President Abdel-Fattah El-Sisi has ratified a law amending Egypt’s decades-old rent system, marking a major shift in landlord-tenant relations. The move follows the law’s approval by the House of Representatives on 2 July and its publication in the Official Gazette on Monday, 4, August.
The new law introduces transitional periods before existing contracts are terminated, seven years for residential units and five years for non-residential ones.
After this period, rental agreements will no longer be governed by the old rent law and will instead fall under Egypt’s Civil Code, allowing landlords and tenants to set terms freely.
During the transitional phase, rents will increase gradually by 15 percent each year. Additional rent hikes will be applied based on location. In prime areas, rent will increase by 20 times the current amount, with a minimum of EGP 1,000 (USD 20) per month.
In middle-income areas, rent will rise tenfold, with a minimum of EGP 400 (USD 8), while in economic areas, it will increase by at least ten times, with a minimum of EGP 250 (USD 5). Non-residential units rented by individuals will see rent multiplied by five.
Eviction will also be permitted in certain cases during the transitional period, including if tenants are offered suitable alternative housing by the government, if the unit has been left closed for over a year without justification, or if the tenant owns another property that serves the same purpose.
The amendments come months after a November 2024 ruling by Egypt’s Supreme Constitutional Court, which deemed fixed rents unconstitutional and called for legislative reform to address the long-standing imbalance between landlords and tenants.
According to the Central Agency for Public Mobilization and Statistics (CAPMAS), around 409,000 households fall under the old rent system, with Cairo accounting for the largest share, followed by Alexandria, Giza, and Dakahlia. Many of these households are made up of elderly residents living on fixed incomes.
Officials say the law aims to resolve a decades-old crisis and restore property rights, but the legislation has faced criticism over concerns it could leave vulnerable tenants, particularly the elderly, without secure housing once the transitional period ends.
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