It is common in Egypt that properties change hands by means of a power of attorney only, this contains risk
What is so important about the green contract ? :
1- The ownership in the Egyptian law only transfer officially from seller to buyer through registration procedures.
2- Registration protects the buyer from mortgage procedures if the seller takes a loan from bank.
3- Registration protects the buyer from administration arrest from any governmental authority such as tax authority, in case problems arise between the developer and this authority.
4- Registration protect buyer from any 2nd sale for the same apartment, the seller can make several Power of attorney for the same apartment for several buyers but the registration contract can’t make for more than one person.
5- The buyer will take official contract stamped and registered from the notary public, which will be the official title of deed, as the strongest document buyer can have in his hand.
6- Registration contract will reflect the exact square meter for the apartment, the exact share of the apartment in the land and the exact share of the apartment in the common areas in the building.
Conclusion:
ONLY BUY PROPERTIES WITH A GREEN CONTRACT
