Housing Sales to Foreigners - Current Situation and Expectations

Latest Situation in Housing Sales to Foreigners

Housing sales to foreigners in Turkey have been fluctuating in recent years. As of 2024, a significant decrease in housing sales to foreigners has been observed. According to the Turkish Statistical Institute (TurkStat) data, the number of houses sold to foreigners in 2024 was recorded as 23,781 . This is the lowest level in the last 7 years.

While overall housing sales have increased, purchases by foreign investors have decreased. This trend is due to both economic and political factors.

Decline in Housing Sales to Foreigners and Statistics

You can see the housing sales to foreigners by year in the table below:

This table shows that sales peaked in 2022 and then declined sharply in 2023 and 2024.

Most Preferred Cities and Countries

Cities Where Foreigners Buy Most Homes

The cities most preferred by foreign investors were Istanbul and Antalya . As of 2024, Antalya was among the most preferred cities with 5,990 and Istanbul with 5,979 house sales.

Foreign Nationals Who Buy the Most Homes in Turkey

Reasons for Foreign Investors' Withdrawal

There are several main reasons for the decreasing interest of foreign investors in the Turkish housing market:

●     Rising Housing Prices: The rapid increase in housing prices extends the return period for foreign investors.

●     Citizenship Processes Becoming More Difficult: The complicated process of granting citizenship in Turkey , which requires an investment of 400 thousand dollars , has directed some investors to alternative markets.

●     Attractive Policies of Rival Countries: Countries such as Dubai, Spain, Hungary and Greece have created alternatives to Turkey with the investment incentives they offer to foreigners.

Change in Income and Expenditure Balance

The decrease in housing sales to foreigners has also caused the income from this area to decrease. At the same time, there has been a significant increase in real estate purchases from abroad by Turkish investors.

These data clearly show that Turkish investors tend to turn abroad.

Past Years and Record Sales

2022 was the year when housing sales to foreigners peaked in Turkey. A record was broken with 67,490 housing sales , but these figures dropped significantly in 2023 and 2024.

Future Expectations and Evaluation

According to experts, there is a possibility that foreign investor interest will recover in the second half of 2025. However, the following factors will play a critical role in this recovery:

●     Economic Stability: Interest rates and exchange rate stability in Turkey will be decisive in terms of investor confidence.

●     Investor-Friendly Policies: Turkey needs to make regulations that will encourage foreign investors.

●     Competitive Real Estate Prices: Stabilizing housing prices could rekindle investor interest.

2024 has been a year in which there has been a significant decline in housing sales to foreigners. While Antalya and Istanbul were the cities that attracted the most interest from foreign investors, Russian, Iranian and Ukrainian citizens were among the groups that made the most purchases.

In order for Turkey to attract foreign investors again, it needs to develop investor-friendly policies and ensure economic stability . Otherwise, countries like Dubai, Spain and Greece will continue to attract foreign investors.