Foreign investors, whose interest in the property market in Turkey is increasing every day, have purchased 834 thousand 436 square meters of immovable property in the first 5 months of the year, while the total amount of the immovable property they have purchased to-date has exceeded 32 million square meters. The investors with the largest increase in the pace of their purchases are the Saudis.
Foreign investors have increased their purchases of real estate in Turkey following the lifting of the reciprocity hurdle. According to the June 2015 data of the Title Registry and Cadastre, foreign investors purchased a total of 834 thousand 436 square meters of immovable property in the first 5 months of the year. Thus, the total area size of the immovable properties owned by foreign investors has reached 32 million 538 thousand 520 square meters.
The Regions Have Become Diversified
It has also been observed that foreign investors have diversified the regions they are investing in, in the recent periods. Having mostly purchased immovable property from Muğla, Antalya and Aydın until today, foreign real estate buyers have turned their attention to cities such as Zonguldak, Kırıkkale, Bolu, Mardin, Muş and Bilecik.
1,3 Billion Dollars Has Arrived
Again, in the first half of the year 10 thousand 353 homes have been sold to foreign buyers, and 1.3 billion dollars of revenue has been obtained from all of the properties. Revenue in the first half of last year had been 1.7 billion dollars, despite the fact that the number of homes sold was 8 thousand 507. According to experts, this shows that while sales have increased, foreign buyers are moving towards cheaper properties.
Zonguldak Sees Interest Too
The biggest push in respect of cities was seen in Zonguldak. While there were just 14 independent parcels owned by foreigners in the city, at the end of 2014, this figure has risen to 122 in June 2015, while the total square meter size of these parcels rose from 1465 square meters to 10 thousand 709 square meters. Foreign buyers have also purchased significant amounts of real estate from Eskişehir, with the increase reaching 53 percent.
Bolu, Yalova, Bursa
Visible increases in the number of properties held by foreign investors have also been seen in Bolu, Yalova and Bursa. Foreign investors, who owned 39 thousand 902 square meters of land in Bolu in 2014, have increased this figure to 59 thousand 611 square meters in the first 5 months of this year. The number of parcels owned by foreign investors in Yalova at the end of the year was 1335 – and this has risen to 1734 in 5 months, while the purchases of real estate have increased by 12,41 percent during the same period.
Highest Demand from the Gulf
The impact of Arab investors has been big in the cities where sales have increased. The Arabs have increased their purchases of real estate in Istanbul, Yalova, Sakarya, Bursa, Kocaeli and Trabzon. İbrahim Burkay, the Chairman of the Board of Directors of the Bursa Chamber of Commerce and Industry, has said that the number of Arabic investors has increased and that this has also caused prices to rise. Property experts have stated that the Saudis prefer Sapanca while the Kuwaitis are buying property from Bursa and Yalova.
Saudis Are Always in First Place
Saudi Arabian real estate buyers, who were in the second place last year, with 402 thousand square meters of purchases, have moved up to first place in purchases this year. The total amount of the real estate purchased by the Saudis in Turkey has reached 910 thousand square meters, while the property owned by the Kuwaitis has risen from 94 thousand square meters to 522 thousand square meters, and the United Arab Emirates has increased its properties from 73 thousand square meters to 219 thousand square meters.