From 2020 to 2022, Turkey's real estate market saw a steady increase in demand and house prices. Despite a decrease in demand in 2023, Turkey is still an object of interest for investors. We tell you what prospects are open in the Turkish real estate market in 2024

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Turkey stood out against the background of the global real estate market, taking a leading position in the dynamics of house price growth. However, February 2023 left its mark on the Turkish market after a massive earthquake and caused $84 billion in damage to the economy, or about 10% of GDP. This event changed the landscape of the sector, causing a drop in demand from foreign investors.  

Buyers' preferences changed afterward, as did the quality control of construction. Currently, the Turkish real estate market remains at a high level and provides favorable conditions for future homeowners. Find out what factors caused such transformations, how the price dynamics have changed and what prospects unfold in the Turkish real estate market in 2024.

Changes in real estate 

From 2020 to the end of 2022, Turkey led the way in terms of house price growth. In 2021, house prices rose by 40% and sales volume increased by 59%. 

However, after the earthquake in early 2023, the real estate market situation changed. Demand for real estate fell, especially in the affected regions. For April 2023, more than 60% of transactions with foreign buyers were reduced. 

Despite the situation, Turkey's economic resilience in the face of global economic fluctuations has attracted interest and admiration from the world community. 

After the earthquake, discussions began about a possible drop in real estate prices. However, despite the decline in demand, there was no sharp collapse of prices; they temporarily froze, and experts began to talk about temporary stagnation. 

Nevertheless, to date, the Turkish real estate market continues to lead in price growth. In the ranking of the Bank for International Settlements, Turkey again took first place among 58 countries in the dynamics of growth in housing costs. Annual growth amounted to more than 50%, while in Israel, ranked second, this figure is only 11%.

Despite the difficult times that countries periodically experience in the face of global financial challenges, Turkey continues to successfully manage its economy, which makes it attractive to potential investors.

Experts' predictions for 2024

Experts at the Turkish Realtors Association have noticed a significant increase in transactions. According to their forecasts, the volume of sales of Turkish real estate to foreign buyers by early summer will approach $1.5 billion.

Also, noticeable was the increase in prices for square meters of Turkish real estate. This was caused not only by increased demand from investors, but also because of increased requirements for quality and building materials. 

Turkish authorities continue to sell Turkish real estate to foreign buyers, as well as help citizens of the country to purchase housing under social programs.

Investment prospects

Despite the temporary decline in demand for real estate, experts agree that this trend is temporary, and the market is moving back to active development. Prospects for long-term investments in 2024 in Turkey are characterized by favorable conditions for buying. 

Today, safety issues have become a priority for real estate buyers, society and authorities. New constructions are strictly monitored at all stages of construction, utilizing all seismic safety standards, which were adopted in 1999 and then updated in 2008 and 2018.

Increased tourism and active management of the investment climate are also helping to create the conditions for a steady rise in real estate prices.

The greatest demand today is seen in coastal communities - "green" zones such as Alanya, Antalya, Side, where the probability of earth tremors is minimal and incredible views and diverse landscapes attract tourists and investors. 

Turkey  provides foreign investors with favorable tax conditions, with a property tax of 4% of the cadastral value. 

Turkey also offers a citizenship program for real estate investments, which can be an attractive option for foreign investors. Obtaining citizenship opens the door to a comfortable life and the opportunity to develop business in the country. 

Investing in Turkish real estate provides a unique opportunity to increase capital and enjoy the richness of the country's cultural and natural heritage. 

Where to invest in Turkey?

Despite the challenges facing the global real estate market, Turkey continues to attract international investors.  

Low housing prices and prospects for profitable investments are also attracting the attention of investors in 2024. More than 40% of foreign direct investment in Turkey is in real estate, making it one of the most promising markets in Europe.

However, it is important to choose proven developers to minimize risks. Most investors prefer to buy business class apartments in Turkey. 

Favorable offers of apartments in the heart of Antalya:

HASAN BEY RESIDENCE:

- Business class apartments with an area from 53 m².

- Modern design: 1 bedroom, living room with kitchen, bathroom with toilet.

- Duplex 3+1 from 130 m².

- Investment from €160 000.

- Located in proximity to the Mediterranean Sea and major attractions

- Estimated return on investment for daily rentals - 9.8% per annum.

HMG GOLD RESIDENCE:

- Comfort class apartments in the historical center of Antalya.

- The layout is 2+1 with balconies, 20 apartments in total.

- The area of 72 m², price from €175 000.

- Unique location: just 3 minutes from the Mediterranean Sea.

- Estimated return on investment for daily rentals - 9.8% per annum.

These projects have been developed by a reliable international developer AntaGroup, guaranteeing high quality construction. By investing in these offers, you not only provide yourself with reliable housing, but also open the door to profitable investments in Turkish real estate. Please note that these prices are valid as of March 2024.  More offers from the developer AntaGroup by clicking here.

Daria Rogova - Head of Insurance at Visit World

To move, travel or work safely in a new country, you will need travel insurance. You can apply for an extended policy on our website here. 

Products from Visit World for a comfortable trip:

Checklist for obtaining a visa and necessary documents in Turkey;

Legal advice on immigration in Turkey;

Insurance for residence permit in Turkey.

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