Turkey, officially called as the Republic of Turkey, is a continental country which is surrounded by water on three sides and located between Asia and Europe. Thanks to its strategic location, the country has many significant advantages in geographical position and also demographic features because of its increasing young population.
With a population over 76 million determined in 2012, most of them are young and upwardly mobile, makes the country good alternative for investors who want to make investment to Turkey. With these demographic factors and economic situations, there has been an increase in demand for residences and office in recent years.
Turkey is a country which has a very large area of over 783,562.38 km². It means that it has a sizeable potential for real estate developments and investments. So indeed, Turkish real estate sector has experienced extremely fast development in the last decade. Even there has been general drop in the real estate sectors in Europe, the USA and many countries of the world because of economic recession; Turkey has seen growth by 18% in real estate sector in 2011 compared with the same period in 2010. In the meantime, Turkey has experienced a major transformation and its economic fundamentals have become stronger. It ranked 17thlargest economy in the World and the 6th economy in the Europe with its over 820 billion dollar GDP and the real estate sector has 19.5% share of total GDP. This figure consisting of shares of real estate, rental and business activities and new house sales had increased by 16.7% from 2000 to 2005.
On the investment side, foreign direct investment inflow increased to 12.5 billion dollar in 2012 and the real estate and construction sectors earned 1.6 billion dollar of total FDI. Sales of real estate to foreigners have begun to increase with legal decision of reciprocity law and it reached 2.64 billion dollar in 2012. According to the statement announced by Ministry of Environment and Urbanization, there was increase from 2% to 6% in the last ten months of 2013. According to a report published by TUİK, in 2013 12.181 houses were bought by foreigners through Turkey Antalya ranked first with 6035 sold house, Istanbul followed it with 5046 house sales to foreigners in 2013.
Useful Guide: Basics Of Real Estate Investing In Turkey Report by GISP (Center for Strategic Thinking in Real Estate)