Turkish Real Estate Market

Real estate is a profitable asset in one’s investment portfolio, both in the short and long term. The same applies to the real estate market in Istanbul, one of the most lucrative economic sectors.

Keep in mind that the Turkish real estate market is rapidly evolving, and all prospective participants must be fully informed about the market and its future directions. This article aims to make you aware of these long-term predictions and offer an accessible route to secure these long-term profits.

The demand-driven factors forecasting Turkey’s real estate sectors, such as the country’s crossroads terrestrial location, the impactful boom in the construction sector, urban renewal, and demographic trump card, have enabled Turkey to see leaps among the world’s economies with GDP exceeding $900 billion. The real estate holding one-fifth of the total GDP, the commercial, office, and residential properties have immaculately outmanned over the past five years, yielding exponentially escalated rental and selling prices for the residential and retail cost. House Pricing Index in Turkey has increased from 50 in 2011 to 160 in 2021, a 220% increase in 10 years, corresponding to ~15% increase in prices every year.

Housing Pricing Index in Turkey

source: tradingeconomics.com

Long Terms Trends in Turkish Real Estate Market

Turkey’s economy is ranked 19th globally, and the democratic nation is forecast to be among the top ten economies by 2023. Although the real estate market is overwhelmingly large, it contributes significantly to the Turkish financial industry’s upward growth trends.

  • The Turkish market has a track of the highest annual home sales.
  • There is a net positive return on investment (ROI).
  • Rental yields in central areas are guaranteed to be at least 5%, and in the city center, they can even be as high as 8%.

Why is there such a high rate of capital appreciation in the real estate market?

The ongoing urban transition in Turkey is a significant driver of rising property prices.

Another contributing factor is tourism. Urban transformation is accelerating, especially in Istanbul, and will keep the construction industry alive for the coming ten to twenty years.

What kind of investment will yield a significant return on investment?

Doing due diligence on the project’s composition is a thoughtful way to ensure that the capital gains are favorable. Although there are lucrative areas on the outskirts of town, it is better that you stay close to the city center.

What are the Major Turkish Cities for real Estate Investment?

In August 2020, Istanbul being the limelight for tourists and the most populous city of Turkey, took the lion’s share in the housing sales with 30,292 sold units, taking a share of 17.8% in overall sales. This metropolitan city is followed by Ankara, securing the second slot in the home sales market with 17,131 sold units and a 10.1% share. Last but not least, the Western province Izmir with a 6.5% share, has taken up 11,145 house sales in the real estate market.

The sky is the limit for investing in Istanbul

The vibrant city of Istanbul is by far the best investment area.  In Turkey, you can earn a healthy rental income all year. The city’s population and amenities grow every year, placing Istanbul at the top of Turkey’s list for investment accommodation.

Here is a list of some of the best investments you can make in the city.


Whether you’re looking for commercial or residential investments, you can’t miss looking at Umraniye’s portfolio.

  • Shopping malls, recreational centers, children’s parks, and cultural centers have all grown in importance as infrastructure has expanded to meet the expected demand of Umraniye property owners over the last decade.
  • There is never a shortage of things to do in Umraniye, which is part of Turkey’s largest and busiest region, and any hobby enthusiast can indulge in their passion.

The city has everything for everybody.


The constant development and upcoming luxury housing have caught the attention of many foreign investors.

  • With the addition of shopping malls, business centers, luxurious cafes, and restaurants, as well as its proximity to the Marmaray metro line and the proposed Eurasia tunnel, the Koşuyolu district has become an indispensable location for many citizens.

Kagithane district

In addition to residential and commercial buildings, Turkish foreign construction companies began constructing large residential and investment projects in the city, including hotels and commercial complexes.

The diversity has attracted many investors in the last few years.

Antalya- Emerging as a favorite spot

In recent years, Antalya has seen the construction of several new modern apartment complexes. It has proven to be very common among those looking for investment property in Turkey and offering year-round rental yields in the city.
Located on the southern coastline of Turkey, this is definitely on the top of the list for investors.

Typical gross rental yields in Turkey/ Istanbul

Location! Location! Location!  The rental yields depend entirely on your site.

In Istanbul

Gross rental yields on apartments vary from 2% to 4.7 percent, based on the return received on the purchase price of a rental property before taxes, vacancy costs, and other expenses.

In areas like Kocaeli and Bodrum

In areas where per square meter rates are lower, rental yields can reach from 4.3 to 4.5 percent in these areas.

