Turkish real estate market to hit sales target by end of the year

Real estate purchases made in Turkey by foreigners in 2020 are set to reach a total of more than seven billion USD as the year ends. Although there have has been a slump in the total number of units sold because of the COVID-19- pandemic, a sector representative said sales will hit target figures thanks to a recent upward trend in buyers and their spending.

Foreigners purchasing real estate in Turkey

A board member from the Real Estate International Promotion Association (GIGDER) said that: “We have been selling real estate to foreigners since 2010. We also organise promotional activities and events abroad to attract investors to Turkey.”

An expert explained that since the reciprocity law changed in 2013, residential foreign buyers have increased significantly in Turkey. He also confirmed that despite all the challenges that COVID-19 has brought, significant property sales numbers have been reached. He said: “For instance, despite the pandemic, some 26,000 units were sold to foreigners during the January to September period this year.”

“Figures for October have not yet been announced. However, the data we receive from the sector is very good. We think the figure will be around 6,000 units. We can easily pass 35,000 and reach even 40,000 over the course of the year.”

Potential of real estate in Turkey

This year there has been far more interest from German and Swedish buyers than in previous years, along with continued interest from the Middle East and emerging markets such as Africa and South America.

An expert explained that Turkey's real estate has huge potential, adding: “The customer profile of new foreign real estate buyers is way higher compared to the previous years. This year more Europeans are buying houses in Istanbul than ever, primarily due to the exchange rate advantages and perks like Turkey's robust healthcare system.”

Which areas are the most popular for buyers?

Amongst the most popular destinations for European buyers are Antalya, Aydin, and Mugla. Interest is also growing from South America and Africa, although they are still below their complete potential. However, no matter where people come from, Turkey offers a high standard of affordable living. Speaking about year-end expectations an expert said: “We expect the average real estate sales value to be around 170,000 to 180,000 USD, especially with the increase in sales from regions like Antalya and Bodrum, and the arrival of high potential buyers.”