Real estate prices in Türkiye 2023 - Skyline Guide

From the reality of our work, we present a Skyline real estate guide about real estate prices in Turkey, this topic, which includes a lot of important and valuable information, as exceptional numbers appear in the real estate market in Turkey, especially if we know the most expensive and cheapest cities in it and compare them to real estate prices in Europe and the world in general.

To accurate and analytical details about the relative rise in Turkey's real estate prices, whether in the past years, or during one year, and an economic analysis from our real estate experts about the reasons for this rise.

A comprehensive article and a detailed and documented report awaits you with accurate figures and official statistics that feed this topic, and allow you to get a closer look at the reality of real estate prices in Turkey.

Our guide on real estate prices in Turkey

Here is some valuable information about the real estate market in Turkey and the most famous cities, both in terms of high and low prices:

What are the most expensive cities in Turkey?

We will discuss this topic only from the angle of real estate prices and not from other angles related to the cost of living and daily costs.

In terms of real estate prices in Turkey 2023, we can classify the following cities as the most expensive Turkish cities in terms of real estate:

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What are the cheapest cities in Turkey?

Also, in terms of the cheapest real estate prices in Turkey 2023, we can classify the following Turkish cities as the cheapest cities for those looking for apartments for sale in Turkey:

 

Exceptional figures for the Turkish real estate market

There are several metrics by which the real estate market in Turkey can be studied accurately, namely:

Average price per square meter in Turkey

With the beginning of 2023, the price per square meter of real estate in Turkey reached 14,698 Turkish liras, according to the latest real estate reports issued by Endeksa, and this value in US dollars is approximately equal to 782 dollars according to the exchange rates of the Turkish lira in February 2023.

The average price per square meter index is one of the important measures to know the trends of real estate prices in Turkey in 2023 and beyond and is considered the first reference in knowing the initial budget for owning a property in Turkey.

Building Permits Index in Turkey

In the last quarter of 2022, the number of Turkish buildings granted permission for construction decreased by the following percentages: 11.3%, 2.1%, and 7.1% in the months of October, November and December of last year 2022, respectively, according to the latest quarterly report issued by the National Institute of Statistics in Turkey.

The following is an accurate statistic of building permits granted in Turkey during the past three years:

The decline in new real estate offers with the increasing demand for buying real estate in Turkey is very influential on real estate prices in Turkey and led to their relative rise.

Property purchase rate in Turkey

The Turkish real estate market has witnessed a remarkable demand for ownership, according to the annual statistics of the National Institute of Statistics in Turkey, as shown in the following table:

The balance of demand has maintained close progress for acquiring new properties and selling old properties over the past three years.

Interest rate in Turkey

According to the latest data of the Central Bank in Turkey, the interest rate has decreased to 8.5%, recording a significant decline during the past two years, which reflects positively on freeing investors' funds from banks and heading to other destinations for investment, and investing in real estate is one of the most important of these alternative destinations.

Turkish Economic Growth

Today, Turkey is ranked eleventh globally among the economies of major countries, and it has been a member of the Group of Twenty for several years, and it plans to enter the list of the first 10 global economies.

Economic growth in Turkey is estimated at 7.6% on average, and this rate indirectly contributes to affecting real estate prices in Turkey as the real estate market is one of the pillars of the country's economy.

Turkish Population Growth

The need for housing and real estate investment is associated with the increase in population growth in any country, as the need for housing is associated with the increase in the number of members of one family, and the increase in marriage rates in society, and here it is necessary to focus on a set of criteria for population growth in Turkey:

• Turkey's population is now approaching 85 million, and over the past year it has increased by almost 2.1%.
• The number of foreigners residing in Turkey exceeds the limit of 10 million foreign residents, and they are steadily increasing
• The number of new marriages in Turkey reached about 561 thousand marriages during the past year

All these criteria lead to an increase in demand and need for real estate, especially apartments, whether buying or renting, all of which adds positive value to the issue of real estate prices in Turkey for sure.

Would you like to read the article: Buying and renting an apartment in Turkey

Are house prices in Turkey relatively low and why?

Here the comparison is between the average real estate prices in Turkey and some similar countries, whether in Europe, the Gulf or the United States of America, being the strongest destinations for real estate ownership around the world.

Let us put you in a picture of the average price of an apartment of 100 square meters in each of the following countries:

 

There are several reasons why Turkey has relatively low prices for its real estate, the most important of which are:

• The decline in the exchange rate of the Turkish lira against other foreign currencies always shows that real estate prices in Turkey are lower than real estate prices in other countries.
• Construction and licensing costs in Turkey are relatively lower, due to the availability of labor and their low wages, as well as the cheapness of building materials.
• The presence of government incentives that help reduce taxes and facilitate ownership procedures, which reflects positively on the ease of displaying real estate at lower prices.
• Real estate offers in Turkey are very many, and despite the clear increase in demand for real estate in Turkey, the supply is so far higher than demand and therefore real estate prices remain lower than other countries.

Read an article: Suitable income to live in Turkey 2023

Information about the high price of real estate in Turkey

Let's pause a little on the subject of real estate prices in Turkey to learn about the annual rates of change, and the seasons that witness a rise in the price of real estate throughout the year, and conclude with a detailed economic analysis on these points:

Real estate prices in Turkey have changed over the past years

Although the average price per square meter in Turkey is still low compared to real estate prices in many countries of the world, we notice a relative increase in the price of real estate in Turkey over time, and this reflects the importance of investment in this sector clearly, and the following is the statistics of prices per square meter in Turkey during the past years:

 

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Seasons of high real estate prices in Turkey

There is no accurate statistic linking the rise in real estate prices in Turkey and annual seasons, but we can significantly link the increase in supply and demand for real estate for sale in Turkey to get a clear view of the season of relatively high prices.

For example:

In winter,  real estate offers are usually about 20-30% higher than during other seasons of the year, so real estate prices are lower than the rest of the months of the year.

In the summer, the demand for buying real estate in Turkey is much higher than other seasons by about 10-20%, and this means that real estate prices are higher than the rest of the months of the year.

This talk is not considered accurate to a large extent, as there are many reasons that lead throughout the year to the balance of demand and supply for apartments, real estate and land in Turkey, and based on the changes in this balance, prices are high or low.

With a relative comparison between the beginning and end of the year, Turkish real estate prices are gradually rising annually, regardless of the seasons of excess rise or significant decline during the months of one year.

 

In this article, Skyline Real Estate has provided you with a comprehensive and detailed report on real estate prices in Turkey to be clearly informed and shown on all the details related to this topic, and we have studied during the article a lot of important economic analyzes for foreign investors in Turkey, which help them improve the way they choose the appropriate real estate investment, its date, and a lot of other relevant information.

To obtain comprehensive real estate advice and integrated services, we always advise you to contact Skyline Real Estate, as it is the first real estate consultant in Turkey and puts in your hands more than two decades of experience and knowledge of the Turkish real estate market.

 

Sources of the article:

Central Bank of Turkey،EdniskaEndexa،National Institute of Statistics of Turkey،Numbio Statistical Agency