Istanbul Property Prices 2014

According to the central bank report, Istanbul property prices increased by 20 percent compared to the last year. 

The Data shows that THPI increased by 1.62 percent on a monthly basis and reached to 157.92 in June. Compared to the same month of the last year, in June 2014, THPI increased by 13.99 percent and by 4.42 percent in real terms. While house prices per square meter was 1,239.07 TL in 2013 June, and it reached to 1,405.43 TL in May of this year. 

New Housing Price Index (NHPI), that is calculated by analyzing valuation reports of newly built houses in last two years in 37 provinces of Turkey, rose by 1.54 percent in 2014 June compared to the previous month. Compared to the same month of the last year, in June 2014, index increased by 13.59 percent and by 4.06 percent in real terms.

For Turkey’s three large cities, house price indices increased by 2.35 percent, 0.76 percent and 1.69 percent in Istanbul, Ankara and Izmir, respectively, in 2014 June compared to the previous month. Compared to same month of the last year, index values rose by 21.38 percent, 10.27 percent and 12.95 percent in Istanbul, Ankara and Izmir, respectively.

Istanbul a new London for Arab property buyers

Russian and Middle Eastern investors are being lured to Istanbul to buy luxury real estate now that property laws have been relaxed, the economy is strong, prices are relatively cheap in comparison and Turkey is viewed as a safe haven

A new wave of wealthy investors from the Middle East and Russia is increasingly eyeing luxury developments in bustling Istanbul, lured by a relaxation in property laws, relatively cheap prices and a thriving economy.

A revision to Turkish property laws, announced in May, abolishes a reciprocity rule that only allowed investors from countries where Turkish nationals could buy real estate to buy property in Turkey. The bill also allows the government to double the amount of land foreigners can buy in Turkey to 600,000 square meters, although for now a limit of 300,000 square meters remains.

Turkish property prices marked the third-fastest growth in the world in the year to June, behind Brazil and Austria, surging more than 10 percent and outpacing Russia and Hong Kong, according to the Knight Frank Global House Price Index.

Rising prices and the prospect of relaxed rules for foreigners are fueling lofty ambitions in Turkish property circles for Istanbul to match the rapid rise of other newly fashionable property hubs such as Moscow, where prime real estate prices now rival London and New York.

Two-year urban plan kicks off in Turkey

Most of the urban transformation projects in Turkey are to be completed in two years, despite the 20-year plan forecast, according to the City and Urban Planning Ministry. Currently. Buildings at the highest risk in the event of an earthquake are currently being identified.

“We are endeavoring to realize the transformation of hovels, illegal, unlicensed buildings and those without occupancy permits. We will let the citizens know that we are determined to do this. Then the transformation will be completed in five-year, seven-year, 10-year, 12-year, 15-year and 20-year plans,” said City and Urban Planning Minister Erdoğan Bayraktar.  Istanbul Real Estate

Owners of buildings have a 15-day period to lodge an objection with the ministry against demolition decisions.

The ministry will establish publicity offices to explain the law to the citizens in the Istanbul, İzmir and Bursa provinces. Bayraktar said more offices may be established in the other areas where urban transformation projects will take place.

Premier Investment Funds are waiting for the Reciprocity Law in Turkey

The law of reciprocity will not only accelerate the housing sales but also other foreign investments in this aspect in Turkey. The Minister Bayraktar said the law would certainly pass within 2 months and also added that the foreign funds are also expecting the emergence of the law.

The unknown points of reciprocity law which will resource of annual 5-10 billion dollars input became clear.

The Environment and Planning Minister Erdogan Bayraktar answered questions on when the law will pass and what restrictions will be.

Bayraktar said that reciprocity law, firstly taken up the Council of Ministers as a draft, became now a draft bill and it will take from 1.5 to 2 months to pass (definitely).

Ratios Were Determined in Each Province

Home Sales Rise in Turkey

The consumers are again towards the most reliable source of investment ^^ Real Estate ^^ because of the rumors of crisis in World economy.

Home sales in the second quarter of 2011 increased by 17.8 percent compared to the previous quarter, sales is gaining momentum outside of the three largest provinces. While there was a limited increase at 1.2 percent in new housing prices in Turkey , the housing loan demand continued to expand.

In the second quarter the demand for housing loans increased

The use of housing loans in the second quarter of 2011 reached 66.7 billion and has continued to expand. However, as a result of decisions taken by the Central Bank, together with rising interest rates in July and August and September, it's been seen a slowdown in housing loan demand and it drew attention to the decline at 9,6 percent in the share of housing loans in total loans.


Housing loan installments lengthened to reduce maturities

While 9.38 billion dolars mortgage loans is being used in the second quarter of the year, according to the previous period, it was found that the credit users demanded for credit more than 3,000 TL  average per capita.

