The Turkish real estate market: results of 2019 and outlook 2020
In recent years the trend is that prices for new buildings grow much faster than the second homes. First one for the year rose by 10.73 % and the second by 8.78 %. According to the statistics of the Central Bank of the Republic of Turkey the price of houses in the country significantly increased by 9.92 % in December 2019 (by December 2018). We offer you to analyse this information in real examples of the main cities:
– In Istanbul prices rose by 3.7%;
– In Ankara – by 10.13 %;
– Izmir by 10.26%;
It is very difficult to judge the real situation on the local real estate market as the inflation rate interferes with the analytics the country is still the repercussions of the economic crisis. But local authorities struggle with this and manage to achieve some success. For example, the devaluation of the currency leads to increased demand among foreign buyers for Turkish homes.
According to the Turkish statistical Institute in January 2020 real estate sales across the country grew by 55.8 % year-on-year. Just sold 113 615 houses and apartments: foreign owners are now owned by 3 907 objects (23.3% more than in January last year). They were attracted to Istanbul, Antalya and Ankara. And among the buyers were citizens of Iraq, Iran, Russia and Afghanistan.
The fall of the Turkish lira and interest of local residents on local real estate prompted developers to indicate their focus on foreign consumers. Moreover, the new amendments to the law on citizenship and loyal attitude towards immigrants could not be better played on a hand and attracted the most generous buyers.
Also according to the Turkish Land Department last year new owners have purchased a 2.33 million objects; here are housing, and offices, and land. Income from all trades amounted to 65 billion dollars. This figure was greater by 14% compared to 2018.
Now let us turn to the predictions and expectations for 2020. The authority of the Republic of Turkey has set a goal to sell to foreign citizens not less than 60 000 different residential property. It is possible, given high rates of 2019.
Analysts believe that the first half of 2020 won’t significantly surprise especially Russian buyers. Because paying more doesn’t become. Provided consumers are looking for a spare airbag and analyse the alternative real estate of their country. Middle-class people will be active but their options are limited to 100-150 thousand euros with these amounts, the choice is not great.
The experts have the same opinion that 2020 will bring the same results as the previous one. We can only watch.