Turkey sees number of overseas property buyers increase
The number of properties sold to overseas buyers in Turkey increased by over 20% in 2017 with those investing in the country’s real estate market coming from a variety of nations.
Figures from the Turkish Statistical Institute shows that sales to international buyers were up by 22.2% compared with 2016 with the biggest number of transactions in Istanbul, followed by Antalya, Bursa and Yalova.
The data shows that the biggest group of overseas buyers were from Iraq, followed by buyers from Saudi Arabia, then buyers from Kuwait, Russia and Afghanistan, suggesting that the Turkish market is seen as a safe haven for investment for Middle East and Eastern buyers.
The increase may also be due to moves by the Turkish Government to attract foreign investors, offering citizenship to foreigners investing US$1 million in the real estate market.
Foreigners investing in the property market are also exempt from 18% VAT as long as they keep the property for at least a year.
Overall in Turkey house sales increased by 5.1% in 2017 compared to the previous year but the market was slow at the end of the year with transaction down by 6.8% in December compared to the previous month.
Turkey continues to be popular with buyers from the UK and Germany too, according to Julian Walker of property agents Spot Blue. They are attracted to locations such as the Mediterranean district of Antalya which has a big expat population.
He pointed out that British buyers bought a total of 794 homes in Turkey last year and despite getting off to a shaky start in the first two months of the year with just 77 sales, business picked up and climbed to its peak in September with 103 sales for that month alone.
General trends show British buyers tend to stick to the Aegean and Mediterranean coasts in resorts such as Didim, Fethiye, Bodrum and Kalkan.
Experts believe that 2018 will see a further boost in sales to overseas buyers after some of 2017 was blighted by terrorism but a lack of attacks recently is seeing confidence return.
Walker also pointed out that British airlines have increased their seat capacity between the two countries and a favourable exchange rate, as well as a good supply of new, modern homes offer ideal conditions for foreign property buyers in Turkey.