past years after 5 years of obtaining them, They can sell the unit through the city’s apparatus and the bank that deals with the citizen through a mortgage loan, especially since selling in a fictitious manner falls under the law, because the sold units are subsidized by the state.

The correct legal way to contract the sale of an apartment from social housing:

1. The confiscator shall be notified by the Social Housing Fund Department of the sale process.

2. He pays the rest of the loan price in full so that he can sell legally, as the Housing Law abolished selling by proxy, lease contract or fictitious sale.

3. For a fund that makes sure before the sale that there are no violations of any kind, and the buyer replaces the seller in all applicable obligations or controls.

4. In the event that the sale or lease of social housing apartments is disclosed in a fictitious or subcontracted manner, the apartment will be confiscated and no ownership or lease contract will be considered. Consequently, the buyer will lose his money and his rights, especially since the contract is illegal.

5. The citizen selling the apartment is transferred to the Public Prosecution Office, according to the penalties for selling outside the legal framework defined by the Housing Law.

6. A period of 5 years must elapse after obtaining the apartment, and the confiscator must notify the Social Housing Fund of the sale process, and then pay the rest of the loan price in full so that he can legally sell.

7. The CEO of the Mortgage Finance and Real Estate Finance Support Fund clarified that those who deal in social housing units illegally shall be punished by imprisonment for a period of no less than one year, and a fine of no less than 20,000 pounds and not exceeding 100,000 pounds, or one of these two penalties, in addition to the unit’s return.

Social housing project

Since President Abdel Fattah El-Sisi took over the rule of Egypt, he began to restructure it again and worked to provide all means of comfort for citizens to facilitate their lives.

The social housing project aims to provide adequate housing for low-income groups throughout the Republic at affordable prices that suit the income of the beneficiaries.

The social housing project is one of the projects that came in cooperation with the Ministry of Housing and the Central Bank as part of the initiative to support real estate financing for the Central Bank, in implementation of the directives of President Abdel Fattah El-Sisi, with interest rates of 3% and 8% decreasing.

The areas of the residential units of the “Misr Sakan” project range from 106-133 square meters and are distinguished by distinctive and modern architectural designs. They are also surrounded by vast green spaces to provide a pure environment.