COVID-19 on the Real Estate Market in Turkey
COVID-19 on the Real Estate Market in Turkey. Despite the Covid-19 outbreak and its consequences, Turkey’s property market continues to develop, with more over 41,000 new properties sold in September 2020, including 5,269 to foreign nationals.
Approximately 8,000 new properties were sold in Istanbul, Turkey’s primary city for property purchasers. (International investors bought around a fourth of these residences.) Iranian investors made the most property sales to foreign nationals in Turkey in September 2020, followed by Iraqis and Russians. Others came from the United Kingdom, Germany, and the United States, among other countries.
The Economy of Turkey During the COVID-19 Pandemic
According to the OECD, Turkey is the third least affected contry by the recent Coronavirus Pandemic Organisation for Economic Cooperation and Development). Turkey is regarded as a favorable investment destination for both domestic and international companies. Meanwhile, the building and real estate markets in Turkey are continually evolving.
New investments are linked to signs of optimism in Turkey’s economic growth — the country’s economy is one of the fastest-growing in the world, with an annual GDP growth rate of 5.5%.
Turkish Lira Condition in Terms of Properties Sales
The real estate market has always been a safe investment option, from the past to the present. The increase in the currency rate, as well as the chances for foreign investors in the industry to engage in Turkish real estate, are both attractive.
The keyword “Turkish Lira vs. US Dollar” has been the most popular on all search engines around the world, especially among those interested in Turkey’s real estate market in general, thus the big question now is: Is it a smart idea to buy real estate in Turkey now, especially given the lira’s decline?
Due to the fall of the Turkish lira, a number of international investors have decided to purchase residential properties in Turkey, where they have discovered reasonable real estate prices. Due to the lira’s current state, it is now possible to purchase a luxurious house in some of Istanbul‘s better neighborhoods for the same price as a typical property on Istanbul’s outskirts!
Furthermore, Turkish real estate marketing experts have stated that several of the real estate sales have had high demand. Property sales in Turkey increased in March 2021 compared to the same month the previous year. According to the figures, sales to overseas purchasers increased by 39% in March. That month, 4285 units were purchased by foreign purchasers. Iranians purchased 1599 houses in the first quarter, Iraqis 1461, and Russians 938.
As we have seen and experienced in the Turkish real estate market in recent years, and as we will see in the next years as the exchange rate stabilizes, the yearly real money growth rate is always bigger than the drop in the value of the currency rate.