Property in Turkey is big news at the moment. We are seeing more and more websites coming up offering Turkish property, and more and more of the investment property specialists (those surviving) offering Turkish property. Here are 3 reasons why Turkish property is so hot right now.
1: Rapid Economic Growth
Turkish GDP grew 11.7% in the first quarter of this year compared to the same quarter of last year, following a year on year growth of 6% in Q4 2009, according to data from the Turkish statistical body Turkstat.
Yes, it is true that GDP shrunk 14% in Q1 last year, but in a Europe when none of the big hitters -- Spain, Italy, France, Germany and the UK – grew by more than 2%, having contracted in Q4 it is easy to see why Turkey is making the headlines. Especially when its growth is up there with that of China.
Property prices will grow naturally during times of economic growth, as inflation pushes up labour and material costs.
2: Continued Tourism Growth
The latest data on tourism from the tourism ministry shows that Turkish tourism grew 9.6% in the first half of this year, compared to the first half of last year. The growth is thanks in large part to growth in visitors from Russia, Bulgaria, Syria and Iran, filling a drop from Britain.
The overseas property segment of the Turkish property market is very much tourism-dependant because those buying will usually plan to rent out their property for an additional income.
3: Growing Confidence
Right now, you can hardly pass a week without hearing good news from Turkey, new marinas,, new investments, new resorts, new hotels from the big chains and new flights. What’s more there is very little in the way of negative news – like developments cancelled, or investors out of pocket -- to temper the positive. Confidence is a very big factor in overseas property purchases at the minute, and all this news continues to build confidence in the Turkish market, and will continue to drive buyers.
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