As the housing loan is used at average 75.000 TL per capita, it's seen the consumers prefer longer housing loan installment payments to reduce the maturity of thirty days because of increased interest rates.

While the use of 10-year-term mortgage loan is expanded,  It is noteworthy that the share of 10-15 year maturities increased in the third quarter.

Turkey will grow more than Europe and United States in 2012

Organization for Economic Cooperation and Development (OECD) announced that Turkey will grow 3 percent in 2012 at a rate higher than Europe and the United States.


The report states that while the  three major EU countries such as Germany, France and Italy might have a mild recession predicted , only 0.2 percent economic growth is estimated for Euro Zone. The OECD states in the report that the European Central Bank needs to take a more active role in eliminating the crisis and the strengthening of the euro rescue fund.
The report of economic growth forecast for the United States in 2012  has been revised from 3.1 percent to 2 percent.

Historical Pera Palas Hotel again changing hands

Historical Pera Palas Hotel in Istanbul where Mustafa Kemal Ataturk made ​​the work of the War of Independence, hosted the famous names from Agatha Christie known the world-famous author with the detective novels to Queen II Elizabeth , Pierre Loti, Jacqueline Kennedy and Ernst Hemingway has been taken by Demet Sabanci Cetindogan who is the partner of Demsa holding the sole rights of many prestigeous international brands in Turkey.

Restored and re-opened in 2010 with the participation of Prime Minister Recep Tayyip Erdogan, Pera Palace Hotel owned by Ihsan Kalkavan since 2005 shook hands with Demet Sabanci Cetindogan.

Expectation of Reciprocity Law Change For Foreigners

For more cash flow into Turkish Economy from housing sales to the foreigners regardless of the basis of reciprocity arrangement for residential and commercial ownership in real estate sector in Turkey has created hope for property developers. From Gulf and Arab countries, the minimum expectation is being sold over 10 thousand properties in Turkey.

Environment and Planning Minister Erdogan Bayraktar said earlier days, "we will open the way for the sale of real estate to foreigners, regardless of the principle of reciprocity". This positive manner of Minister of Turkey's appreciated by the most luxurious project developers with 'Turning point in History', 'Good News', 'Date of Decision' assessments.  The half potential of expected number of properties sold is to be in Istanbul to the Gulf countries, Arab world , Russia, the Turkish republics, Iran and Azerbaijan.

A lot of attention to Istanbul

The booming after the removal of reciprocity is mostly expected by real estate authorities to take place in Istanbul. In particular, Arabs, Russians, Azeris, Kazakhs attached to the barrage of reciprocity , are showing interest  to Istanbul's central locations overlooking the sea for lifestyle and the outskirts targeted more profit in investment.
In addition, foreigners, is very popular in coastal regions.

Arab Spring draws big attention to Istanbul Property Market

Arab investors are now very much interested in buying property in Istanbul due to the political unrest in the Middle East and North Africa pushing Arab’s towards Turkey.

Wealthy Arabs generally can pay between $2 million to $30 million for luxury houses in top locations in Istanbul, whereas remaining Arabs look to spend between $70.000 and $250,000 for residence projects in outskirts of Istanbul.

One of the main reasons; ‘’Cultural Similarity ‘’ between Turkey and Arab countries and other religious connections play an important role for Arab buyers when deciding which country to invest in. Especially Turkish soap operas widely watched and followed in Middle Eastern countries also attract many wealthy Arab investors looking for luxury here. The country’s economic and political stability also encourages investors to consider Turkey for new investments.

Total Arab investments in Turkey totalled $10.6 billion last year as Arab’s looked to the Turkish real estate market to invest money in with a view to make a healthy profit.

''Musts'' how to pick a professional property agent before investing in Istanbul

Dear Visitors,

I got many inquiries about this topic from the property investors who invested in Istanbul with several property companies based out of Istanbul and then wanted to write this article for property investors to be well-informed for a better investment environment and not to have any single problem after you purchase. 

Frankly saying that there are only '' limited '' number of professional property agents in spite of the huge demand to invest in property in Istanbul.  Most of the companies on web ''Act'' like they have a knowledge about property market in Istanbul.  Once you choose these kind of  ''Only Web Based '' property companies , you will definately be ALONE after you get your title deed.

Please read the following advises before you proceed to have their service ;

* Mentioned '' Only Web Based '' companies  have no offices at all in Istanbul.  They insist telling to the clients that they have an office in Istanbul which is a '' Trick ''  because they only work with '' FREELANCERS'' who presents couple of companies at the same time , only to sell the project they have been promoting.  Please be sure that they will be invisible after the projects are completed !! 

So you should find a '' Trusted Company '' which has several offices with a dedicated property team.  Please go to their offices and find out that they are '' real or not ''.

You can contact with us to pick a professional property company. 

