Why is it worth to buy housing in the “European” resort of Turkey?

CONTENT

• About the region
• Fethiye beaches
• Climate
• Transport and flight connection
• Urban life, tourism and earnings
• Population
• Education, medicine
• Accommodation in Fethiye: price dynamics and statistics
• Examples of apartments and villas + their cost

ABOUT THE REGION

Fethiye is the most beautiful resort in the province of Muğla, and also a rather large city by Turkish standards. It is located on the border of the Aegean and Mediterranean seas and loved by many for the mild climate, in particular. Perhaps its only drawback is that this area is more likely to “shake”. Fethiye experienced devastating earthquakes at least twice - in 1856 and exactly a century later: in 1957. Then it recovered for a long time. However, since 1967, it began to receive tourists with might and main: the first portion of travelers came there from the island of Rhodes. Now Fethiye is one of the brightest pearls of the coast.

In addition to Fethiye, Bodrum and Marmaris are also located in the Muğla region. The resort villages of Hisaronu, Ovacik, as well as the elite yacht village of Göcek and the resort town of Ölüdeniz are adjacent to Fethiye (and in some sense belong to it).

FETHIYE BEACHES

This, one might say, is a separate attraction of the resort that deserves special mention. In Fethiye and its surroundings, there are at least a dozen different beaches, both several kilometers long along the city and hidden in the bays between the mountains.

Among the most popular is the four-kilometer wide Çalış beach. It is here that hotels are in greatest demand among tourists.

And the most famous and also one of the most popular not only in Turkey, but all over the world is Blue Lagoon with turquoise water: it falls into a rather short list of the most photographed beaches on the planet.

The way to the Blue Lagoon - the beach in Ölüdeniz (literal translation from Turkish is “Dead Sea”) is 15 km by minibus through a mountain pass. In 2007, The Guardian and The Times included Ölüdeniz in the list of the best resorts in the world. Although in reality the resort village is not large; but the beach is truly unique.

Residents of Fethiye, due to the proximity to the Blue Lagoon, have the opportunity to go there at least twice a day, and all year round.

CLIMATE

The swimming season in Fethiye lasts from late March to October. During this period, rains are an incredible rarity, the water in the sea warms up to +26 degrees. It can be rainy in winter, but cold days are not often: even in December the temperature is + 15-18 degrees ever and again.

TRANSPORT AND FLIGHT CONNECTION

The nearest airport is Dalaman (the same as for Marmaris): direct flights from Moscow and a number of Russian regions continue from spring to October-early November. In the off-season (from late autumn to spring), you have to get to Dalaman with connection in Istanbul.

Fethiye is a tourist city: there is no need for a complex transport system. But there are no traffic jams either. Types of public transport - minibuses (dolmushi), as well as boats. Large comfortable buses run between Fethiye and other cities in Turkey; cities that are relatively close - Dalaman, Ortaca, Marmaris - can be reached by the same minibuses that leave literally every 15-20 minutes during the day.

It is 55 km from Fethiye to Dalaman (and the airport of the same name) and 135 km to Marmaris. Thus, on a familiarization tour with the aim of a future real estate purchase, you can combine a visit to both resorts: Marmaris and Fethiye.

It is very convenient to go to Greece on excursions which is literally an hour and a half by ferry: if you have a Schengen visa and in conditions of open borders, you can ride back and forth at least several times a week.

URBAN LIFE, TOURISM AND EARNINGS

The resort lives mainly on tourism, there are no large industrial enterprises here. In winter, life at the resort stops noticeably. Therefore, when moving to a permanent place of residence in Fethiye, you need to consider that the work here is mainly seasonal, and for year-round work it makes sense to consider contracts in other cities or remotely.

But tourism is flourishing in full blast: in Fethiye and its environs there are a huge number of attractions, there is also a local museum. Sports lovers will appreciate the mountains, diving and the possibilities of paragliding - descent from Mount Babadağ, and just with the opportunity to admire the Blue Lagoon from the height: probably there is no person who would not see its photos on the Internet.

The area is full of stylish hotels and new ones are constantly being built. There is a large shopping center Erasta where best brands are presented.

POPULATION

Fethiye is sometimes jokingly referred to as the branch of Britain: 8-9 thousand Britons (especially pensioners) live here permanently, as well as many Europeans. This is partly why prices here, as in Marmaris, are duplicated in pounds sterling.

According to the results of the 2020 census, the population of Fethiye is 167 414 people. In summer, this number rises sharply at the expense of tourists and visitors to the city.

EDUCATION, MEDICINE

In Fethiye there are kindergartens, schools, lyceums: both state and private. But local population travels mainly to the provincial capital - Muğla for higher education.

Though there is no shortage of clinics: there are many private hospitals and private offices of practicing doctors, and a city hospital is also available.

BUYING HOUSING IN FETHIYE

A good climate all year round and spacious apartments at high, but not exorbitant prices on the first coastline, that is, right by the sea are among the two main advantages.

The minimum amount of a secondary apartment in Fethiye and surrounding area is approximately 43-45 thousand euros.

Muğla

Since the city is not very large, the most detailed statistics are available for the entire province of Muğla, and in some respects the prices coincide with those of Fethiye. Therefore, we present some data concerning the region as a whole.

