In Turkey, you can buy housing in different price segments. Previously, many foreign buyers preferred either the most low-budget apartments or the most spacious beachfront real estate units at a resort (or even several properties at once), which allowed them to obtain citizenship through a simplified procedure for investing at least $400,000 in property. However, smaller yet very comfortable apartments in megacities, including the high-end segment, also deserve attention. Let's find out why.
First, let’s have a look at some figures: the real estate price analysis platform Endeksa, which studied the cost of apartments in Istanbul in the “upper” and “lower” segments, classified as luxury housing those residences located in sought-after locations with at least four bedrooms and two bathrooms. Also, such apartments have maintenance staff and/or security service, and there are convenient private outdoor and indoor parking spaces.
Endeksa reports that the average price per square meter of housing belonging to the high-end segment reached TL 47,682 according to the latest data. This is approximately €1,630 at the current exchange rate. The average cost of a residential unit in this segment is TL 13,207,914, or about €450,000 while the price for an average housing unit in Istanbul is three times lower: about TL 4 million (TL 3,831,240). The average property cost in Turkey is TL 2,691,780.
Studying price dynamics, Endeksa analysts noticed that the luxury segment is more profitable for potential buyers, at least in the fact that the cost of such units grows much more slowly: you can take a closer look and choose the best unit for yourself.
During the period from January to July 2023, housing prices in Istanbul increased by 42.8% on average, by 42.5% in the “lower” segment and by 22.8% in the “upper” (luxury) segment. The annual growth rate for property prices jumped as high as 90.6% on average in Istanbul, 87.6% for the “lower” segment and 50.5% for the “middle” segment.
Content:
- The table below shows current statistics:
- First option – Hotel apartments
- Second option – villas for the price of an apartment
- Third option – luxury properties at “unpromoted” resorts: where, if not in Bodrum?
- Fourth option - luxury real estate in megacities
The table below shows current statistics:
| Average price per 1 m2 (TL) | Average price per housing unit | Increase in price over the last month (%) | Increase in price for Q2 –April–June 2023 (%) | Increase in price from January to July 2023 (%) | Increase in price for the year (%) | |
|---|---|---|---|---|---|---|
| Turkey | 20,706 | 2,691,780 | 6.8 | 21.8 | 48.1 | 108.4 |
| Istanbul (“upper” segment) | 47,682 | 13,207,914 | 6.2 | 18.2 | 22.8 | 50.5 |
| Istanbul (“lower” segment) | 30,022 | 2,701,980 | 6.9 | 23.8 | 42.5 | 87.6 |
| Istanbul average property | 31,927 | 3,831,240 | 7.0 | 23.4 | 42.8 | 90.6 |
In addition, the “luxury” segment is more stable and more profitable in many cases.
First option – Hotel apartments
Apartments in hotel complexes belong to the category of luxury housing. You can purchase them in various projects in different cities of Turkey, but there are especially many offers in resorts and Istanbul. Apartments in such complexes are rented out as hotel rooms, on a daily basis, and unlike short-term rental housing in ordinary apartment buildings, this does not require financial expenses from the owner and any paperwork as you sign only one management agreement with a hotel company. Taking into account the fact that property maintenance and check-in are often carried out by a well-known large international hotel operator, you can be sure that your apartment will be occupied throughout the year. In addition, when purchasing such an apartment, you become the owner of the property that is part of a famous hotel brand.
Examples of such projects that Turk.Estate has recently wrote about are Radisson Red in Izmir, Natura Mersin in Mersin (this is a residential complex operating on the principle of a hotel), Kempinski in Bodrum and Sapanca.
Second option – villas for the price of an apartment
Although there are not so many cheap options, you can still find such villas if you look hard enough. Houses that cost $250,000 are usually located in provinces less popular with foreigners, and not beachfront, but rather on the second or third line.
Thus, you buy a detached building – albeit a small one – which, taking into account the updated requirements, is much easier to rent out than an apartment in a residential complex. After all, the owner has complete control over the house, while you require the consent of the neighbors for any layout changes, glazing balconies and renting out your apartment.
As for examples of villas in the specified range (up to a quarter of a million dollars), they look as follows:
- A semi-detached triplex villa with 4 bedrooms, 2 bathrooms and a terrace, with an area of 220 m2, 500 metres to the sea; location – Tekirdag;
- A 3-bedroom villa with a private garden of 145 m2 in Yalova;
- A 5-bedroom villa with an area of 200 m2 and sea views in Kocaeli;
- A villa with an area of 286 m2, with 4 bedrooms and 2 living rooms, heating, heated floors and a private small pool in Sile (outskirts of Istanbul), 1.5 km from the center and within walking distance from the sea.
