Market Spotlight: Turkey

In recent months, Turkey’s real estate market has gone from vibrant to volatile as political unrest and oversaturation of new developments has induced uneasiness among potential buyers. However, the nation, and Istanbul, remain fertile ground for the wise investor or buyer.

In this special report, Mansion Global spoke to listing agents, architects and other experts with intimate knowledge of Turkey’s luxury real estate market, its culture and the impact of political instability in the country.

Join us as we guide you through Turkey’s real estate landscape as well as new developments in Istanbul and the seaside towns that buyers and investors should keep a close eye on in the near future.

Political unrest in recent months and an oversaturated market have stifled Turkey’s once blossoming residential real industry that saw years of development and foreign investment.

“We see a slowdown and even in some cases a freeze in sale prices of new projects,” said Kerim Bertrand, the country manager for Turkey from REIDIN, a real estate research firm.

In the 2000s, Turkey’s real estate market grew exponentially, spurred on by GDP growth, a booming young population and increased foreign real estate investment as a result of a change in mortgage and reciprocity laws. According to the Turkish government, real estate sales to foreigners totaled $2.64 billion in 2012. Year on year growth in that period also boomed: 2013 house sales exceeded 2012 levels by 65%, according to the consulting firm Deloitte...READ MORE

In Istanbul, the most desirable city in Turkey, east meets west and old meets new, offering something for everyone.

“Istanbul has all of the history and magic and is a city that has an amazing amount of sophistication that would match anywhere in Europe mixed with the manicness of Asia,” said Annie Burnett, of Luxury Property Turkey.

The same could be said about the housing stock, which is extremely mixed, and offers the choice between historic homes and contemporary developments, urban living and spacious villas...READ MORE

Hundreds of miles away from Istanbul, Turkey’s seaside, with its beautiful warm water and charming fishing villages, is attracting luxury development and becoming a hot area for vacation homes.

Bodrum, a peninsula on the southwestern Aegean, has emerged in particular as a place that attracts buyers from around the world.

Yalıkavak, a town on the Bodrum Peninsula, has grown in popularity since its marina was refurbished in 2014...READ MORE

One of the most exciting new developments in Turkey is a series of contemporary homes just outside the village of Yalıkavak in the seaside area of Bodrum, on the Aegean. The project, called the Bodrum Houses, is designed by New York-based starchitect Richard Meier. The first villa was sold two years ago. Now, the second villa is on sale for $6M.

It is the only project in Turkey to be designed by an architect who's won the esteemed Pritzker Prize, and is the pinnacle of contemporary high-end architecture in the area.

Mansion Global spoke to Ali Pamir, chairman of Pamir & Soyuer, the firm responsible for the project. The firm began as a Turkish real estate brokerage, but evolved to provide development management to investors and asset management to institutional investors...READ MORE

The Turkish real estate market is experiencing a bit of a slowdown as a result of political instability and a building boom, so for some, now may be the time to purchase a property there.

"It is a buyer’s market," said Darren Edwards, of Luxury Property Turkey.

Here’s a guide to navigate the purchasing process...READ MORE