Photo: King Brian
Prices of Turkish property increased on average in October 2014 by 1.33 per cent compared to September 2014, according to the latest REIDIN-GYODER figures. October’s increase marks continuing growth within the country, as real estate values climb a total of 7.3 per cent over the past 12 months.
This steady increase in property prices remains a key factor in the country’s ongoing international appeal. Indeed, Turkey is an established presence in the top 10 most popular destinations on TheMoveChannel.com.
Concern surrounding the European economy is helping to push buyers towards Turkey, argues estate agency Spot Blue, noting that the economy recorded an “encouraging 9.8 per cent year-on-year rise in foreign direct investment (FDI) in the first eight months of 2014”.
“Attracting more foreign money and strengthening exports should have a positive knock-on effect for Turkey’s real estate market, in particular in Istanbul, which is becoming an international commercial hub. property in Istanbul continues to see annual rises with on-going demand, in particular from the Middle East,” says Julian Walker of the agency.
The REIDIN-GYODER figures show that Istanbul’s property prices are divided into two halves, with new project values on the European side sliding 0.07 per cent in October, compared to the Asian side, where prices edged up 0.44 per cent.
Nonetheless, the city remains united in its overseas popularity. In the 12 months to June 2014, Istanbul was responsible for 1 in 4 property searches in Turkey, with searches for the city surging by 80 per cent in the last two years. In real terms, the city’s enquiries also soared 41 per cent, accounting for 3 in 10 Turkish property enquiries in the year to June.
Istanbul is set to fly even higher in the future, forecasts Spot Blue, with the news that Qatar Airways will increase its flights between Qatar and Istanbul’s Sabiha Gökçen Airport to two a day.
The new flights will begin from 29th March 2015, improving the city’s connection to the Middle East, where many investors in Turkish real estate originate.
Property investment, though, is already enjoying a strong yea: according to the Turkish Statistical Institute, transactions in September jumped 13.2 per cent year-on-year. In the first nine months of 2014, meanwhile, sales of Turkish property to foreigners have surged 81 per cent compared to the same period in 2013. Indeed, there were 13,611 sales to foreigners between January and September 2014, already exceeding the total for the whole of the previous year.
Antalya led demand, thanks to its attractive resorts of Alanya, Side, Belek and Antalya, followed closedly by Istanbul.
Source: The Movechannel