Magdy Mostafa: Car Prices Are Better Now — 70% of Sales Are Installment-Based

Magdy Mostafa, an expert in car showrooms and marketing, says current car prices are far better than they will be tomorrow, revealing that around 70% of dealer and distributor sales are installment-based, with only 30% paid in cash. The figure signals a clear shift in how Egyptians buy cars.

Why 70% of Buyers Choose Installments

Installment plans give a wide segment of consumers more breathing room to own a car and pay for it in stages, rather than paying the full amount upfront at a time when cash may not be available. The shift reflects real economic pressure on buyers, yet it also opens the door for groups that previously couldn't enter the car market at all. The market is changing.

Cash Buyers: Park Your Money First

For those who want to pay cash, Mostafa recommends putting the money in the bank to earn a return, then taking a loan to buy the car. This approach preserves capital and generates extra income, while the buyer pays off the car over five or six years. The math looks rewarding for those who manage it well.

Protecting Your Money While Owning a Car

This method lets the buyer keep their funds and benefit from them instead of spending the entire amount on a cash purchase, while paying off the car over a longer period. The key condition is that the bank return covers the loan cost, which makes the decision one that needs careful calculation. It's not a simple call.

Mostafa's remarks reflect the reality of the Egyptian market, where installments have become a primary tool for driving sales and enabling consumers to own their cars. The numbers speak for themselves.