After the publishing of The Turkish citizenship through investment program in 2017. Turkey became the center of attention due to the reasonable conditions that have been imposed by the Turkish government, for those who are interested in investing in Turkey and want to obtain Turkish citizenship at the same time.
Investors are obliged to fulfill one of the conditions to get citizenship. One of these conditions is to purchase real estate worth at least $250,000 regardless of the type of real estate.
Since 2017 turkey real estate prices have been increasing significantly. According to Trading Economy; the housing index in Turkey increased to 185.30 points, which records the highest figure reached for 10 years from about 102 points in 2017.
Is it safe to buy property in turkey?
Buying real estate in Turkey is safe but whether to settle down or to invest in. but you should work with the right real estate agent who will provide you with consulting and assistance to make the right decision, and help you during the transfer of ownership and after the purchasing process as well.
To know more, you can read the full article Is It Safe To Buy Property In Turkey 2021?
How much does a house cost in turkey?
The average property prices in Turkey is about 3800 Turkish lira (300$) per square meter. But Turkey consists of 81 states, so in turkey real estate prices may differ from one area to another.
House prices in turkey Istanbul:
Istanbul has one of the highest property prices in Turkey and the prices there are increasing rapidly due to its economic growth and modern technologies in infrastructure it adapts. Istanbul home prices have increased by %3.42 in the last month with an average price of 6.544 TL per square meter. Accordingly, in the real estate index and regional report of 2021, the average price of a 100 square meter house purchased in Istanbul was between 490.791 TL and 817.985 TL.
We will discuss the top 5 regions in Istanbul which attract real estate investors and offer higher returns on real estate investment (ROI).
Başakşehir District Occupies The Throne Of The Most Vital Areas Of The European Part Of Istanbul And It Is One The 39 (Municipal) Districts In Istanbul. It Is A Very Attractive Area For Foreign And Local Investors Because Of Its Modern Infrastructure, Integrated Service, And Luxury Residential Projects. Housing prices for sale in Başakşehir have increased by 3.45% in the last month and around 100% in the last 3 years. the average price of a 100 square meter house purchased in Başakşehir this year was between 633.896 TL and 1.056.493 TL, with a payback period of 22 years.
However, Istanbul home prices, in general, are 30% lower than in Basaksehir.
Beylikdüzü’s Popularity Has Increased Significantly Over The Past Few Years And Has Become One Of The Modern And Distinguished Residential And Commercial Areas In Istanbul and it has one of the highest rapid increases in land and property prices in Turkey, which enables its investors to achieve higher RIO (return on investment). In the last month, the prices of houses for sale in Beylikdüzü have increased by %3.45. Accordingly, the average price of a 100 square meter house purchased in Beylikdüzü district in the 2021 real estate index and the regional report was between 393.020 TL and 565.000 TL and the payback period is calculated as 15 years.
However, the property price in Beylikdüzü is 44% lower than Istanbul home prices in general.
Most of the modern residential projects in Büyükçekmece are characterized by their fascinating views, modern infrastructure, and the distinctive services and facilities they provide which make them suitable for families in particular and great investment opportunities for investors. Housing prices for sale in Büyükçekmece have increased by 3.45% in the last month and about 76% in the last 3 years. And the average price of a 100 square meter house purchased in Büyükçekmece district in the 2021 real estate index and the regional report was between 416.727 TL and 694.545 TL. and the payback period is 21 years.
However, house prices in Istanbul, in general, are 17.77% higher than in Buyukcekmece.
The district has an excellent geological formation surrounded by the lake and the sea. And has a great transportation network. The prices of real estate in Avcilar increased by 3.14% in the last month and 83% in the last 3 years. The payback period is calculated as 16 years. Accordingly, in the real estate index and regional report of 2021, the average price of a 100 square meter house purchased in Avcılar district was between 357.368 TL and 595.614 TL.
However, Istanbul home prices, in general, are 37.3% higher than the prices in Avcilar.
