TRT Haber – Real estate investments made by foreigners in Turkey reached USD 5 billion in the first 11 months of 2015, nearly doubling the total amount in 2012, when restrictions on property ownership by foreign nationals were eased.
Sector experts forecast a total figure of USD 5.5 billion of foreign investments into Turkish real estate for the entirety of 2015, crediting the growth to the easing of property ownership laws, development of projects tailored for foreign home buyers and increased presence of Turkish developers in real estate events abroad.
“Calculating by the monthly average of property purchases by foreigners, the year-end total will be around USD 5.5 billion,” according to the head of the Istanbul Constructors Association (INDER) Nazmi Durbakayim. “Turkish developers have adapted well to the foreign property buyers’ needs and tastes, be it Middle Eastern or European,” Durbakayim said, as he explained the sales boom. “The lira’s depreciation, legislative improvements, state incentives for foreign realty investors and taking part in international real estate shows and events are also important contributors,” he noted.
In recent years, Turkish developers and construction companies have been participating in many international real estate exhibitions and shows, often in cooperation with the Investment Support and Promotion Agency of Turkey (ISPAT).
The easing of the law governing property purchases in Turkey by foreign nationals in 2012 opened up Turkey’s booming real estate market to investors from Russia, the Arab world and Southeast Asia. The country also grants property buyers from other nations a year-long residency permit that could be extended indefinitely if the individual remains in the possession of the property acquired in Turkey.
According to latest data, 22,830 property purchases were made by foreign nationals in 2015 with an increase of 20.4 percent over the preceding year. Istanbul, Turkey’s largest metropolis and financial capital, was the location of choice for foreigners with 7,493 property acquisitions while the country’s most visited tourism destination, Antalya came second with 6,072. Marmara provinces of Bursa and Yalova followed with 1,501 and 1,425, respectively.
During the last year, citizens of Gulf countries emerged as top buyers of Turkish properties. Iraqis ranked first with a total of 4,288 acquisitions, followed by Saudis with 2,704 and Kuwaitis with 2,130.