For many years Turkey has featured at the forefront of the overseas property investment press. Recent years have led to a multitude of foreigners purchasing apartments or villas in Turkey in hopes to make income from the ever growing tourist trade or to secure their own piece of paradise in the sun.
British and European investors were perhaps the first to benefit from the buy to let, retirement and Turkish holiday home market. With property prices in their home countries often out of budget, taxes and the cost of living ever on the increase, global financial instability and lack of savings opportunities available, Turkey soon became a ‘hot spot’for savvy investors.
Property in Turkey represented value for money in terms of property prices, potential rental yields and long term capital gains. With villas and apartments along the coast and Istanbul available at a fraction of the cost of those at home, real estate values rising by up to 15% p.a. in many areas according to recent statistics, and the demand for long and short term lets ever on the increase, there really is no surprise that investors turned to Turkey with the vast majority of those who brought sensibly, now happy to lie back and reap in the financial and lifestyle rewards.
The Investor New Wave
The last few years have seen a definite shift in Turkish property sales trends and prices, thankfully mostly for the better! It is true that the cheap sales boom of the early 2000’s has passed in most areas. Gone are the days where you can buy a four bed private villa in a popular coastal resort for less than £50,000. OK, you may occasionally see extremely cheap properties advertised, but chances are you should question why it is so ‘cheap’. Considering land prices, development and material costs have vastly increased, it is unlikely that these ‘ultra-cheap’ homes have the required legal documentation in place or are built to the new specified building standards to grant habitation.
That said, Turkey still very much represents value for money and deserves its place at the top of investment lists. Why so?
Laws introduced in 2012 have opened up the market to many foreign nationals previously restricted from purchasing a property in their name. Perhaps most notably are those from Russia and the Middle Eastern and Arab states that no longer need to set up companies in order to secure an investment.
For these, the sales process is now simple and can be completed in just a couple of days, even remotely on occasion. This has resulted in a dramatic increase in investment in Istanbul and along the coast from foreign nationals.
Many popular resorts like Fethiye, Bodrum, Izmir and Antalya are now entertaining mixed and multicultural permanent communities and an ever diversifying tourist trade during the busy summer seasons. Developers, agents, hotels, schools and companies are now employing staff with additional language skills, and there are an increasing number of direct flights to accommodate this shift in needs.
Government-Backed Infrastructure Projects
The future of property investment in Turkey continues to look bright. Those who have already invested in Turkey are already noticing the benefits of the government’s improved and modern new approach to attracting investment and tourism.
Many local councils are spending increased budgets on improving local facilities. If we look at Fethiye alone, the last year has seen millions of pounds spent on a large and attractive new community square, widening of the previous dual lane carriageway from Dalaman Airport along the Antalya Road, and many additional plans now in progress to improve facilities, sites of interest, parks, walkways and infrastructure. The prices of properties in such resorts are noticeably increasing. Those having invested in these areas are gaining an increase in not only their property and rental values, but also enjoying the benefits of living in an expanding area with a wealth of additional facilities.
Tempting Tourism Trail
Turkey’s wealth of turquoise coastline, 8,000 miles to be precise, has made it a firm favourite for many sun-seeking UK and European holidaymakers. With Istanbul having proudly waved the flag as European Capital of Culture in 2010, the country consistently performs well in international tourism polls. Recent data (Jan 2013) from the Turkish Statistics Institute posts a satisfying year on year growth record, with revenue returns for the last quarter of 2012 alone increasing by 17.2 per cent on 2011. Popular resort towns like Antalya are now listing with Paris, London and New York as among the top tourist destinations of the world (UN World Tourism Report 2012), meaning for those with a rental return in mind Turkey is to be considered a destination of choice.
Let Oceanwide Properties Guide You
Oceanwide Properties specialise only in Turkey. We have, for many years, introduced and advised those looking to invest in property in Turkey on the best opportunities available. Constantly keeping an eye on sales trends, media, laws, properties and regulations, we have ensured we are one of the few established English/Turkish registered overseas estate agents that have weathered the recent financial storm and continue to expand and embrace the future of property in Turkey.
With a new year comes our new approach. With a new and updated website, solid sales and marketing team both in the UK and on the ground in Turkey, we are determined to offer our clients a superior estates service. We showcase only due-diligence assessed villas and apartments throughout our regions and happy to discuss specific investment needs in a no-nonsense and upfront manner. We work with all clients on an individual basis so if wanting to explore all property in Turkey has to offer, call us today for an informal chat 0207 424 7892, or email us.