Posted on 19 August 2010
Experts believe demand for property in Turkey will increase as Brits and Europeans continue to feel the pinch from austerity and a weaker-than-expected economic recovery.
Recent news stories in Britain have highlighted low consumer confidence; with many Brits feeling less optimistic and happy about the economy now, than they did at the low point of the recession.
"At least when we were heading down in the recession we knew what to expect, now we are supposed to be recovering and still finding that we have less and less disposable income," says Liam Bailey of Write About Property.
In Britain, the economic recovery is to be "rocky" according to the Bank of England and the government, to make matters worse we have impending austerity measures and higher-than-expected inflation, pushing up the cost of day to day living and reducing disposable income, especially with wages frozen and even reduced for many people. There is a similar picture across Europe.
Spending is definitely reducing, with confidence so low. One thing we saw during the last recession is that most people will hang on to their holidays abroad if at all possible, and so it is likely that we will see more and more people looking to low-cost destinations like Turkey for their holidays.
“For the next few years, because people always want holidays abroad, we will see continued rises in tourism to low-cost destinations like Turkey, and this will also bring increases in demand for holiday homes and holiday home investments in the country, also fuelled by the country’s low prices," Bailey said.
Bailey also said that warnings over disruptions on holidays to Greece, one of Turkey’s main rivals, would further benefit Turkish tourism.
Increased tourism will increase sales of Turkish property, by increasing rental demand, and also because the holiday makers of today tend to be the holiday home buyers of tomorrow. Sales of Turkish property will also benefit from Turkey being in a better fiscal state than its rivals, according to Bailey.