New housing in Turkey has been very popular in the last 5 years. Housing is in high demand and the average cost of 1 sq. m of space is 5,579 Turkish lira (TL).
According to Endeksa, at the end of January 2022, Turkey had an annual average housing price increase of 78% and an average housing unit price of 736,428 TL. This platform often gives you updated real estate prices from across the country.
The average period of return on investments in real estate in Turkey is 19 years.
In January, 88,306 housing units were sold throughout Turkey and 97,587 in February. Sales to foreigners increased by over half in the first 2 months of this year. In January by 56% compared to 2021 (4,186 transactions) and in February by 54.9% compared to last year (4,591 transactions).
Contents
- The 3 largest cities: prices increase from 90 to 126%
- The most sought-after locations and housing prices in Turkey
- Provinces “record holders" by housing price
- The fastest-growing areas in popular cities by price
- Land prices in Turkey
The 3 largest cities: prices increase from 90 to 126%
In January 2022, Istanbul had the most transactions. There were 15,110 real estate sales in the city. This is 17% of the total number from across Turkey. Ankara was in second place (8,255 transactions in January or 9%) and Izmir ranked third (5,486 transactions or 6%).
In February, Istanbul once again was the sales leader with 18,752 transactions or 19.2% of the total volume. These 3 leaders have not changed: Istanbul is followed by Ankara with 8,464 transactions and a share of 8.7%, and Izmir is in third place again with 5,575 transactions and a share of 5.7%.
According to Endeksa, at the end of January, housing prices in the largest Turkish metropolis of Istanbul rose by 126% compared to January 2021. The average price of 1 sq. m of residential real estate here was 6,348 TL per housing unit on average or 730,020 TL.
In Ankara, prices increased by 90% over the past year. The average price of 1 sq. m was 3,057 TL and the average cost of a housing unit was 397,410 TL.
In Izmir, the yearly growth reached 91%. 1 sq. m at the end of January 2022 cost an average of 5,545 TL and the average price of a housing unit was 693,125 TL.
The most sought-after locations and housing prices in Turkey
The table shows the figures for 30 provinces of Turkey with the most in-demand housing in 2021. The truth is in these numbers:
| Province | Number of transactions | Share in total sales | Average cost per 1 sq. m (TL) | Average cost per unit of housing (TL) | Annual increase in value(%) | Rate of return on investment (year) |
|---|---|---|---|---|---|---|
| Istanbul | 15 110 | 17% | 6348 | 730 020 | 126 | 16 |
| Ankara | 8255 | 9% | 3057 | 397 410 | 89 | 17 |
| Izmir | 5486 | 6% | 5545 | 693 125 | 91 | 21 |
| Antalya | 4295 | 5% | 5455 | 670 965 | 124 | 19 |
| Bursa | 3734 | 4% | 3611 | 469 430 | 95 | 20 |
| Kocaeli | 2801 | 3% | 3333 | 416 625 | 87 | 20 |
| Mersin | 2346 | 3% | 3259 | 486 850 | 119 | 14 |
| Tekirdag | 2215 | 3% | 2958 | 399 330 | 107 | 17 |
| Aydin | 2184 | 2% | 6190 | 891 360 | 126 | 32 |
| Balykesir | 1891 | 2% | 4818 | 578 160 | 108 | 26 |
| Konya | 1794 | 2% | 2795 | 447 200 | 99 | 21 |
| Kayseri | 1753 | 2% | 2560 | 422 400 | 90 | 22 |
| Gaziantep | 1682 | 2% | 3750 | 600 000 | 98 | 18 |
| Adana | 1568 | 2% | 3400 | 561 000 | 104 | 13 |
| Samsun | 1558 | 2% | 3333 | 466 620 | 100 | 21 |
| Sakarya | 1514 | 2% | 3500 | 420 000 | 91 | 20 |
| Manisa | 1433 | 2% | 3448 | 431 000 | 70 | 23 |
| Şanlıurfa | 1406 | 2% | 2527 | 442 225 | 118 | 17 |
| Eskişehir | 1324 | 1% | 3526 | 423 120 | 77 | 21 |
| Hatay | 1317 | 1% | 2584 | 387 600 | 81 | 20 |
| Mugla | 1294 | 1% | 11 312 | 1 493 184 | 114 | 19 |
| Denizli | 1187 | 1% | 3680 | 512 400 | 80 | 22 |
| Yalova | 860 | 1% | 3760 | 470 000 | 93 | 18 |
| Diyarbakir | 863 | 1% | 2890 | 476 850 | 118 | 17 |
| Kahramanmaras | 840 | 1% | 2879 | 460 640 | 79 | 19 |
| Elâzığ | 825 | 1% | 2462 | 418 540 | 53 | 23 |
| Trabzon | 765 | 1% | 3080 | 492 800 | 81 | 27 |
| Ordu | 738 | 1% | 3200 | 432 000 | 89 | 26 |
| Erzurum | 697 | 1% | 2029 | 324 640 | 75 | 21 |
| Malatya | 696 | 1% | 2500 | 412 500 | 67 | 21 |
Provinces “record holders" by housing price
- The 3 provinces with the highest yearly increase in housing prices were Aydin, Istanbul, and Antalya. In Aydin, the price increase reached Istanbul figures of 126%. The price of 1 sq. m was 6,190 TL and the average cost for a housing unit was 891,360 TL. (Istanbul's indicators are above at 6,348 TL and 730,020 TL, respectively). Antalya wasn’t far behind. The annual increase in housing prices here was 124%. The average cost of 1 sq. m was 5,455 TL and the cost of a housing unit was about 670,965 TL.
