How to invest in Istanbul real estate: your ultimate guide to property investment in Turkey
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Istanbul, the historical city that connects Europe and Asia, Istanbul is one of the largest cities in Turkey, it is the center of business and trade, and one of the most popular tourist destinations in the world. It is a thriving city that offers a rich cultural heritage, amazing architecture, and a thriving economy. Istanbul is a prime location for investment in real estate.
Istanbul is becoming increasingly popular with investors looking to invest in real estate. If you are interested in investing in Istanbul real estate, this article will be a comprehensive guide to provide you with everything you need to know to make informed decisions and secure your investment.
Why invest in Istanbul real estate?
The real estate market in Istanbul has witnessed a great growth in recent years. Istanbul has a population of over 15 million, and housing demand is high, making it an attractive location for real estate investment. In addition, the Turkish government has put in place policies to encourage foreign investment, making it easier for foreign buyers to invest in the real estate market in Istanbul than ever before, including granting Turkish citizenship to foreign investors when buying real estate worth $400.000, exempting them from taxes, and so on.
Another reason to invest in Istanbul real estate is the potential for high profit returns. Another reason to invest in Istanbul real estate is the possibility of achieving high profitable returns. The minimum price per square meter per residential unit reached $665 in 2020, then dropped to $616 in 2021 due to the Corona pandemic and its impact on the real estate sector and all investment fields. Finally, The minimum price per square meter per residential unit reached $1.136 in 2022, making it one of the fastest growing markets in the world. It is expected to continue this trend in the coming years, making Istanbul an attractive destination for investors looking for high returns.
In Istanbul, there is a wide range of properties that suit different investment goals, from luxury apartments in the city center to affordable properties in areas further out from the centre, there is something to suit and cater to every investor.
One of the popular options for investors is under-construction properties. These are properties that are still in the development stage, which means that investors can purchase them at a lower price than the completed and ready-to-move-in properties. This type of property can offer high returns on investment.
How to invest in Istanbul real estate?
Understand the market
Before investing in Istanbul real estate, it is essential to understand, analyze and evaluate the market. Istanbul is a big city that includes many areas that are diverse in nature and each has its own unique character. Accordingly, real estate prices, types and extent of luxury vary in proportion to the nature and location of the area. Among the areas that are increasingly popular for real estate investment are Beyoglu, Sisli, Kadikoy and Uskudar.
It is also important to understand the current market situation. The real estate market in Istanbul has grown at a tremendous speed over the past few years, and prices have been constantly on the rise. However, it is important to note that the market can fluctuate, and prices can fluctuate quickly as well. It is very important before embarking on an investment to conduct research and study of the Turkish real estate market and to stay abreast of market trends.
Work with trusted real estate agents
When investing in Istanbul real estate, it is essential to work with reliable real estate agents and reputable companies. A good agent has a deep understanding of the local market and can help you find the best property for your investment goals. In addition, a reliable real estate agent can assist you with all legal requirements related to investing in Istanbul real estate, and guarantee your right, which is especially important for foreign investors who may not be familiar with the laws related to real estate in Turkey.
Determine your investment goals
Before investing in Istanbul real estate, it is necessary to define your investment goals. Are you looking for long term capital appreciation, rental income, or a combination of both?
Once you have a clear idea of your investment goals, you can begin to identify properties that are most likely to meet your needs. For example, if you are looking to raise capital in the long term, you may want to invest in a property that is under construction in a developing and promising area like Kagithane. On the other hand, if you are looking for rental income, you may want to invest in a property in a residential area with a high demand for rental properties such as Beylikduzu.
What are the best areas for real estate investment in Istanbul?
Maslak is one of the most prestigious neighborhoods in the city of Istanbul. It is distinguished as a business center, as it includes many commercial towers and skyscrapers, and it is the headquarters of the largest international companies.
Maslak includes a number of famous shopping centers such as Vadi Istanbul Mall, which has taken its place as a tourist destination for visitors to the city throughout the year. Also, Maslak area overlooks Belgrade forests, which contain walking and cycling paths, a zoo, and barbecue areas, amidst the beauty of nature and green trees. Most of those who choose to live in the Maslak area are lovers of calm and nature.
Maslak district includes a number of the most famous universities in Istanbul, such as Nisantasi University and Istinye University. There are also many Turkish and international schools in the area.
The most important characteristic of Maslak real estate is its luxury, the high level of quality and luxury it offers, and its magnificent view of Belgrade Forest. Also, Maslak is a modern area and a vital center in the city, so it is suitable for housing and investment.
Sisli is a center for trade and business, as it includes many Turkish and foreign companies and banking centers that have their headquarters in this central area, so there are many skyscrapers and commercial towers.
Sisli is a tourist area par excellence, as it includes the most prestigious shopping centers in Istanbul, such as Zorlu Mall, Cevahir Mall, and Trump Shopping Center within the commercial and residential Trump Towers. Also, there is Abdi Ipekci Street within Nisantasi neighborhood in Sisli area, which is considered the finest and most luxurious shopping street in Istanbul, as it includes many boutiques of the most famous international brands such as Gucci, Chanel, Prada, Louis Vuitton, etc... It also has many world-famous hotels. Such as Fairmont Istanbul, Hilton Bomonti, Holiday Inn Sisli, and St. Regis Istanbul.
Sisli is an integrated area with hospitals, schools, and universities, so it is suitable for housing and investment.
Due to the size of the area, it combines old neighborhoods with traditional buildings and historical character, and new neighborhoods with architectural civilization, and modern residential towers.
Sisli is one of the most desirable areas for investors, and since the demand for it is high, its prices are high, its real estate is valuable, and investment in it is always profitable.
Uskudar area enjoys a charming view of the Bosphorus Strait, and it is one of the most famous tourist destinations in Istanbul, as it has many unique monuments and historical places, in addition to urban development and modern projects, and there are a number of Ottoman palaces such as the Beylerbey Palace in Istanbul, and the towers and mosques, where in the Uskudar area, there is the largest mosque in Turkey, which is the Camlica Mosque, which overlooks the Bosphorus, and is located on Camlica Hill, or what is called the Hill of Brides. Also, in the Uskudar area, there is the Maiden's Tower, one of the famous landmarks in Istanbul, which shines in the waters of the Sea of Marmara and attracts thousands of Arab and foreign tourists. In addition to being a tourist area, Uskudar area has a number of the most important residential neighborhoods. It is an integrated area with services. There are schools, universities, hospitals, shopping and entertainment centers, the most famous of which are Emaar Istanbul Mall and Akasya Mall.
Uskudar real estate is characterized by luxury, and its charming view of the Bosphorus. The real estate in Uskudar also varies between investment properties and residential properties, and it varies between residential apartments, hotel apartments, and luxury villas, and it is an area suitable for family housing and for spending holidays.