Turkey’s Housing Market Surges: 90.3% Price Increase in 2023
Recent data released by the Central Bank of Turkey (CBRT) has surprised the real estate market. They present that in August 2023, house prices shot up by a huge 90.3% compared to the year before. This increase in property prices is truly remarkable and includes intriguing details, such as Istanbul crossing the 4 million TL threshold for the first time. The data officially announced by the CBRT paints a compelling picture of Turkey’s housing market. In this article, we’ll break down the specifics and provide insights into the current state of Turkey’s housing market.
Average Price Across the Country: 2.7 Million Lira
With square meter prices soaring to 27,840 lira as of August 2023, the average-sized house in Turkey now commands a price tag of 2,784,000 lira. This rapid escalation in housing costs is a reflection of the strong demand and limited supply, particularly in metropolitan areas.
Istanbul: A Megacity with 4 Million TL Homes
Istanbul, Turkey’s megacity, is at the forefront of this real estate boom. Square meter prices in Istanbul have reached an impressive 41,766 lira as of August 2023. As a result, the cost of an average apartment in Istanbul has exceeded the 4 million TL threshold. A milestone that showcases the city’s prominence in the housing market.
Regional Variations in Price Increases
The data also highlights significant regional variations in price increases. Some provinces, such as Çankırı, Kastamonu, and Sinop, have experienced the highest annual change in August, with an astounding 125.8% increase. In contrast, Ağrı, Iğdır, Kars, and Ardahan have seen prices rise by 122.2%, followed closely by Zonguldak, Karabük, and Bartın at 118.5%.
New House Price Index
Investors interested in new properties, the CBRT data provides valuable insights. In August 2023, the new house price index saw an 88.5% annual increase in Istanbul, 95.3% in Ankara, and an impressive 103.5% in Izmir. These figures highlights the dynamics of the real estate market, where both new and existing properties are experiencing substantial appreciation.
Turkey’s Housing Market
In summary, Turkey’s housing market has seen an extraordinary 90.3% annual increase in property prices, causing a significant shift in the real estate landscape. Istanbul, in particular, has broken the 4 million TL barrier for average apartment prices. This surge presents both opportunities and concerns, highlighting the need for careful consideration in this evolving market.