Egypt’s Mortgage Finance Surges 25% to EGP 27.6 Billion in H1 2026 Despite Drop in Contract Volume
Mortgage financing granted by real estate finance companies in Egypt recorded a robust 24.9% year-over-year growth during the first half of 2026, reaching EGP 27.625 billion, up from EGP 22.114 billion in H1 2025.
According to the monthly report issued by the Financial Regulatory Authority (FRA) and obtained by FintechGate, the total value of mortgage refinancing also witnessed a significant surge, jumping 50.6% to reach EGP 2.759 billion compared to EGP 1.832 billion during the same period last year.
However, this growth in value contrasts with a decline in volume. The total number of mortgage contracts dropped by 9% in H1 2026, settling at 7,945 contracts compared to 8,729 in H1 2025, reflecting higher average ticket sizes per contract.
Geographically, Cairo dominated the mortgage market, capturing EGP 18.169 billion across 4,276 contracts. Giza followed in second place with EGP 4.223 billion (2,111 contracts), while Alexandria and Matrouh secured EGP 3.590 billion (1,396 contracts).
Demographically, clients with monthly incomes exceeding EGP 3,500 accounted for the vast majority of the market, securing EGP 27.293 billion across 7,876 contracts. Meanwhile, corporate portfolio acquisitions (Purchased Portfolios) dominated the funding structure, accounting for EGP 18.152 billion of the total financing.
The sector closed the half-year mark on a high note, with June 2026 alone witnessing a 38.4% spike in mortgage values to EGP 7.667 billion, supported by a 19.5% increase in monthly contract volumes.
Egypt Mortgage Finance Snapshot (H1 2026)
The table below outlines the core financial metrics and geographical distribution of the mortgage sector during the first half of the year:
Metric / SegmentRecorded FigureYear-over-Year (YoY) Context
Total Mortgage FinanceEGP 27.625 Billion+24.9% (Up from EGP 22.114B)
Total Contracts7,945 Contracts-9% (Down from 8,729 contracts)
Refinancing ValueEGP 2.759 Billion+50.6%
Cairo (Top Region)EGP 18.169 BillionCaptured ~65% of total market value
Purchased PortfoliosEGP 18.152 BillionPrimary driver of corporate financing
Normal Retail ClientsEGP 9.473 BillionRepresents direct-to-consumer lending
June 2026 Monthly JumpEGP 7.667 Billion+38.4% YoY surge for the month of June
Key Strategic Drivers & Market Takeaways
Value vs. Volume Divergence: The 25% increase in total financing value coupled with a 9% drop in the number of contracts clearly indicates that the average loan size has grown significantly. This is likely driven by rising property valuations and inflationary pressures on real estate assets.
Corporate Portfolio Dominance: The heavy weighting of "Purchased Portfolios" (EGP 18.15B) versus direct retail clients (EGP 9.47B) suggests that mortgage finance companies are aggressively buying existing receivables from real estate developers to inject liquidity back into the market, rather than originating all loans directly.
Geographic & Demographic Concentration: The market remains highly centralized in Greater Cairo, which commands the lion's share of high-value real estate. Furthermore, the data shows absolute reliance on higher-income brackets (>EGP 3,500), while the Mortgage Finance Subsidy Fund segment recorded zero corporate financing activity, reflecting the corporate sector's focus on premium and middle-income housing.