Istanbul driving property price growth in Turkey, it is claimedProperty price growth in Istanbul was more than twice the rate of growth in April compared with a year ago, according to the latest figures to be published.
In the first two months of the year prices in the Turkish capital appeared to be rising at a more moderate pace than in 2013. Then in April they by more than 1% in a month, according to the data from Gyoder.
Adil Yaman, investment director of real estate agency Universal 21 believes that the property market is set to grow faster than ever this year as demand from foreign investors and locals remains strong in most areas of the city.
‘We would normally expect fluctuations in growth in the early part of the year, which are traditionally times when the market takes a breather,’ added Yaman.
Universal 21 analysts pointed out that the buying season normally reaches a peak in August with strong growth also seen in June and July. In August 2013 for example property prices in Istanbul increased by more than 2% in a month, which would add £1,000 to the price of a £50,000 apartment in the city.
According to statistics released earlier in the year, Istanbul saw the highest annual increase in property prices at up to 18.59% compared to Antalya at 5.85 in the same period.
Monica Anca, director of Universal 21, said that Istanbul is an engine for property growth in Turkey, much as London is in the United Kingdom.
‘The city has seen huge investment in its infrastructure, which hasn't always been popular with locals but the pace of change in the city is rapid and the population is rising with it. So it comes as no surprise that this puts pressure on existing housing stock,’ she explained.
‘The health of the property market is important to Turkey's economy as it is in other countries because it provides jobs in construction and helps provide a platform for growth in other areas of the national economy,’ she added.
‘Along with the recent announcement of a third airport in the city which will provide a boost to suburban areas like Beylikduzu, I think all the signs are positive for another year of strong growth,’ she concluded.