Where to find low-budget villas?
They can be found in:
- Ankara
- Mersin
- Bursa
- Çatalca
- Silivri
Third option – luxury properties at “unpromoted” resorts: where, if not in Bodrum?
While earlier the option of purchasing luxury housing on the seashore, in particular villas, was often considered in Bodrum (Mugla), nicknamed the “Turkish Riviera,” now we will offer several non-obvious resort locations.
Kusadasi
A resort and port in Aydin province, Kusadasi is a very large city, almost a metropolis with a beautiful coastline, which is compared to Amalfi (Italy). The sea water temperature allows swimming in Kusadasi and the surrounding area for about eight months a year.
It is also a port where many cruise ships, including international ones, call. Plus, from Kusadasi you can quickly get to Izmir, ancient Ephesus and the house of the Virgin Mary. Therefore, you do not have to worry about the lack of tourists and potential tenants.
Housing prices here start from about $150,000 for low-budget options and $300,000 for luxury residences with 2 or 3 bedrooms, a sea view and various amenities: residents have access to a fitness centre, swimming pool and tennis court.
By the way, this is where many expats from Europe live, especially the UK, Ireland, Belgium, the Netherlands as well as countries of the Middle East. So, the restaurant segment is well developed, and the nightlife is also in full swing.
Kalkan
This is an elite resort town in the province of Alanya, on that part of the Turkish coast where the Mediterranean Sea “meets” the Aegean Sea. Kalkan is reminiscent of a Greek or Roman amphitheatre: the harbor and “old town” are at the seaside and most of the buildings are built on the slopes. Moreover, there are no high-rise buildings here, and there are quite a few low-rise apartment blocks; townhouses and detached houses are more common, from tiny houses to stunning villas. However, Kalkan is different – and famous among real estate hunters for the fact that almost 100% of the properties offer a wonderful panoramic sea view.
You won’t find the most modest apartments that cost less than $200,000. However, you can buy luxury housing, with your own pool and several bedrooms $400,000–500,000.
Kalkan is the busiest in the “high” season, from April to October, the rest of the year it is quite quiet and calm.
Northern Cyprus
We advise you to consider Kyrenia, Iskele and Famagusta in the self-proclaimed Turkish Republic of Northern Cyprus (located in the northeastern part of the island). There are great beaches here. And there are high-quality and spacious beachfront apartments for sale. Although, taking into account the limited amount of “free” land for development, this territory is rapidly populated. So those who think about buying for too long will have to choose housing on the second line and beyond.
Here you can buy apartments in low-rise and high-rise complexes as well as townhouses and luxury villas. The latter, as a rule, are located right next to the beach or very close to it.
Prices at the moment start from $85,000 for the most modest studio unit with a sea view. But as for the quality of real estate in Northern Cyprus, even relatively budget residences with minimal square footage are built, designed and equipped in such a way that they are, in fact, luxury housing.
The upper “limit” of housing prices in Northern Cyprus is more than $1 million. At such a price, you can buy a contemporary 5-bedroom beach villa with a large infinity pool, spacious garden and luxury finishes.
Fourth option - luxury real estate in megacities
TOP 3 megacities for purchasing your luxury second home are the cities that should be considered first when it comes to investing in property in Turkey.
Istanbul
One of the most visited cities in the world. This is a cosmopolitan metropolis with a rapidly developing economy, where real estate is always in demand, without exaggeration, 24 hours a day, 7 days a week and 365 days a year. There are especially many properties under hotel brands. As for luxury real estate, there are especially many residential complexes with luxury apartments, as well as exquisite mansions and extravagant villas. The best houses are located on both banks of the Bosporus, as well as on the Princes' Islands. Contrary to popular belief, you can also look at mansions in the latter at a relatively affordable price. It is just a matter of selecting an experienced real estate consultant.
Antalya
The "resort capital" of Turkey, it is an excellent city for buying luxury real estate in the country. It is home to ideal sandy beaches, developed social and transport infrastructure of a modern metropolis. You can swim in the sea from March to early December.
The areas of Konyaalti and Lara, popular among British and European investors, are of particular interest to those looking for luxury property in Antalya. However, it is worth keeping in mind that in the city centre (and Lara and Konyaalti are the centre) prices have increased over the past year by approximately 100%. So, it is worth paying attention to market trends and consult experts before making a choice.
Ankara
The only drawback of Ankara is its distance from the sea. As for the benefits, it is the capital of the Republic of Turkey, which has very beautiful green spaces and a wide selection of luxury real estate, including detached houses. In addition, prices in Ankara are on average lower than in other cities. That is, here for the same amount you can actually get much more than in Istanbul, Izmir and Antalya.