Property prices and foreign buyers still rising in 2014

Real estate in Turkey continues to offer investors return for their money in 2014, with the price of new homes there increasing by more than seven per cent in October compared to the same month last year.

The latest REIDIN-GYODER New Home Price Index showed a 1.33 per cent month-on-month rise in October and a 7.3 per cent year-on-year increase.

The Index also revealed that prices in new projects on Istanbul’s European side recorded a 0.07 per cent month-on-month decrease while on the city’s Asian side this figure was a rise of 0.44 per cent.

In terms of prices of new apartments, one-bed one-bath units rose 0.81 per cent month-on-month in October, while two-bed one-bath units dropped 1.3 per cent. Meanwhile, three-bed one-bath units increased 1.46 per cent and four-bed one-bath one per cent.

Further encouraging news came from House Sale Statistics from the Turkish Statistical Institute (TUIK), which showed that overall property sales in September were up 13.2 per cent from September last year, with a rise in sales to foreigners up a staggering 81 per cent.

According to TUIK, foreigners accounted for 13,611 real estate transactions between January and September 2014, exceeding the total for the whole of 2013, namely 12,181. Foreigners bought the most properties in the Antalya province, specifically 590, which includes the resorts of Alanya, Side, Belek, Kalkan and the city of Antalya. Second most popular place was Istanbul with 546 sales and then the province of Aydın with 144. Sales also occurred in Mugla and Mersin.