- Istanbul, Antalya, Mersin, Tekirdag, Aydin, Balikesir, Adana, Samsun, Sanliurfa, Mugla, and Diyarbakir rose in price by 100% or more. Konya (99%), one of the wealthiest provinces of the country, almost didn’t reach this number but Gaziantep (98%) had similar results.
- Manisa had the lowest housing price increase - that’s if the 70% annual increase can be called low.
- The fastest rate of return is in Adana (13 years old) and Mersin (14 years old). Mersin is developing thanks to the construction of the Akkuyu NPP and the more labor with it. Other things that are helping Mersin’s real estate market growth are the active efforts to improve the transport and social infrastructure of the city and make life more convenient for residents.
- In the prestigious resort of Bodrum, the average price is 11,312 TL per 1 sq. m and a housing unit costs an average of 1,500,000 TL.
- The cheapest real estate as recent statistics say is in Erzurum at a little over 2,000 TL per sq. m.
- Real estate for 400,000 TL was up for sale in 4 provinces: Erzurum, Hatay, Tekirdag, and Ankara. Erzurum also leads in "minimum average price per unit of real estate" of about 325,000 TL.
The fastest-growing areas in popular cities by price
Since Istanbul and its surroundings are the most popular investment destinations, we’ll give you some information about the most sought-after and expensive areas there. The leader in 2021 was Ümraniye - the increase in real estate prices here was 179%.The numbers for these provinces are:
- Gaziosmanpasa (168%);
- Maltepe (160%);
- Bağcılar (157%);
- Bakırköy (152%).
In the "resort capital" Antalya, prices rose by 119-139% in Konyaalti, Muratpasa, Dosemealti, Kepez, and Alanya.The most promising areas in other provinces are:
- Çukurova (Adana, +112%);
- Seyhan (Adana, +97%);
- Atakum (Samsun, +108%);
- İlkadım (Samsun, +74%);
- Mesitli (Mersin, +145%);
- Erdemli, Yenişehir, Silifke, Tarsus (Mersin, 90-135%).
In Mugla, the most popular province of the Aegean area for buyers, housing prices in 2021 rose the most in Milas (+188%), Marmaris (+115%), Bodrum (+113%), Dalaman (+102%), and Fethiye (+92%).
In Ankara, in the same period in different districts, housing prices increased by 105-121%. Etimesgut is in the first place, Çankaya ranks second, Pursaklar was third, Sincan took the fourth place, and Gölbaşı took fifth.
Tekirdag attracts investment attention because of its great location and closeness to Istanbul. Çorlu rose the most at +123% to the average price per 1 sq. m. Marmara Ereğlisi (+84%) and Süleyman Paşa (+75%) rank second.
Land prices in Turkey
Non-residential real estate sales in Turkey in 2021 broke all records. There were over 1,500,000 transactions across the country. In Turkey, non-residential real estate also includes land for future development.
A lot of investors didn’t find a suitable house at the right prices for them because of a lack of supply. So, many people decided to buy land plots in 2021 and build their own homes. Others bought a "factory-assembled house". This shows the important trends of the past year of "searching for alternative investments with a small budget" and "dreaming of an independent life after the pandemic".
A study done by TSKB Gayrimenkul Değerleme showed that people who invested in land in the "right" place won when buying real estate. For example, in Arnavutköy, a district of Istanbul, land prices increased by 600% since 2013, in Eyüp by 700%, in Çatalca by 500%, and in Sarıyer by over 300%. But Beykoz is a leader in Istanbul because for 8 years, the land here has risen in price by more than 1000%.
So investing in non-residential real estate in Turkey is a better choice than buying a home. Especially when the land is in a great location with well-developed infrastructure. Places like this are near the Istanbul Canal under construction or the recently commissioned Çanakkale Bridge 1915.
