Ebikatsu wrote:
The teacher said that on the west bank there are 2 districts with new villa's and businesses. He said that they were almost exclusively bought from western money. Usually older women buying and setting up home and business with local boys. he feared that the land which was Egyptian and used to be handed down to children through the generations was being lost.
This part is one of the biggest unspoken problems. The foreigners' investments have driven up the property prices to ridiculous levels. That's great for those who have property, but locals who don't have property and don't work in the tourist business and don't want to cheat foreigners for a living who lead honest decent lives are now priced out of the market. There are people who earn less than 1000LE a month in Luxor, sometimes much less. And then you have people buying places for 1 million. It's insane.
Luxor is a more desirable area than some other parts of Egypt in some ways, but what sets it apart from the rest of the country really is the monuments. And for most people who are investing in Luxor, that is only of marginal importance if at all. So there is no reason for property to be as expensive as it has gotten there except for the fact that there are foreigners with shitloads of money willing to throw their money into property.
There are some places in Cairo or Alexandria that are more expensive, but there are also parts of Cairo that are of equal desirability or even more desirable in terms of the amenities available that are cheaper than Luxor.
Anyway, I've done a lot of reading about the period leading up to Iranian Revolution and it is quite spooky how many parallels there are between that period and Egypt today, even in many small details. One thing that was happening before the Iranian Revolution was that foreigners were buying up property in Iran. Well, the Revolution put quite an end to that. I would not be at all surprised if in a few years we see a lot of foreigners trying to unload all those nice villas for whatever few piasters they can get...People also forget that Nasser took lots of property away from foreigners and they were only allowed to own property again in 1989.