The global company Colliers International (USA), which provides real estate services in different countries, has published a report on the impact of the pandemic on the Turkish market.
What problems has it caused? The analysts said the housing projects that were under construction during the coronavirus outbreak have been hit hard. Construction projects were frozen, working capacities were reduced, supplies of finishing and building materials were canceled. All this led to a violation of the construction completion deadlines: many contractors in Turkey simply could not meet the deadlines set before the pandemic. Another problem caused by the coronavirus was the drop in home sales, which hit both real estate agencies and construction companies. In the near future, it is expected that many Turkish developers will postpone project completion dates to a later date.
What has changed? According to the report, one of the important consequences of the coronavirus in the residential sector in Turkey has been a shift in the preferences of property buyers. Demand has increased for districts remote from the center, for houses with a garden and residential complexes with extensive green areas. Experts from Colliers International believe that projects with a low density of residents, with balconies and terraces, providing a lot of open space, with walking paths will continue to be in demand in Turkey.
What have been the results of the measures taken to combat the consequences of the pandemic? To help the real estate and construction sector recover, the Turkey's authorities launched a mortgage campaign with lower interest rates. A s a result, in June, Turkey observed a record rise in mortgage sales. According to analysts, this indicates that the number of people willing to buy apartments in Istanbul (and those expecting low interest rates) has dropped significantly. However, high demand for real estate in Turkey can be expected at least until the end of 2020, if banks do not raise interest rates.