The housing market in Turkiye has shown significant changes recently. According to Endeksa’s data, as of March, there was an annual increase of 57% in house sales prices and the average house price reached ₺3 million 264 thousand 430. With this increase, the return period of housing investment was calculated as 15 years. Mortgaged house sales decreased by 49% compared to the previous year.
The increase in housing prices is remarkable, especially in big cities such as Istanbul, Mugla and Ankara. While the average housing price in Istanbul reached ₺4 million 402 thousand 908, this figure exceeded ₺7 million in Mugla. Foreign investors are gradually moving away from the Turkish housing market, and sales to foreigners decreased by 48% in March. This situation is shaped by difficulties in accessing credit and the influence of global economic conditions.
The house price was ₺3 million 264 thousand 430, sales increased by 12%
According to Endeksa data, which offers real estate value calculation with artificial intelligence and thus allows users to sell real estate safely, the annual value increase in housing sales prices across Turkiye as of March was 57%. The average residential square meter sales price across Turkiye was ₺25 thousand 111, the average housing price was ₺3 million 264 thousand 430 and the return period of the housing investment was 15 years.
Significant Increase in Mortgaged Housing Sales
While mortgaged house sales across Turkiye increased by 46% in March compared to the previous month, it decreased by 49% compared to the same month of the previous year, reaching 12 thousand 880. The share of mortgage sales in total housing sales was 12%.
Increasing Trend in Housing Sales
While housing sales across Turkiye increased by 12% in March compared to the previous month, it decreased by 0.1% compared to the same month of the previous year and became 105 thousand 394.
The number of first-hand house sales across Turkiye increased by 5% in March compared to the same month of the previous year, reaching 34 thousand 399. The share of first-hand house sales in total house sales was 33%. In the January-March 2024 period, it amounted to 88 thousand 256, an increase of 5% compared to the same period of the previous year.
Second-hand house sales increased by 9% in March compared to the previous month and decreased by 2% compared to the same month of the previous year, reaching 70 thousand 995. The share of second-hand house sales in total house sales was 67%. Second-hand house sales decreased by 4% in the January-March 2024 period compared to the same period of the previous year, reaching 191 thousand 348.
Endeksa Founding Partner and General Manager Gorkem Ogut evaluated the demand for housing: ‘ ‘According to Endeksa data, while the average house price in Turkiye is ₺3 million 264 thousand 430, this figure has exceeded ₺7 million in Mugla and ₺4 million in Istanbul. As of the end of March, the increase in the value of houses across Turkiye was 57% annually and 2% monthly. We see very clearly that the increase in value is slowing down. We saw monthly increases of 10% or more from late 2021 to mid-2022. We can say that the main reason for the slowdown in value increase is the difficulty in accessing credit. In the January-March period, mortgaged house sales decreased by 53% compared to the same period last year.”
Foreign Investors Are Moving Away from Housing Investment
Housing sales to foreigners decreased by 4% in March compared to the previous month and by 48% compared to the same month of the previous year, reaching 1,778. The share of housing sales to foreigners in total housing sales in March was 3%. Istanbul ranked first in housing sales to foreigners with 652 housing sales. Istanbul was followed by Antalya with 618 house sales and Mersin with 151 house sales.
Annual value increase in housing sales prices in Istanbul is 56%
In March, Istanbul had the highest share in housing sales with 19 thousand 40 housing sales and 18%. According to sales numbers, Istanbul was followed by Ankara with 9 thousand 523 house sales and a 9% share, and Izmir with 6 thousand 413 house sales and a 6% share. According to Endeksa data, as of the end of March, the annual value increase in housing sales prices in Istanbul is 56%, the average housing square meter sales price is ₺38 thousand 622, the average housing price is ₺4 million 402 thousand 908. Housing prices in Ankara have increased by 70% in the last year, the average housing square meter sales price is ₺20 thousand 927, the average housing price is ₺2 million 720 thousand 510. In Izmir, the annual value increase was 56%, the average residential square meter sales price was ₺32 thousand 526, and the average housing price was ₺4 million 33 thousand 224.
Housing prices in Hatay increased by 84% in the last year
According to Endeksa data, when the first 30 provinces with the highest house sales in March are evaluated, the provinces with the highest annual value increase stand out as Hatay, Ordu and Mugla, respectively.
In Hatay, housing prices increased by 84% in the last year, with an average square meter sales price of ₺19,048 and an average housing sales price of ₺2,933,392. In Ordu, there was a 79% increase in housing sales prices, with an average square meter sales price of ₺21,624 and an average housing price of ₺2,811,120. In Mugla, housing sales prices increased by 78%, with an average square meter sales price of ₺57,126 and an average housing price of ₺7,483,506.
Source: Emlakdergisi / Prepared by Irem Yildiz