Many of you will remember our previous posts on the new Turkish property law removing the reciprocity requirement for foreign buyers. The last one we wrote was jubilantly titled The Law is Passed – More Foreigners Can Buy More Property in Turkey. In previous articles we have shared the consensus of predictions that the inclusion of the Arab markets could potentially add $2 billion worth of revenue to the Turkish real estate market.
We have also previously predicted that there could potentially be a big rush on as foreigners get in before the rush.
In May foreign buyers purchased $1.1 billion worth of Turkish properties according to the central bank, four times the amount purchased in the whole of 2011. This was a new record for foreign sales in Turkey.
The bumper month was not because thousands of new buyers had benefited from the new law, rather it was because wealthy investors from European countries already allowed to buy had invested heavily. It is thought that they plan to sell the properties on to other foreign buyers once the country is opened up to more nationalities, especially the wealthy Arab states.
Two sources from the Istanbul Realtors' Chamber both told Hurriyet that they believed the bumper month in April was in anticipation of the rush of buyers the new law will allow to buy in the country. According to chamber Co-President Nizamettin Aşa there are currently close to 300,000 potential Russian and Arab buyers.