Real estate in Turkey outperforms foreign currencies in its investment returns

The real estate sector in Turkey has witnessed a great development in recent years. This coincides with Turkey's major economic, infrastructure and other, and this sector, particularly during the Coronavirus crisis, has emerged as one of the most important investment options that has provided the investor with immunity against the losses suffered by other investment sectors under the pandemic.

Sales figures during the past years have witnessed a steady increase, reaching their peak during the last two years, in which real estate sales in general and apartments in particular witnessed unprecedented sales, both internally and externally, which made Turkey a strong competitor in the real estate market in developed countries.

A record rise in the investment value of Turkish apartments over the past two years

According to a report prepared by the Turkish real estate platform Endeksa, apartments in Turkey recorded an increase in their investment value of 63% during the past year and 132% during the last two years.

Antalya topped the Turkish states that witnessed the largest increase in the investment value of its apartments, with an increase of 78% in 2021, and 178% during the past two years. Istanbul came in second place with an increase of 75% during the past year and 122% during the last two years, while Bursa ranked third, with an increase of 56% over the past year and 103% over the past two years.

The figures for the increase in the investment value of residential apartments in Turkey and its five major states were as follows:

Residential apartments outperform foreign currencies in increasing the investment value

The aforementioned report included a comparison between the increase in the investment value of residential apartments and the increase in foreign exchange rates against the Turkish lira over the past two years. As the apartments outperformed by an increase of 132% over the dollar, which increased by only 97% during the same period, as well as the euro, which increased by 102% against the Turkish lira during the past two years, as well as the pound sterling, which increased by an increase against the lira Turkish 121%.

The figures for the increases in foreign exchange rates against the Turkish lira in the report are as follows:

The total return on apartments exceeded 150% in two years

The total investment return for apartments in Turkey has reached 71% over the past year and 151% over the past two years, according to a report by Endeksa real estate platform.

Antalya also topped the Turkish states in the percentage of total investment return for apartments, with a total return of 86% during the year 2021, and 197% during the two years 2020 and 2021. Followed by Istanbul in second place, with a total return of 83% during the last year and 139% during the last two years, and Brusa came in third place with a total return of 63% during the past year and 118% during the past two years.

The figures for the total return of apartments in Turkey and its five major states were as follows: