The most recent statistics point to a positive outlook for the Turkish real estate market in the coming year. The 2020 pandemic has had a significant effect on the global economy, including the Turkish economy and, in particular, the real estate market. The good news is that further development and positives are anticipated in 2021. It’s expected to see a global economic breakthrough as the pandemic fades. Global vaccination campaigns against the virus begin. Is Turkey where you plan to make your next home?
Economy in Turkey
The Turkish economy ended the year with optimistic indicators, triggering affiliation designation by several monetary authorities, including the World Bank and Fitch. This was done to alter their aspirations for the state of the Turkish economy in 2021. Experts credit a slew of changes enacted in the final two months of the year for the uptick in optimism. These economic forecasts would affect the performance of real estate investments in Turkey.
Predicted growth of economy
According to World Bank economists, the Turkish economy is expected to grow by 0.5% in 2021, who revised their forecasts to 4.5% at the start of this year. By 2022, they are expected to have risen to 5%. According to Fitch Rating analysts, the introduction of the Coronavirus vaccine will ease previously imposed lock-down and quarantine restrictions, allowing the Turkish economy to accelerate later in 2021.
Real estate market in Turkey
In the Turkish real estate market, analysts expect that new home prices will continue to rise this year, increasing by 20% and likely hitting 50% due to significant sales last year. Turkey has set a new record for home sales with one million 499 thousand and 316 homes sold in 2020. As a result, home sales are projected to increase by 11.2% in 2021 compared to the previous year. Banks were able to offer lower interest rates, attracting many clients, including foreign buyers.
Why is there a property boom in Turkey?
The Turkish government initiated real estate tax reductions.
The Turkish government serves foreign investors and shareholders.
The possibility of obtaining Turkish citizenship by purchasing Turkish real estate.
The completion of projects like Istanbul International Airport and the rapid growth of infrastructure.
Price of new builds
Another reason for their high prices is the high cost of new housing. Real estate officials in Turkey have said, new price lists will be announced soon. As a result, the spending firms will establish new prices based on the new costs. The rise started in August of 2018, but prices did not represent it due to the state of the economy.
It’s worth noting that the rate of rising real estate prices in Turkey is not consistent across the country; it’s driven in part by balancing supply, demand, and consumer interest. Global breakthroughs in the emerging coronavirus pandemic will increase demand for real estate acquisition and Turkish tourism.
What you need to look at if you want to invest in Turkish real estate:
Search for a good property agent
Choose a trustworthy real estate agent or consulting firm with a successful track record. This will provide you with factual knowledge and insights and sound guidance for the success of your investment, as the real estate advisor is always up to date on the real estate market, aiding the investor in determining where to invest.
How do you find a suitable property that’s right for you?
Residents in Turkey are known to steer the real estate market, so seeing property as a local instead of a tourist is a good idea. Choose a property based on the desires and needs of the residents to achieve the best possible investment target.