Ernst & Young ranks Turkey Europe’s second most attractive real estate market

Today’s Zaman - The “European Real Estate Assets Investment Trend Indicator 2013” report released recently by Ernst & Young has ranked Turkey the second most attractive market in Europe for real estate investors.

The report, which was prepared in cooperation with the Economist Intelligence Unit (EIU), was announced in Turkey by Ernst & Young Corporate Finance Department Director Musfik Cantekinler, who said that, based on research, all of the participants found Turkey an attractive market overall. The report noted that 40 percent found Turkey the second most attractive real estate market. It also highlighted a notable trend: Non-Eurozone countries are particularly attractive. Russia, Ukraine and Turkey were ranked as places where office buildings are expected to have a high demand, increasing the potential for higher prices.

Cantekinler noted that their expectations are toward an increase in prices, saying, “It is important to underline that these price increases will only be at prestigious locations.” However, the report also showed that investors are interested in real estate purchases across all budgets. Eighty percent of respondents expressed that they believe that the volume of real estate transactions would increase while 70 percent said foreign investments would become more significant as transactions increase.

Last year, Turkey lifted the reciprocity principle which prohibited ownership of property in the country by foreign nationals whose country of origin does not give a Turkish citizen the right to purchase property in that country. The move allows foreign buyers to purchase property almost anywhere in Turkey, drawing property investors from all over the world, especially from Arab countries who were not allowed to buy in Turkey before.

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