• Almost everywhere here over the past year, prices have jumped up. So, from January 2017 to February 2020, the cost per square meter in the province of Muğla increased from 3 716 to 4 500 TL, but over the last year - by the end of January 2021 - it soared by more than a third: to 7 108 TL.
• Increase in the cost of housing for the year (as of the end of January 2021) - 66.15%, for four years - 91.28%.
• Average area of residential real estate is 130 sq.m.
• Average price per unit of residential property is 814b710 Turkish Lira.
• Average return on investment in Muğla is 29 years (often faster at resorts).
• Average housing price per square meter is 6 267 Turkish lira (the latter figure would be lower if we exclude Bodrum from the statistics which is the most expensive resort in Turkey).
• The spread between the minimum and maximum price per square meter in the region: from 2726 to 15 199 Turkish Lira.
• The most expensive housing in Muğla (in decreasing order) is in the cities of Bodrum, Datça, Fethiye and Marmaris. In terms of rental prices, Bodrum is also in the lead.
• Areas with the shortest return on investment (as of the end of January 2021) are Dalaman, Ortaca, Kavaklidere and Seidikemer.
• Areas with the longest return on investment (as of the end of January 2021) are Bodrum, Datça, Fethiye, Köyceğiz and Marmaris.

Fethiye

In Fethiye and surrounding area, the highest price is in Göcek: a favorite destination for yachtsmen.

Some statistics:

• Especially in Fethiye, the average housing cost per square meter currently ranges from 4 712 to 5 169 Turkish lira, and the price is changing literally by leaps and bounds.

  For comparison, in Bodrum it is 9 251 TL, in the districts bordering Fethiye: 5 200 TL - in Köyceğiz, 2093 TL - in Dalaman. The cheapest regions of Bodrum in this sense are Seidikemer (3447 TL / 1 sq.m) and Нatağan (2 446 TL / 1 sq.m).

• Payback period is much shorter than in Muğla in general: 24 years
• The average cost of an apartment with an area of 100 sq. m. is 474 167 Turkish liras. Much larger selection of good apartments are priced at 500 000 liras or more.

Changes in the cost of renting an average apartment in Fethiye by area and location (by years):

In terms of investment attractiveness, the numbers speak for themselves: in the last three years alone, the cost of rent has practically doubled, and an increase of 1/3 or more occurred in the last year, despite the pandemic.

As for the more accurate cost of housing rent in Fethiye per square meter:

A square meter here has risen in price over the past year by at least 20% as well.

Here are some more figures and facts from the history of increasing housing attractiveness in Muğla / Fethiye provided by analysts over the recent period.

Thus, in 2018, the TÜİK agency published statistics on home sales in Turkey for October. It was in Muğla that the cost per square meter of resort housing was the highest. The average price per square meter in the region at that time (October 2018) was 4 695 lira - in this sense, Muğla was ahead of even Istanbul, where the average cost per square meter at that time was only 4 422 lira, and Izmir (about three thousand lira).

Muğla was followed by Istanbul with a selling price per square meter of 4 thousand 422 Turkish lira. In Izmir, which took third place in the ranking, the selling price per square meter was set at 3 thousand Turkish lira. Ahu Altuğ Gültekin, real estate expert, who has been working in Muğla province for many years, namely in Marmaris, confirmed: “Muğla and its areas are in great demand both in Turkey and abroad in general. Our coastal areas such as Marmaris, Bodrum, Fethiye and Datça are of value not only for locals, but also for residents of neighboring regions as well as foreigners. This popularity is reflected in housing cost: both the volume of sales and the price per square meter are constantly growing.

The center of Muğla province is slightly cheaper than the coastal areas. This is because the center is located near the sea.

In September 2020, analysts transmitted the following data: the leaders in terms of residential real estate price growth in all of Turkey were five districts: Ula (Muğla) - plus 150%, Deshemealti (Antalya) - 80%, Artuklu (Mardin) - 66%, Fethiye (Muğla) - 65%, and Ortaca (also Muğla) - only one percent less: 64%. Experts believe the reason for this, along with the active infrastructure development, is the continuing pandemic effect, as a result of which the population prefers to avoid areas with increased urbanization. By switching their attention to quiet residential, largely sleeping areas. In particular, the demand for detached houses and villas has skyrocketed. And Fethiye in this case is one of the undisputed leaders in the country.

January 2021: Under the influence of the coronavirus pandemic, prices for houses and apartments in Turkey have increased by 32-62% in some cities, according to the online real estate appraisal platform Endeksa. At the resorts of Turkey, the trend towards buying rather than renting housing has intensified, which pushed the rise in property prices. Among the cities with a record rise in housing prices were, in particular, Fethiye (+ 62%) and Bodrum (+ 49%) - both, as we remember, in Muğla province. And the rental price has increased the most notably in Urla, Çeşme and Fethiye.

The average cost of an apartment in Fethiye in mid-January was about 786 800 lira (about 7.9 million rubles, or 87.5 thousand euros).

EXAMPLES OF APARTMENTS AND VILLAS + THEIR COST

Finally, here are some examples of prices for different types of real estate that can be purchased in Fethiye and surrounding area right now (examples are taken from the Hurriyetemlak portal):

• Villa in Ölüdeniz, at a price of 2 599 000 TL (about 26 million roubles at the current exchange rate). The total area is 2 565 sq.m, six bedrooms. The building is 16 years old.
• Villa in Göcek, at a price of 1 700 000 TL (over 17 million roubles). The total area is 1 145 sq.m, three bedrooms. The building is 10 years old.

Further apartments - in the city of Fethiye:

• Luxury apartment for 1 250 000 TL (about 12.5 million roubles). The total area is 1 232 sq.m, five bedrooms. The building is 11 years old.
• Apartment for 950 000 TL (approximately 9.5 million roubles). The total area is 1 115 sq.m, three bedrooms, and a swimming pool. The building is 10 years old.
• Apartment for 610 000 TL (approximately 6.1 million roubles). Total area 165 sq.m, two bedrooms, in a residential complex with a swimming pool, in a brand-new building.