Is one of the top districts for real estate investment, it attracts foreign and local investors because of its modernity and the residential complexes it has which meet modern international standards and offers luxurious services. In the last month, the prices of houses for sale in Küçükçekmece have increased by 3.43% and 105.7% in the last 5 years. Accordingly, the average price of a 100 square meter house purchased in Küçükçekmece district in the 2021 real estate index and the regional report was between 428.735 TL and 714.559 TL.
However, in Istanbul property prices, in general, are 14.47% higher than the prices in Küçükçekmece.
House prices in turkey Antalya:
Antalya is full of modern and luxury resorts and residential projects. And many real estate buyers have taken Antalya as their first place for investing or residing. During the last month, house prices in Antalya have increased by 1.89% in the last month in the housing market for sale. While the average residential square meter prices in Antalya are 4.741 TL, the payback period is calculated as 19 years.
Accordingly, in the real estate index and regional report of 2021, the average price of a 100 square meter house purchased in Antalya was between 340.804 TL and 568.006 TL.
House prices in turkey Marmaris:
Marmaris is a port city on the Mediterranean coast, located in Muğla Province, The climate and entertainment infrastructure there are similar to the Cote d’Azur.
Recently The number of tourists visiting Marmaris has tripled. and because of the huge demand for residence there, both new and second-hand properties are becoming more expensive. So, The investment appeal of a hotel or apartment in Marmaris is high.
Over the last 5 years, housing prices in Marmaris have increased by 242.6%. And within 2021, the real estate index and regional report of 2021 indicated that the average price of a 100 square meter house purchased in Marmaris was between 679.823 TL and 1.133.694 TL.
Property prices in turkey Izmir:
Recently, the city has witnessed a significant increase in terms of international investments, especially in the real estate sector. Housing prices for sale in Izmir have increased by 2.47% in the last month in the housing market for sale. While the average residential square meter prices in the city of Izmir are 4.895 TL , the payback period is calculated as 21 years.
Accordingly, in the real estate index and regional report of 2021, the average price of a 100 square meter house purchased in İzmir was between 400.139 TL and 666.899 TL.
Will property prices fall in Turkey?
The fluctuation in the currency exchange rate against other currencies like the dollar, the euro, increase the desire of foreign buyers and investors to buy Turkish real estate. As the demand for real estate by foreigners in Turkey increases, house prices in turkey are jumping.
Construction costs and their effect on property prices in turkey 2021:
The building construction cost index increased by %41,93 annually and %4,75 monthly in turkey. Because of the increase in residential projects in Turkey in general and Istanbul in particular. Turkey was forced to import many construction materials like iron and cement from abroad. So because of the higher prices of such materials, turkey real estate prices have increased.
How Does The Turkish Lira’s Depreciation Effects On Real Estate Market?
Real estate prices have not yet been affected by the devaluation of the currency instead according to endeksa, housing prices increased more than currency, if we take the return on rent into account, the total return on real estate investment (roi) was 71% for one year and 151% for two years. In turn, the dollar increased 56% in one year, 97% for 2 years; the euro increased 50% in one year and 102% for 2 years. Although the lira’s depreciation and the pandemic covid-19, about 1.5 million houses sold in turkey in 2021 recording the second highest peak after 2020.
Turkish Real Estate Market 2021:
According to Turkish statistical institution, in 2021:
1- A million 491 thousand 856 houses were sold.
2- House sales decreased by 0.5% in 2021 compared to 2020
3- Istanbul had the highest share with 18.5% and 276.223 house sales.
4- Ankara and Izmir were the followers of Istanbul by 144.104 and 86.722 house sales respectively.
5- 58.576 houses were sold to foreigners in 2021, increased by 43.5% in 2021 compared to the previous year.
6- In terms of foreigners, Istanbul was the first city with 26.469 sales. The followers of Istanbul were Antalya with 12.384 house sales and Ankara with 3.672 house sales.
7- According to citizens, Iran citizens were the most housing buyers in 2021 with 10.056 sales. The followers of Iran citizens were Iraq citizens with 8661 house sales and Russian citizens with 5379 house sales.