* Another important point is that you should definately find a  '' Trusted Company '' for PROPERTY RENTAL MANAGEMENT.  In Istanbul , the owners never pay property management fee to the estate agents to rent their properties because this fee is charged to TENANTS . 

 Therefore,  the company you will pick MUST have a office , already managing rental operations and provide you '' FREE RENTAL MANAGEMENT SERVICE''.

Please feel free to contact us about all your questions and to have a trustable service to invest in Istanbul Property

Best Regards

Melih Acikbas

Expected Property Price Increase in Istanbul !

Property investors have to be quick investing in Istanbul !

Till to the beginning of June, there is a property price rise expected up to 15% for new developing Istanbul projects.

The reason is very certain why the property prices will go up that THE PRICE OF IRON has increased from 800 TL up to 1300 TL at 30%.
To have a profitable return on investment in short term, this is a fantastic opportunity for early bird investors who would like to benefit from this news.

Please contact us to learn which developments bring the most profit till the completion.

Prefabricated Housing in Istanbul

Prefabricated Housing Solutions in Istanbul For Middle Income Land Owners !

Nowadays, the land owners are offered a very practical way of owning property on their currents lands as fast as possible. Starting from 18.000€ for a 100m2 detached flat , the producer has been offering also dublex options with 150m2 for 30.000€. May be the best way to own a house in Istanbul is to buy a land first in a nice location and then get your own prefabricated house in a month time.  Its also guaranteed that the properties are heating and waterproofed.

Property Purchases Increased at 25%

NOW TIME TO INVEST IN PROPERTY IN TURKEY !

Compared to 2008 last quarter , the number of property purchase increased at 25% in the last quarter of 2009 declared by government.

No doubt that the numbers will go higher level in 2010 expected to be '' the year of buying property in Turkey ''  

The reason is obvious that the discounted prices, campaings and tough competition between construction companies.

Bomonti Istanbul

BOMONTI AREA ISTANBUL

One of the oldest urbanisations in Istanbul, BOMONTI is now offering fantastic real estate improvements for investors!

The new residences, commercial developments, social and cultural improvements are highly expected in this perfect location in central Istanbul, very short driving distance to main city attractions and waterside.

 You can also see in the picture on the left that the Bomonti district is located in the heart of city...

Istanbul Property Areas and Invesment Plans

SILIVRI,

It's the district where the third airport of Istanbul will be built according to local governtment declarations.
.Plus it will be featured with yacht and modern residential developments.

Current population is 150.000 which is expected  up to 1,5 million once all developmens are structured and established.






ATASEHIR,

One of the most established city centre locations in Istanbul. Very reputable developers constructed a number of residential and commercial towers in area.










KARTAL AND PENDIK,

Both districts are where the urban transformation is highly implemented with the prospects of new residential , commercial developments.

Within a close proximity to the new international Sabiha Gokcen Airport and city centre, The areas offer you very valuable investment opportunities.







BEYLIKDUZU,

The most popular outskirt of Istanbul. High number of residential and commercial investments are taking place in this area. It is expected to be one of  the most popular residential centers in Istanbul.

The rental demand is quite satisfying because of the remarkable contribution of the new metrobus transportation line to the central Istanbul.

Marmaray Tunnel Development

As the most important infrastructure progress connecting Asian part with Europe in Istanbul, the completion of Marmaray Tunnel in 2012 and the establishment of more than 5 long metro links in conjunction with the Marmaray Project that will extend as far as the Sabiha Gokcen Airport, will increadebly affect the residential property market and prices in Istanbul.

Istanbul Property Rental Market

PropertyRental Prices in Istanbul,

Istanbul is the only city in Turkey where the housing supply stays behind the demand. Thats why it is the major reason that property investors are interested in investing in Istanbul Property.

From a simple 1 bedroom residential flat costing around 45.000€ , the investors are easily gaining up to 12% realistic returns. The monthly letting fee of a furnished 1 bedroom apartment is around 450€-500€. 

BEYLIKDUZU AREA - ISTANBUL

Why Invest in Beylikduzu area in Istanbul?

* It is now quite expensive to rent and buy property in Istanbul City Centre. People now are more interested living in suburbs of Istanbul within just 30 minutes away by public transportation.

* Beylikduzu is the nearest and most popular suburban of Istanbul with new built concept residential buildings, shopping centres, parks , leisure facilities etc.

* The local government will extend the new metrobus link from Central Istanbul to Beylikduzu till the second quarter of 2011. It will definately boom the rental market up because of the cost effective rental fees and easy transportation to the heart of the city for students and workers.

* The purchase price per square meter is at the lowest level for new investors starting from 900€ per sqm.

* The area is also within 15 min drive away from the Istanbul's main Airport offering short term rentals for visitors.

* Beylikduzu area is located on the fusion point  by two main highways of Istanbul making transportation easier down to the Centre. 

* Guaranteed rental deals now available by the reputable developers in area.