Housing Sales to Foreign Investors Decreased by 47.9% in March
According to Turkish Statistical Institute (TUIK) data, housing sales to foreigners in Turkiye in March 2024 decreased by 47.9% compared to the same month of the previous year, reaching 1,778. This decrease shows that foreign investor interest in the Turkish real estate market has decreased.
General View
Total housing sales to foreigners in March 2024 constituted only 1.7% of all housing sales in Turkiye. This rate can be considered as an important indicator of the change in foreign investors’ interest in the Turkish real estate market. In previous years, foreign buyers have shown great interest in the Turkish real estate market, especially in metropolitan areas and coastal areas.
Distribution by Cities
Istanbul continued to be the most popular city for foreigners with 652 house sales. While Antalya ranked second with 618 houses, Mersin ranked third with 151 houses sold. These cities continue to be centers of attraction for foreign buyers with the quality of life, touristic values and transportation facilities they offer.
International Buyers
In the January-March 2024 period, housing sales to foreigners decreased by 48% compared to the same period of the previous year, falling to 5,685. Citizens of the Russian Federation were the foreign nationals who bought the most houses with 411 houses in this period. Russia was followed by Iran, Ukraine and Iraq, respectively. Investors from these countries state that they are especially looking for political and economic stability and that they see Turkiye as a safe haven in these aspects.
The Future of the Real Estate Market
The real estate market in Turkiye exhibits a variable structure due to internal and external factors. Fluctuations in exchange rates, economic uncertainties and international political developments affect the interest of foreign investors in the real estate market in Turkiye. However, Turkiye’s strategic location and cultural appeal will continue to attract foreign investors in the long term.
These observations reveal the factors that need to be taken into account about the future of housing sales to foreigners in Turkiye. Increasing incentives for foreign investors, accelerating infrastructure investments and ensuring economic stability can reverse this decline and make Turkiye an attractive investment destination again.
Source: Emlakdergisi / Prepared by Irem Yildiz