Is it worth investing in turkey’s real estate market currently?

October 10, 2023

“How Much Income Is Expected in Real Estate in Turkey?”

It is about a business related to 150% product for promotional purposes about real estate in Turkey. It is a residential and commercial project for all kinds of investment in Turkey.

Before you decide on your house in Turkey, first give your budget the amount of money to invest. Choose the right property for the most profitable investment. Evaluate how much you can evaluate that the property could benefit from the increase.

A property that can be rented or reused gets better over time. Real estate investment return in Turkey is very different reason game:

Location of the property
Type and age of property
Additional features-amenities ownership
One of the most important costs of real estate investment in Turkey is an investment return. In a foreign commercial or commercial property, an investment return of up to 10% can be received, depending on the use of the property. The profit is derived from the lease of property adhering to the property of the owner.

“Residential and Commercial Property Rental Income”

Rental properties are known and common investment tools to be in the status of the Turkish real estate sector. Annual rents can be reached from 2-4% to 8-11%.

Short-term contract agreements are made in residences. For commercial properties, it is done extensively using the 3+3+3 drawing.

“Commercial Real Estate Return on Investment”

There is great hope that investors will be interested in commercial properties and enter this sector. The most important reason is that it can be easily sold or rented for a long time. These reasons encourage commercial property investments. Depending on the rental purpose of these properties, the rental period can be extended up to 10 times.

Many real estate investors in Turkey are making the transition to commercial property investment. In this area, offices are the most competitive property type due to high demand. The annual rental income of offices and shops varies between 6% and 8%.

Commercial property maintenance is a more comfortable task than a residential one. Thanks to experienced project maintenance companies, these properties require much less management.

Commercial properties in Turkey are also investor friendly in terms of cost. Investors don’t have to spend extra money on property items. Renovation costs and commercial activity costs are generally covered by the tenant.

There are other factors to consider for a good return on investment in the Turkish real estate industry. These:

“Finance Options”

Financial adjustment is one of the most important factors. However, if you do not have enough budget, you can apply for housing loans.

Banks offer home loans for investors. However, the terms and loan amount may vary depending on the type of residence. In particular, it is easier to get a housing loan than others. You can get a loan of at least 90% of the property value. In commercial real estate, the situation is the opposite. Also, only 60% of the property is insured.

Interest rates are quite high. You should only use it if you have sufficient financial support. On the other hand, you can still invest in housing with limited resources.

Exchange Rate in Turkey

The depreciation of the Turkish Lira against the US Dollar leads to an increase in exports and foreign investment. At the same time, it creates buying opportunities for investors in the real estate sector.

If you are considering making a real estate investment in Turkey, you should first carefully follow the fluctuations in the Turkish Lira. Thus, you will be protected from loss in your currency exchange transactions.

Timing is very important when making an agreement in Turkish Lira. For example, the Turkish Lira lost its value by 30% in 2021. As a result, opportunities have emerged for foreign investors to invest in the Turkish real estate sector.

“Best Cities for Real Estate Investment in Turkey”

1- Istanbul

In 2020, Istanbul was the eighth most visited city in the world. In addition, Istanbul is the largest city in Europe in terms of population. Demand in the real estate sector in Istanbul is constantly increasing. Property investment in Istanbul has great return on investment potential due to the ever-increasing population.

The average real estate investment return rate in Istanbul is around 74.78%. This rate, repair maintenance, property tax, finance, etc. may include costs.

2- Antalya

Antalya is one of the most important cities to visit for a holiday. You can find luxury holiday villages, hotels, villas and apartments in every corner of Antalya. There are many immigrants living in the city center.

Many domestic and foreign real estate investors prefer Antalya for their investments. Compared to other cities, Antalya has significantly affordable housing costs. Average real estate investment return in Antalya is 78.16% including expenses.

3- Bursa

Bursa is a popular city especially among Middle Eastern buyers. After the construction of Osman Gazi Bridge in 2016, there was an increase in the demand for real estate in Bursa.

The average return on investment in Bursa is 55.92%.

4- Izmir

Izmir is the third largest city in Turkey. The region is very important for tourism, sea transportation and industry. In recent years, the number of international investments in the city has increased significantly.

5- Mugla

Muğla is a city that stands out especially with its luxury villas. Fethiye with its beautiful landscapes and small villages, Bodrum with its fascinating ancient ruins, castles, beaches and holiday villages are the prominent regions of Muğla.

The disadvantage of investing in Bodrum is that the real estate prices are higher than Fethiye. However, there are still viable options.

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