The introduction of quarantine measures caused by the coronavirus pandemic has negatively affected real estate sales in the vast majority of countries around the world. Turkey, which in recent years has been one of the most popular destinations for investors, is no exception in this regard. However, the Turkish real estate market after the quarantine began to recover much faster than others. If you want to support the Turkish economy and obtain real estate in Izmir, Alanya, or Marmaris, then go over to the Turk.Estate website and have a look at the various properties available there.
If in the first 10 days of March 2020 no purchase and sale transactions were registered in Turkey, in April the volume of sales fell by more than 50% compared to the same period last year, and in May the first signs of recovery had just begun to appear. Then June and July were truly turning points. According to official figures from the Turkish Statistical Institute (TUIK), 190,012 properties were sold in June, which is almost 210% more than in June 2019. At the same time, a third of the transactions fell on the main megacities of the country:
An unprecedented mortgage campaign launched by the local government in May played an important role in such a sharp increase in demand for housing in Turkey. Within its framework, interest rates on loans were reduced to 6% per annum for foreigners, and for Turkish citizens, they amounted to just 1%. This was reflected in prices, which in large cities and seaside resorts increased by 15-30% during June alone. On average, prices for apartments in modern houses within walking distance from the sea and close to all the necessary infrastructure start from USD 60,000, although when buying a new building off-plan, you can save up to 30% without risking anything.
More than 141,000 apartments were sold in August 2021, according to the Turkish Institute of Statistics. Foreigners are actively investing in the real estate sector. This year they have bought over 31 thousand properties. This is half as much as last year.
A property in demand
It is no coincidence that the majority of foreign buyers were families with children, who are increasingly thinking about moving to Turkey for permanent residence. This issue was especially relevant since many companies transferred their employees to remote work. This circumstance also influenced the preferences of foreign investors, who are now focusing on
- apartments with spacious balconies and terraces
- small houses with land plots in residential complexes located at a distance from the center.
This trend will continue soon since the likelihood of the return of restrictions to one degree or another remains almost everywhere.
The closure of the borders did not stop foreigners who had previously decided to buy real estate in Turkey. This was facilitated by the introduction of a special offer, thanks to which it became possible to make a purchase online. During the quarantine period, many Turkish realtors pin their main hopes on the foreigners and are even ready to make concessions to them.
Investing in property in Turkey
For those who are considering buying a home in Turkey for vacation and/or investment with the aim of subsequent rental, this country is attractive for its proximity and lack of a visa regime. Those who plan to stay here for a longer period can quickly and easily obtain a residence permit for two years with the possibility of its extension, and in the case of acquiring real estate for USD 250,000 obtain Turkish citizenship. To have a look at the property options check out the Turk.Estate agency.