Istanbul’s property market continues to accelerate ahead of the rest of the world according to new data from the city’s chamber of commerce. Foreign direct investment into Istanbul increased by an impressive 27% this year meaning Istanbul is now one of the most popular property hot-spots in the world.
Turkey’s thriving economy which outpaced China to become the world’s fastest growing economy earlier in the year has been focused around the countries successful banking and financial sectors as well as flourishing tourism industry. While the tourism boom has directly affected property prices in coastal regions, Istanbul’s property market is benefiting from Turkey’s rapidly expanding economy.
With a growing number of businesses moving to the city there is significant job creation taking place and a huge demand for commercial real estate. However it’s the residential sector which is seeing demand completely out-strip supply. The annual requirement for residential property in Istanbul is reportedly over 250,000 units per annum while the actual supply will struggle to meet 180,000 units this year. This considerable gap between supply and demand is expected to continue for several years, significantly pushing up real-estate prices.