I first drove to Magawish Bay in 2019. Honestly, there was almost nothing. A half‑finished hotel, a dusty road, and a beautiful stretch of beach that seemed forgotten. I remember thinking, “Why isn’t this developed?” Back then, Magawish was a sleepy backwater between Hurghada and Sahl Hasheesh.
Fast forward to today. Magawish feels different. New hotels have opened. Residential compounds are rising from the sand. A paved coastal road now connects it smoothly to both Hurghada and Sahl Hasheesh. International investors are suddenly interested.
In this guide, I’ll walk you through Magawish’s transformation, property prices, rental potential, and whether it’s worth buying now before the area fully explodes. If you’re looking for the “next big thing” on the Red Sea, this might be it.
Where Is Magawish Bay – And Why You Haven’t Heard of It (Yet)
Magawish Bay lies about 8 kilometres south of central Hurghada, directly along the coast between the city and Sahl Hasheesh. It’s a natural bay with a long sandy beach and clear water – basically the same high‑quality coastline as its more famous neighbour, but without the crowds or premium price tags. Yet.
For years, only a handful of local fishermen and early‑stage hotel developers knew the area. The road was rough. There were no street lights. But the Egyptian government, as part of its Red Sea tourism expansion, invested in upgrading the coastal highway, and that changed everything.
Today, you can drive from Hurghada Airport to Magawish in 15 minutes on a smooth, well‑lit road. To put this in perspective, that’s even closer than some parts of Sahl Hasheesh. And that proximity is driving interest.
For a general area overview, see our full area comparison.
The New Developments – Hotels, Resorts, and Residential Compounds
The transformation of Magawish is mostly a story of what’s been built in the last three years and what’s coming next.
Hotels Leading the Way
The first major international hotel in Magawish was the Steigenberger Al Dau Beach Resort, which has been there for a while. But recent additions include a new Iberotel property, a renovated Pickalbatros, and a planned Rixos (construction started late 2025). These hotels are bringing a higher class of tourist – and those tourists sometimes decide to buy.
Residential Compounds: Small but Growing
Unlike Sahl Hasheesh, Magawish doesn’t yet have large, master‑planned communities. But a few smaller gated compounds have emerged:
- Magawish Residence: A low‑rise complex of 1‑ and 2‑bedroom apartments with a pool and private beach access. Built in 2019, now fully occupied, occasional resales.
- Baron Magawish: A mixed‑use project with hotel and residential units. Some apartments have been sold to private owners. Quality is good.
- La Vista Bay: Newer, mid‑rise, with sea view apartments. Still selling off‑plan.
Additionally, several landowners are selling plots for private villas. If you have the budget and patience, buying land and building your own villa is possible – but you’ll need a good lawyer and contractor.
Property Prices – Still Reasonable (But Rising Fast)
Here’s the main reason to pay attention to Magawish: prices are well below Sahl Hasheesh for comparable beachfront, and the gap has been shrinking.
| Property Type | Magawish Price Range (USD) | Sahl Hasheesh (beachfront) USD | Difference |
|---|---|---|---|
| Studio | $45k – $60k | $60k – $80k | 20‑30% lower |
| 1‑bedroom | $60k – $85k | $80k – $120k | 25‑30% lower |
| 2‑bedroom | $90k – $130k | $120k – $180k | 25‑35% lower |
| Villa plot (500 sqm) | $80k – $120k | N/A (few plots left) | Opportunity for custom build |
Here’s the thing, these prices have increased about 15‑20% annually for the past two years. A studio that was $38k in 2023 now lists for $55k. Capital appreciation is happening fast. For ROI analysis, see our investment returns guide.
Market Dynamics – Why Magawish May Be the Next Hotspot
Several factors are converging to make Magawish attractive:
- Proximity to Hurghada: It’s only 8 km from the city centre, meaning easy access to supermarkets, hospitals, and schools. Sahl Hasheesh is 18 km away – not far, but for daily errands, Magawish is significantly more convenient.
- Better beaches: The bay’s orientation gives calm waters and a nice sandy stretch. Sahl Hasheesh’s beach is also good, but Magawish is less crowded.
- Government support: The new road is just the beginning. The area is zoned for tourism and residential development, and the governor has signalled incentives for builders.
- Land scarcity: Unlike the vast undeveloped spaces further south, Magawish’s prime coastal land is limited. Once built out, supply will cap, potentially driving values higher.
That said, there are risks. Not all developers are reputable. And infrastructure (sewage, water pressure, electricity) is still being upgraded in some parts. I’ve heard of occasional power cuts during peak summer. For a risk assessment, read our timing guide.
Rental Potential – Short‑Term Is King
Magawish is becoming popular with short‑term vacationers, especially those who prefer a quieter beach than the Mamsha. The newer hotels have raised the area’s profile, and Airbnb listings are increasing.
Based on current performance in compounds like Magawish Residence and Baron Magawish, a well‑furnished 1‑bedroom can rent for $70‑$100 per night in winter (November–April). Occupancy during those months is 65‑75%. Summer occupancy drops to 30‑40%, with nightly rates around $40‑$60.
Net yields are currently in the 6‑9% range – better than Sahl Hasheesh (4‑6%) because entry prices are lower. However, the management infrastructure is less mature; you may have to find your own cleaner or handyman. We maintain a list of property managers who service Magawish – ask us.
