The period of return on investment in residential real estate in most of the largest cities in Turkey is about 200 months, if it is rented out. However, in some localities, taking into account the jump in prices, this period has somewhat lengthened.
The reason experts call a record increase in the cost of housing, caused in turn by an increase in construction costs. So, the cost of 3+1 format residences – that is, with three bedrooms - in new buildings has now reached one million Turkish liras are worth one million liras (TL) even in those cities where housing prices are considered «very moderate». In megacities, the price is much higher.
According to the results of a recent study of the cost of housing Denge Değerleme, as reported by the newspaper Dünya, only in two of the largest 20 cities, the data for which were taken into account in the study, the period of return on investment has decreased. They became the resort capital of Turkey Antalya, as well as Mugla.
As for the megacities where the payback period has increased, these are Istanbul (up to 250 months), Izmir (250-360 months), as well as the capital of the republic of Ankara. According to her, the increase in indicators is not exactly announced; however, analysts note that a number of districts of Ankara and its environs are more suitable for the expansion and construction of new housing compared to overpopulated Istanbul and Izmir, which is quite specific in the sense of zones allowed for the construction of buildings (recall that it is more prone to tremors); and the supply of housing for the market in the capital is more controlled in general.
Recall that residential real estate in Istanbul has risen in price by 145% over the past year, but the rental amount has increased by 200% in just seven months of 2022.
The other day we told you that the pace of housing sales in Turkey is not declining despite the rise in prices.