Real Decline Trend Continues in the Housing Market

Serdar HocamAuthor & Editor

In the housing sector, which has recorded a real decline in twenty-nine of the last thirty months, average prices reached 5.2 million liras across Turkey and 8.7 million liras in Istanbul in August.

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Across Turkey, the housing market experienced a real decline in twenty-nine of the last thirty months. While the average housing price reached 5.2 million liras in August, the average rent for a 100-square-meter residence was calculated at 25,845 liras in the second quarter of the year.

Real Decline Trend Continues

As a result of fluctuations in the real estate market across Turkey, the process of real decline in housing prices continues. According to the latest data released, a real regression in housing prices was recorded in twenty-nine of the last thirty-month period.

Housing Prices by Region

In August, the average housing price across Turkey reached the level of 5.2 million liras. In the megacity of Istanbul, this figure was recorded as 8.7 million liras.

On an annual basis, the highest increase was seen at 27 percent in the region covering the provinces of Bingöl, Elazığ, Malatya, Tunceli, Van, Bitlis, Hakkâri, and Muş.

Average Rent Prices

The average rent calculated for a one-hundred-square-meter residence nationwide was 25,845 liras in the second quarter of the year. The amount in question was calculated at the level of 44,257 liras for Istanbul.

New Tenant Index Changes

The new tenant index increased nominally by 26.4 percent compared to the same month of the previous year, while recording a decrease of 3.9 percent on a real basis.

Examined on a regional basis, the highest annual new tenant rent index increase in August occurred in Istanbul with 34.5 percent. The lowest annual increase was detected in the Edirne, Kırklareli, and Tekirdağ region with a rate of 17.3 percent.