For a complete property management guide, see our PM guide.
Real Stories from Magawish Owners
Lena – The German Early Adopter
Lena bought a 1‑bedroom in Magawish Residence in 2022 for $62k. She visited once, liked the quiet beach, and took the leap. She rents it on Airbnb from October to April and uses it herself in summer. Her annual net after management and fees is about $6,000 – a 9.6% yield. She’s already had offers of $85k for the unit. “I wish I’d bought two,” she told me.
Khaled – The Egyptian Speculator
Khaled, a local real estate agent, bought a beachfront plot of land in Magawish for $50k in 2021. He held it for two years and sold it for $90k in 2023. He then used the proceeds to buy into a new compound off‑plan. He’s not a big developer – just someone who saw the potential and acted early. Now he’s telling his friends to look at Magawish plots before they double again.
The Future Pipeline – What’s Coming in 2026-2028
Several projects are in the works that could raise Magawish’s profile further.
- A new marina for small yachts and fishing boats (proposed, but not yet approved).
- A commercial strip with cafes and basic shops (planned for the entrance of the bay).
- Two additional residential gated compounds by mid‑tier Egyptian developers.
- Upgraded water treatment plant to handle increased load.
If these materialise, Magawish could become a genuine mini‑Sahl Hasheesh. If they are delayed or cancelled, the area might remain a secondary location. That’s the risk of investing in “emerging” zones.
Pros and Cons – Honest Assessment
Pros
- Lower entry price than Sahl Hasheesh (20‑35% cheaper)
- Closer to Hurghada (8 km vs 18 km) – convenient
- Quieter, less crowded beach
- Rapid appreciation potential (15‑20% per year recently)
- New road and upcoming infrastructure
- Decent short‑term rental yields (6‑9%)
Cons
- Limited amenities – no supermarkets or restaurants in walking distance (yet)
- Still an emerging area – some infrastructure may be inconsistent
- Fewer management companies than established areas
- Resale market is thinner – you may need to hold longer
- Some off‑plan projects may face delays
Who Should Buy in Magawish?
- Investors with a 3‑5 year horizon – you believe in the area’s potential and can wait.
- Buyers wanting a beachfront apartment at a discount to Sahl Hasheesh – you’ll get similar quality for less money.
- Those who like “quiet luxury” – not chaotic, not isolated.
- Early adopters comfortable with some uncertainty – you accept that not everything is fully built yet.
Who Should Avoid Magawish for Now?
- Buyers needing immediate high rental income – the area still needs more tourists. If you can’t handle variable occupancy, choose Mamsha or Sahl Hasheesh.
- Anyone without tolerance for construction noise – new buildings are going up.
- Investors looking for a quick flip (under 2 years) – resale may take longer.
How to Buy in Magawish – Practical Steps
The process is similar to other areas: Green Contract, notary, SWIFT receipts. But there are a few extra steps because land ownership in emerging zones can be complex.
- Step 1 – Verify developer reputation: Ask for completed projects. Visit them. Talk to owners. For a list of vetted builders, see our developer guide.
- Step 2 – Check land title: Ensure the developer actually owns the land freehold. Your lawyer can do this.
- Step 3 – Understand payment plans: Many off‑plan sales require 10‑20% down, 0% instalments over 3‑5 years. Read the fine print for late delivery penalties.
- Step 4 – Plan for after‑sale management: Identify a property manager before you close. We can recommend options.
For a full legal walkthrough, refer to our legal buying guide.
Frequently Asked Questions About Magawish
1. Is Magawish safe?
Yes. The compounds have 24/7 security, and the area is generally quiet and safe. Avoid walking alone on unlit beach paths at night – same as anywhere.
2. Can I get residency by buying in Magawish?
Yes, if the purchase price is $100k or more. Larger 2‑beds or villas qualify. See our residency guide.
3. How does Magawish compare to Sahl Hasheesh for long‑term investment?
Magawish offers higher appreciation potential (from a lower base) but higher risk. Sahl Hasheesh is more established, with better amenities and resale market. If you can hold for 5+ years, Magawish could outperform; if you need liquidity, Sahl Hasheesh is safer.
4. What about schools and hospitals near Magawish?
Currently, you drive to Hurghada (15‑20 minutes). There are no schools or hospitals within walking distance. That’s fine for vacation rentals but may be a drawback for families.
5. Are there good restaurants in Magawish?
A few within the hotels (overpriced). For casual dining, you’ll drive to Mamsha or central Hurghada. This will change as the area develops.
6. Should I buy a villa plot and build myself?
Only if you’re experienced with construction or have a trusted contractor. Building in Egypt can be stressful – permits take time, and quality varies. But those who do it right can create a dream home for a fraction of the cost of a pre‑built villa.
7. What’s the service charge situation in Magawish compounds?
For a 2‑bed, expect 400‑800 EGP per month. Some newer ones charge more but offer pools and gyms. Always get a written breakdown before buying.
8. Is now a good time to buy, or should I wait?
Waiting may mean paying higher prices as the area gains recognition. If you like what you see and can tolerate a few years of ongoing development, buy now. For timing advice, read our strategic guide.
For more, read our main buyer’s guide, area comparison, and Sahl Hasheesh guide.
Author Bio: Written by Mido Kandil, Senior Property Consultant at The Horizon Real Estate Hurghada. 13 years identifying emerging hotspots on the Red Sea.
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