01 Jul Foreign investors are showing high interest in Turkish real estate market
Following the decision of Turkish government to open the property sector up to a greater number of overseas buyers, the real estate market in Turkey has received a significant boost.
Starting from the 6th of August, Turkey has renewed the procedure of registration and title deed transfers for the real estate to foreign citizens, which has been earlier temporarily suspended due to a change in legislation.
A new law on real estate acquisition by foreigners was implemented in May 2012 and canceled the so-called “reciprocity principle”. The Cabinet of Ministers of Turkey adopted new list of countries which are allowed to buy real estate in Turkey, as well as expanded pre-existing restrictions on the purchase of land and office space.
Citizens of Saudi Arabia, UAE, Kuwait, Libya and other Middle Eastern countries, as well as Belarus, Georgia, Estonia, Kazakhstan, Uzbekistan, Kyrgyzstan, Turkmenistan, Tajikistan and Azerbaijan are able to freely acquire real estate to an individual name without any restrictions, as previously.
According to the real estate companies operating on the coastal property market, the number of inquiries has significantly increased, especially from the Gulf countries.
Istanbul is traditionally the most popular location among buyers due to its location, house prices and many other reasons. As for the coastal areas, property buyers are focusing mainly on Alanya and Antalya regions as well as Bodrum peninsula on the Aegean cost.
Despite that the fall season is the time when the sales and market activity goes down, most real estate brokers are very positive about the property market believing that the new law will continue bringing foreign investors to the country due to stability in economics and high investment potentials.
And with the latest figures from REIDIN revealing the house prices in the country increased by 2.38% in September, compared to the previous month, 2.64% in Antalya, 2.74% in Istanbul, 1.94% in Izmir and by 16.4 % annually, it makes these expectations even more real.