Last Updated on February 4, 2023 by Aydoğan Aknar
Foreign Direct Investment in Turkish Real Estate Sector
In 2011, the total amount of Foreign Direct Investment (FDI) in Turkey’s real estate sector was recorded at $200 million, the highest in the past eight quarters. According to “Real Estate Sector in Turkey and the World Second Quarter 2011”, foreign investment in the real estate sector had doubled compared to the first half of the same year, reaching $292 million. The total value of real estate sales to foreign buyers had also increased to $1,242,000. The reason for the high foreign investment direct investment in Turkish real estate properties is a topic of interest.
In the second quarter of the year, foreign direct investment in Turkish real estate showed growth, particularly in the commercial property sector. This demonstrated the positive progression of the economy. The office and shopping mall markets also made significant contributions to this sector, resulting in positive outcomes. An increase in construction permits for industrial buildings, warehouses, office buildings, and shopping centres led to a rise in real estate investment. The growth in purchasing power and changes in middle-class consumer preferences have driven investment in the retail sector and increased its share.
European Union Entry Process
As Turkey is expected to enter the EU, it is poised to remain an attractive investment opportunity for property investors for many years to come. The country is currently undergoing a property boom thanks to foreign direct investment and a strong economy, with a growing Gross Domestic Product (GDP). Its stunning beaches and desirable climate make Turkey a premier vacation destination. The country also boasts high-quality, front-line properties that offer excellent value for money and potential for capital growth for FDI. With longer summers than other EU destinations, Turkey attracts more visitors who are seeking to stay in the country due to its favourable weather conditions.
Investment (FDI) properties in Turkey are not only appealing to those seeking high returns, but also for those who are looking for a lower cost of living and a friendly community. As a result, Turkey is a popular location for purchasing holiday homes. The country has several factors that make it an attractive investment (FDI) opportunity, including its rapid growth and development. It is also a popular tourist destination, and properties can be purchased near desirable locations such as the Aegean and Mediterranean coasts, offering preferred weather conditions and seasons. With rising property prices in European countries, investment in Turkey’s real estate market becomes even more appealing and profitable for buyers and investors.
