A new property financing product, Egara, will be launched soon by the United Bank of Egypt (UBE) to finance residential units for low and medium-income individuals, according to Chairperson of UBE, Ashraf Al Kady, Daily News Egypt reported.

The new product will be offered in both regular and Islamic forms, while internal procedures to finalize the product are currently underway, said Al Kady in an interview with Daily News Egypt.

Under the Egara system, residential units are owned by the bank until the owner completes all installments owed. Registering the units in the new system is, therefore, redundant which avoids the complicated registration process and thus decreases the cost of financing.

“The bank focuses on real estate financing. We offer financing to all segments, especially low and medium-income individuals, because our belief is that this sector significantly contributes to the development of the economy. Egara works on solving one of the most important problems facing citizens, which is affording housing, especially for low- and medium-income individuals,”Al Kady said.

The Central Bank of Egypt (CBE) signed an agreement with the Mortgage Finance Fund to finance housing units for low to medium income earners in the Suez governorate, Al-Kady added.

About 50 units were delivered recently, and the remaining units are either being processed or being built.

UBE is currently looking to obtain and finance homes in both New Cairo and 6th of October City.