Real Estate in Turkey for Foreigners 

Out of 11.2% residential sales in 2020, 40,812 houses were sold to foreigners, with an estimation of 19,175 units being sold in Istanbul. Following Istanbul, the holiday resort town Antalya holds the second spot with 7,735 properties, and in the capital city, Ankara, 2,746 units sold.

Iranians have surpassed the list of foreign buyers who have bought 7,189 properties, followed by Iraqis ranked second with 6,674 units. In contrast, Russians, Afghans, and Azerbaijanians bought 3,078, 1,929, and 1,279 house units, respectively.

Number of Residential Sales to Foreigners

Why do Foreigners Purchase Property in Turkey?

1 out of 4 investors pursue Turkish citizenship after the investment and 14% pursue Turkish residence. Investment and short time vacation are the top two reasons for property purchase by foreigners.

Reasons for Foreigners to Buy Real Estate in Turkey

How has the Demand for Real Estate Changed in Turkey in 2021?

Real estate is a top investment vehicle for many investors. Before the pandemic, the most prudent factors that were primarily taken into account to determine prices in Turkey were cities, the location where the property is located, proximity to the hospitals, schools, airports, and places of entertainment. But with the pandemic situation going on, the criteria have shifted markedly. 35% uprise in the rents of properties with gardens and prefabricated houses have been reflected during the sales. Besides, the apartments in more than 3 decades old buildings are less in demand due to seismic threat. Given the new demand, the construction companies are building low-rise villas near scenic suburbs to catch foreigners’ attention. As the construction sector has not been compromised during the pandemic, the mortgage rates are rising gradually. Side by side, the property prices are escalating due to an increase in demand for housing.

Get To Know Majestic Turkey

Turkey, officially known as the Republic of Turkey, is a majestic country that boasts a romanticism and mysticism of a bygone era .Istanbul is rich with history and bursting with innumerate places to explore. The capital is the only city which can claim to be a part of two separate continents: Europe and Asia. The European sector of the country is known as Thrace, while Anatolia is spread over the Asian sector of the country. It is a little known fact that Sint Nikolaas was born in the ancient coastal city of Patara. We now know him as Saint Nick or Santa Claus. Turkey is home to the second oldest underground railway system which is still in operation since its inception in 1875.

Turkey is home to a staggering 18 UNESO World Heritage sites, including the archaeological site of Troy, most popularly describedby Homer in his famed poem, The Iliad. Other than all of the awe-inspiring sights to see in Turkey, there are also various gastronomic experiences to be had, and foods to tantalize the taste buds. Some of the best sweet delights that we love around the world are steeped in Turkish tradition.

As home to a young population, there is also a great variety of local hangout spots or ‘watering holes’ to pass the time. Worry not,because boredom will be the furthest thing from your mind. Thereis so much to see and do in Turkey from lunch cruises to rhythmic dancing or even a historical tour. Istanbul is home to the monumental Istanbul Cevahir Mall which boasts over 300 brandsactively sold under one roof.

If shopping is not your cup of tea, why not try out an actual cup oftea? Traditionally made with black tea, Turkish tea is world renowned and the tea drinking culture has filtered throughout the diaspora

An incredibly biodiverse country, Turkey is responsible for the Tulips which we have all come to know today. Tulips were first found in the Pamir Mountains on the Asian portion of the country and were then exported throughout Europe. As much as the Netherlands has made the Tulip popular, its home lies in Turkey.

The International Monetary Fund has recognized Turkey as an emerging market with a newly industrialized theme. It is listed as a developed country and it has some of the best infrastructure in the world. More than 850,000 people per year travel to Turkey for medical purposes and it is ranked as the 3rd Medical Tourism Destination in the world. It is no wonder why Turkish citizenship has become so desirable as the Turkish Universal Health System offers free medical care to all citizens within public facilities with up to 70% coverage at private facilities.

In fact almost all public facilities are of the highest standard with Turkey boasting some of the most prestigious schools in the world. Most private schools hold international credibility and public schooling within the country is absolutely free. Between the ages of 6 and 18 years of age, children are expected to attend school, and have access to a variety of institutions to choose from.

Turkish real estate has seen a steady growth over the last 10 years, with annual value estimations increasing at approximately 11% per year; a good deal more than the global average for developed countries. Property investment in Turkey has been and continues to be a smart and sound investment.

Turkey has so much to offer and so much for you to explore. Don’t delay, start your enquiry process with Elmaslar today!

East Meets West

Istanbul is the only city in the world to fall on 2 continents.


A NATO member state with a vast coastline.


A thriving tourism sector with over 45.1 million visitors p/a.


State of the art infrastructure and over 100 airports.


Home to some of the most notable historical stories.


