When it comes to drawing buyers from all corners of the globe, the Istanbul real estate market is undoubtedly Turkey’s star performer. Historically, it’s always been the number one domestic property sales destination globally, and in 2015, it overtook the Antalya Mediterranean region as Turkey’s most popular destination for foreign buyers of Istanbul property for sale. Discover Istanbul for yourself.
Why do investors purchase real estate in Istanbul?
Potential for capital development
While Istanbul has always been one of the world’s major cities, both historically and in modern times, it is still young in the real estate market worldwide. It was not until the turn of the century that the government began to modernise Turkey’s real estate market to put it in line with other destinations globally, ignored for many years because of a dismal economy, lack of funding and credit, as well as substandard urban infrastructure.
As a result, though it is still young, and overall, investors are cashing in, property has tremendous potential everywhere in Turkey when it comes to capital growth. Statistics show London prices per square meter range from 677% to 862% higher than Istanbul.
The Turkey 2023 vision plan aims to lift Istanbul to equal status, while London is already one of the world’s premier cities, giving real estate investors the edge. Istanbul was also ranked as the number one city for potential growth.
Potential for liquidity
The days of buying a house for life are gone. Changing lifestyle patterns and job and career responsibilities mean it is just as important to sell a place to purchase it. Studies claim that current generations will own an average of three different homes in a lifetime, so buyers are also hedging their bets when it comes to selling, and that is where the real estate market in Istanbul is growing.
Turkey’s vision plan for 2023 seeks to lift the per capita population per household to European countries. Combine this with government incentives and a rising population, and the demand for buyers is expected to rise even further.
Even for foreigners, the process of buying a house in Turkey is also more straightforward and more effortless than in many other countries, with cheap taxes and reduced prices. Hold the property for five years, and you will still be exempted from tax on capital gains.
Projects for urban regeneration and lifestyle
The mass of new branded housing projects, mainly taking place on the outskirts of the main city centre, is a strong reason why investing in Istanbul real estate is taking off. To redefine the idea of neighbourhoods in Turkey’s largest and most populous area, new modern homes with modern architecture are being combined with various social and community facilities.
Allowing easy access to shopping, nightlife, and transport connections, growing neighbourhoods like Kucukcekmece and Beylikduzu offer all the advantages of city life. Yet by sitting on the outskirts, they avoid all the hustle and bustle, thereby offering more suburban atmospheres than urban dwellings.
The shores of the Bosphorus and areas such as Sisli remain the elite of Istanbul real estate markets, neighbourhoods such as Esenyurt and Buyukcekmece with these new branded lifestyle projects allow the rising middle class to become real estate investors for Istanbul properties.
Undoubtedly, with their eyes on the bottom line, a major draw for investors in Istanbul’s mega projects expected to lift property prices even more when completed than they have already done.
At the moment, the mega project on everyone’s lips is the new Istanbul Third Airport, which will be the world’s transport hub when fully completed in 2028. Developers are also purchasing land and houses on the European side, due to the Istanbul Canal project. The project will create a mini-city within a city, districts such as Kucukcekmece see huge amounts of interest for affordable apartments for sale in Istanbul.
In its search to become a business, commercial and residential centre of influence, several other ventures, including transport links and bridges, are entirely changing the face of Istanbul to ease traffic congestion and eventually benefit from it.
Global market centres and tourism
Given Istanbul’s history as the ruling city of the Byzantine and Ottoman empires, its tourism trade goes from strength to strength as the Turkish government’s mass marketing is boosting it to one of the country’s top-visited destinations.
In 2014, regarding visitor numbers, it beat the likes of other major cities like Rome. It took a dip in the following two years, but in 2017 it rebounded and continues to do so.
While it is the number one centre for industry, economy, and finance in Turkey, with branded campaigns, the Turkish government is turning into a global powerhouse. With financial credit offered to young entrepreneurs and start-up companies, they do not neglect their people’s ability either.
Turkey’s proposal for the International Financial Centre in Istanbul is a huge project that will be the equivalent of Wall Street in the world. Things are shifting, and Turkey needs action to take place. A visit there can be enjoyed by anyone who plans to invest in Istanbul real estate.