The most recent numbers indicate that the Turkish real estate sector will perform well in the coming year. Covid-19 has had a huge impact on the global economy, including the Turkish economy and, in particular, the real estate industry. The good news is that further growth and positivity are expected in the current year 2021, which is projected to see a global economic breakthrough as the pandemic fades. Global immunization operations against the virus begin. Is Turkey on your property radar?
The Turkish economy is growing
The Turkish economy closed the year with good data, prompting affiliation designation by numerous economic institutions, including the World Bank and Fitch. This was done to alter their forecasts for the health of the Turkish economy in 2021. Experts credit a slew of measures enacted in the final two months of the year for the uptick in optimism. These economic forecasts will have an impact on the success of real estate investments in Turkey. A good read is as a foreigner can I afford to live in Turkey?
According to World Bank researchers, the Turkish economy is expected to grow by 0.5% in 2021, which revised their projections to 4.5% early this year. Come 2022; they are expected to have risen to 5%. According to Fitch Ratings analysts, the rollout of Coronavirus vaccination will ease previously imposed lock-down and quarantine limitations, causing the Turkish economy to accelerate in the second half of this year.
Turkish property market
In the Turkish real estate market, analyst’s estimate that new home prices will continue to rise this year, increasing up to 20% in the first half and maybe reaching 50% due to high sales last year. Over 1.5 million homes sold in 2020, Turkey has established a new record for home sales. As a result, home sales are predicted to increase by 11.2% in 2021 compared to the previous year. Banks were able to offer cheaper interest rates, attracting many customers, many of whom were foreign nationals.
Some reasons for Turkey’s property boom:
The Turkish government has authorized real estate tax reductions.
The Turkish government serves international buyers plus shareholders.
Obtaining Turkish citizenship by purchasing Turkish real estate.
The completion of giant constructions like Istanbul International Airport and the rapid rise of infrastructure surrounding the real sector.
New construction costs
High prices are seen due to the high cost of building dwellings. Real estate officials in Turkey are saying, new price lists will be revealed soon. As a result, the spending firms would establish new charges based on the new prices. The increases began in August of 2018, but prices did not reflect the state of the economy.
The rate of rising property prices in Turkey is not consistent across the country; it’s determined in part by the balance of supply, demand, and consumer interest. In Turkey, global advances in the developing coronavirus pandemic would stimulate demand for real estate acquisition and tourism.
What to do if you want to invest in Turkish real estate:
Look for a good real estate agent or consulting firm with a successful track record. This will give you correct information and observations and sound advice for the success of your purchase, as the real estate advisor is typically up to date on the real estate market, supporting the investor in determining where to invest.
How do you go about locating a suitable property?
Residents in Turkey are known to steer the real estate market, so viewing a house the same as a local rather than a tourist is a good idea. Choose a property based on the tastes and needs of the residents to satisfy the investment aim.