Posted on 27 August 2009
Turkish property prices increased in six major cities in July, according to the most reputed index ran by reidin.com in conjunction with Garanti bank.
The biggest increase was a 3.65% growth in Kocaeli house prices, Adana was a distant second with 1.09%, Ankara third with 0.98% house price growth, and Istanbul was also worth a mention with a growth of 0.48%.
Rental rates also increased; reidin recorded a 1.70% in Izmir rental rates, Adana rents increased 1.24%, Itanbul saw rents increase 1.2% and a 0.24% increase was recorded in Ankara. This was tempered by a 1.84% fall in Kocaeli, surprisingly where sale prices increased by the most, and 1 1.06% fall on rental rates in Bursa.
The rise in Turkish property prices in July has been put down to low interest rates, which increase domestic demand. But Spot Blue have recently explained how foreigners can obtain mortgages on completed properties, so it is likely that some foreigners will have taken advantage of the current interest rate, which has been reduced by 9% in the last 12 months — more than any G20 economy.