Property sales in Turkey continued to grow despite challenges related to rising prices and relative market stagnation due to the high interest rate reaching 38%, even after its recent reduction. Experts note that this increase has pushed capital toward banks offering guaranteed, risk-free returns, which has reduced demand for real estate investment that is experiencing a relative slowdown.
This decline is partly attributed to the drop in Arab and international demand for Turkish properties in recent years, particularly following the decision to amend the minimum threshold for obtaining Turkish citizenship through investment to include property purchases exceeding $400,000.
According to data from the Turkish Statistical Institute, residential property sales grew by 14.3% in 2025 compared to 2024. Istanbul topped the list of Turkish cities in terms of property sales, recording 280,262 properties sold, followed by Ankara with 152,534 properties and Izmir with 96,998 properties. The provinces with the lowest sales included Ardahan, with 727 properties sold, Bayburt with 1,251, and Hakkari with only 1,559 properties.
Ali Kaskin, owner of a real estate company in Istanbul, confirmed that 2025 saw the launch of a large number of property offers aimed at stimulating the market and preventing capital from being frozen in units that saw low demand over the past two years due to high prices.
He added that Istanbul residents’ concerns over potential earthquakes increased the demand for new residential properties, particularly in areas classified as lower risk by geologists.
Regarding the nationalities most active in residential property investment, Kaskin highlighted that Russians, Germans, and Ukrainians lead among Europeans, while Iraqis hold the top position among Arab investors.
He explained that real estate investment in Turkey remains attractive and profitable, especially for those seeking residency, amid rising rental prices of no less than 20,000 Turkish Lira per month.
Although Turkey has experienced a relative decline in inflation, this has not yet translated into a noticeable reduction in living costs. It is worth noting that property sales rose again during 2025 after a decline the previous year.
In the first half of the year, sales increased by 15.6% compared to the same period in 2024, with data from the Land Registry and Cadastre Directorate showing around 1.4 million properties sold, reflecting a clear revival in the Turkish real estate market.