41.0082° N, 28.9784° E


82 million


Holland has Turkey to thank for its Tulips.


Turkey has icey cold winters and very warm summers.


A newly industrialized country with an emerging economy.

Key Statistics about Turkish Property Market

List of International Schools

Elite Academy

MEF International School Istanbul

The British International School Istanbul

Jasmine International Schools

Ihsan International School

Harvest International Schools

Steps International School

Deutsche School Istanbul

Brights International School of Istanbul

Reasons to Invest in Turkey


Turkey offer a wonderful combination of beach and city life in the. Its close proximity to the rest of Europe makes European travel cheaper. Furthermore, the newly reformed pension system means that retiring in Turkey works out to be far more affordable than retiring in neighboring EU countries while still affording retirees the access to all of Europe.

The cost of living, particularly in Istanbul, is far more affordable than other retirement destinations and the incredible health care system means that life of a retiree is comfortable and stress free. It is definitely one of the most cost firendly places to retire.


Turkey is home to a large expat community. With Turkey ranking as the 7th best place to live and work in the world, it is no wonder why there is such a large expat community here.

The schooling system is second to none with schools such as Robert High School, Bogazici School and Bilkent University sending their scholars abroad to Ivy League schools. Smaller island nations which offer similar citizenship programs, cannot boast the level of internationally recognized education that Turkey can.

Citizenship Benefits

For people trying to obtain English (UK) or American (USA) citizenship, a Turkish citizenship offers you a faster way to do so. Certain countries are now capped for US citizenship and as such candidates can wait up to 15 years for approval. Turkish citizenship speeds up this process and also allows for visa-free travel to over 114 countries worldwide.

Turkey has the largest economy with the lowest investment requirement. Island nations that offer similar programs cannot compare to the level of benefits garnered from Turkish citizenship.

Furthermore, some international schools in Asia do allow scholars to sign up without international citizenship. Therefore, you do not need to live in Turkey in order to benefit from the citizenship.

Among the most affordable passport programs in the world at just $250,000

No need to live or even visit the country

Visa Free Travel to 114 countries

World-Class National Healthcare System3rd Ranked Medical Tourism Destination.

Can apply for the U.S. and UK Residency without quote limitations

No taxation for income earned outside of Turkey, very low property tax rate of 0.1%

Turkey Housing Prices increases by approximately 11% every year

Top 15 economy, top 10 tourist destination globally with strategic location across Asia, Europe and Africa

170+ universities and multiple international schools, sending graduates to Ivy schools such as Harvard, Stanford

International Benefits for Non-Residents

Access to the UK & USA

  • Access to wester countries
  • Allowance for dual citizenship
  • Access to international travel

No Need for Residency

  • No need o reside in Turkey
  • Purchase a property and lease it out
  • Get all the benefits without the obligations

Access to International Schools

  • Access to state of the art schools
  • Access to schools within Turkey and internationally
  • Opportunity to move on to Ivy League schools

Visa Free Travel

  • Visa free travel to 114 countries
  • All the benefits of international citizenship
  • A gateway to Europe and Asia

Top Cities for Investment in Turkey


Population: 15.52 million

The only pan-continental city in the world. It is relatively affordable by contrast to other major cities around the world and it is Turkey’s historic & economic hub.


Population: 136,317

A gateway to the Bodrum peninsula and surrounding each towns, Bodrum offers mild weather, azure waters and a stunning view of the medieval fortress, Bodrum Castle.


Population: 116,996

A beautiful resort town on the Aegean coast, Kusadasi is home to some of the most beautiful historic ruins, and magnificent beaches. One can visit the Basilica of St John.


Population: 35,000

Near the ancient Temple of Apollo and the ruins of Didyma lies Altinkum. Similar to it’s counterparts, it forms part of Turkey’s immense coastline. It is also home to the Ozer Turk Stadium.


Population: 162,686

Enjoy adventure right in your back yard if you choose Fethiye as the place for you. You can visit Fethiye Adventure Park for some high ropes fun or go paragliding with Reaction Paragliding Ovacic.


Population: 1,254,000

The largest city on the southwest coast, it is beaten in size only by Istanbul. Once a major Roman Empire port, Antalya a yacht filled harbor surrounded by magnificent hotels.

Just US$250,000 in Real Estate will get you access the diverse benefits of Turkish citizenship for you and your whole family.

Why delay?

G20 Member Country

European Union Candidate Country

Enjoy a Lifetime of Turkish Citizenship

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Our proven process and full-service team make it easy and worry-free to get your Turkish citizenship fast.
Relax knowing you’ve got your residency strategy under control. For good.