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The Turkish real estate market continues to attract investors from all over the world, especially those who intend to live and settle in Istanbul, due to the many advantages that this city has that make it attractive and make its real estate at the top of the list of the most sought-after real estate in the global real estate market.
According to the Anadolu Agency, Turkey has witnessed about 3 million real estate sales deals since the beginning of this year 2022, bringing the state treasury revenues of more than 35 billion Turkish liras ($1.877 billion) from the fees of those deals.
Among the deals, 1.254.545 apartments, 518.089 plots of land, 862.438 agricultural lands, and 135.782 workplaces were sold, while the rest was other real estate.
Istanbul topped the Turkish states in the number of deals with 361.492, followed by Ankara with 187.425, then Izmir with 150.423 deals.
What are the factors that affect the prices of apartments in Istanbul?
There are many factors that play an important role when determining the prices of apartments in Istanbul, the most important of which are:
1- The location of the property within the city is the main factor that determines the price of the apartment, both in buying and selling, and even in renting. Apartments in the heart of the city and its commercial center, where tourist and vital places are, always more expensive than those located in areas far from the center.
In a previous article, we talked about the advantages of buying an apartment in the center of Istanbul, you can read it by clicking on the link.
Also, the location of the property in relation to the means of transportation, as the price of the property increases directly according to its proximity or distance to the main means of transportation, such as the metro and Metrobus. The closer we are to the means of transportation, the higher the price of the property.
2- The size and area of the apartment also affects the price of the property. Obviously, large apartments are more expensive than small apartments.
3- The view offered with the apartment. Apartments overlooking the Bosphorus are more expensive than apartments overlooking the city. Likewise, apartments overlooking the sea directly or the forest completely are more expensive than apartments with partial views.
4- The state of the property, is it ready or under construction? Also, the approaching date of delivery of the project under construction leads to an increase in the prices of apartments in the project and in the area.
5- Infrastructure and urban development projects in the project area that increase the value of the apartments in it, such as the opening of a new metro line, a commercial mall, a university, an airport, and others.
Apartment prices in Istanbul 2023
There is a great demand by investors to buy apartments in Istanbul, and this demand has left a clear impact on the prices of apartments, as the annual rate of increase in apartment prices reached more than 120% for the year 2022, according to the Turkish Statistics Authority, and despite the fluctuations in the price of the Turkish lira against the dollar, apartment prices in Istanbul continued to grow positively, with future expectations to continue to rise, especially with the giant residential projects that took place within the city of Istanbul.
Frequently asked questions
Is there a relationship between the property location and its price?
The location of the property within the city is the main factor that determines the price of the apartment, whether in buying or selling, or even in renting. Apartments in the city center, its commercial center, and tourist and vital places are always more expensive than those located in areas far from the center.
Why are real estate prices so high in Istanbul?
Real estate prices are high in Istanbul compared to the rest of the Turkish cities because it is considered the economic capital of Turkey, and because of the great urban boom that it is witnessing, and its strategic location on the map, in addition to the great interest of the Turkish government in the city of Istanbul, and the development of infrastructure through many projects it has undertaken.
Also, Istanbul is considered the first destination for Turkish and foreign investors, as it is considered the best by achieving the largest profit margins in recent years for investors.
The prices of apartments in Istanbul are usually very high compared to other cities, due to its historical and commercial importance, as well as the most important commercial and archaeological centers.
What are the reasons for the high real estate prices in Turkey?
There are several basic factors that led to a significant increase in real estate prices in the recent period, especially after the end of the Corona epidemic, the most important of which are: global inflation, which significantly affected the prices of building materials, on the date of 6/2023, the increase in iron prices reached 80%, and for the rest of the construction materials increased by 25%. Also, supply and demand, which greatly affects real estate prices, especially in Istanbul, due to the lack of lands suitable for construction near areas with important infrastructure, and the great development and urban renaissance taking place in Turkey, especially Istanbul, also affects the high price of real estate.
Can a foreigner buy an apartment in Turkey?
Foreigners can legally buy real estate throughout Turkey, except for properties over 30 hectares, those exceeding ten percent of a district, or those in military zones.
Is it worth buying an apartment in Turkey?
Despite rising prices, real estate in Turkey remains affordable and offers significant growth potential. Therefore, it is still an ideal time to invest in the Turkish property market.
How are common area maintenance fees (dues) paid in residential complexes?
Common area maintenance fees are usually paid monthly or annually via bank transfer or electronic payment and cover costs for maintenance, cleaning, security, and shared facilities.
