Sun, sea, sights and a thriving local economy make this jewel on the Aegean Sea an excellent opportunity for property investors.
Set in a stunning location overlooking the Aegean sea, Bodrum is fast proving itself one of the most attractive destinations for property investors in Turkey. With a new mega-yacht marina, money is flowing into the area from around the world, and with the support of a favourable regulatory environment, it offers a host of affordable and attractive investment opportunities.
Bodrum is a place where the ancient sits comfortably alongside the new. Its history stretched back to Ancient Greece, and you can still see the remains everywhere you go such as the Mausoleum at Halicarnassus which was once considered one of the seven wonders of the world and the magnificent Bodrum Castle.
This vast medieval fortification dates back to the 15th century and was built by the Knights of St John. It retains most of its original design and effectively captures the spirit of the age. It’s also home to a museum showcasing underwater discoveries from ships wrecked in the Aegean.
This rich history, together with a welcoming Mediterranean climate, makes Bodrum an increasingly attractive tourist location. With friendly people, lovely beaches and fantastic local cuisine, numbers have been climbing steadily over the past few years.
It has everything that a good holiday destination should possess including a vibrant nightlife, plenty of restaurants, bars, shopping malls and cinemas as well as plenty of beaches dotted along the coast.
Despite this influx of tourism, though, the town has managed to keep its unique character and even at the height of tourist season, you’ll still be able to find a small corner out of the way or a quiet little café.
This city is, though, much more than just a tourist destination. Despite the pandemic, it continued to attract foreign investment throughout 2020 with the value of infrastructure topping $5bn according to its mayor.
The booming trade in agriculture and tourism is bringing domestic and international companies flocking into the city, with some of the biggest luxury restaurant and hotel names from the US and Europe setting up in the region.
The population is rising, and the pandemic has pushed up demand for housing with several new property investment projects springing up.
Much of this demand comes from its class of well-heeled tourists. As the luxury yachts in the port show, this is a popular destination for many of the wealthiest people in Europe. Once bitten by the city’s charm, many choose to invest in a holiday pad of their own.
Indeed Turkey’s tourism revenues hit a new record high of $34.5 billion in 2019.
While the pandemic put a dent in the tourism industry, the city is well placed to profit once life returns to normal. Indeed, the uncertainties of the pandemic may make it possible to purchase property at an attractive price.
The future, therefore, is bright. Bodrum is a vibrant city which is breaking free of its reputation as a holiday hotspot and becoming a thriving hub of economic activity and investment. It’s a heady combination which makes it a truly exciting proposition for any property investor.
Our experts say
“Bodrum is one of the most exciting destinations for investors as it’s so very versatile. On the one hand, you have the super-wealthy arriving in their mega-yachts at the super marina who bring a lot to the local economy, driving up rental prices and demand.
At the other end of the scale, Bodrum is one of the most popular holiday destinations for those looking for an affordable break from many Europeans countries.
With the crash of the Turkish Lira, Bodrum offers probably one of the most attractive entry level pricing for investment, and you can get such good value for your money”.
How to get there
There are well connected, good quality roads along the southern and western coastlines of Turkey. The road that runs north-south from the extreme south west of Turkey up north to Izmir and beyond eventually to Istanbul links to the road to Bodrum just north of Mugla at Yagatan.
The closest station to Bodrum is in Izmir and Turkey is currently updating its high-speed rail systems connecting across the country. Buses frequently run to Izmir and other rail transport hubs and are exceptionally affordable.
Bodrum is well served by air. The main income airport is Bodrum (BJV) located 19 miles away from the city. However, Kos, Rhodes and Dalaman are still within easy reach, meaning that it’s a destination accessible from a wealth of countries directly.
Ferries link Bodrum to the nearby Greek Islands of Rhodes, Kalymnos, Symi and Kos. Kos is the closest with the hovercraft journey short enough that it is hardly worth sitting down. More people arrive by charter yacht from points to the north and east.
Bodrum enjoys a typically Mediterranean climate, with hot and humid summers followed by average autumn temperatures of 20+°C, short winters with lows of 10°C and an early spring.
From March the weather starts to heat up in Bodrum, with average temperatures in April of between 20 -21 degrees. Summers in Bodrum tend to be hot, dry and sunny with minimal (if any) rainfall through July, August and September. August is the driest and hottest month of the year for Bodrum. The daily average temperature rarely drops below 30°C, with highs of 36°C and above.
Early autumn is often a great time to visit Bodrum, as in October Bodrum still sees a fair amount of sunshine, and even the sea temperature is still a comfortable average of 23°C. The winter months do see a higher rainfall and dropping temperatures. Across the winter months, the average low is around 7°C.
A growing population is boosting demand for rentals. At the same time, a wealthy class of holiday makers mean there’s a constant need for high quality accommodation from both holidaymakers and those who reside in Bodrum.
Key to everything is diversity. There is something for every budget and every purpose, whether it’s people looking to access the luxury market to cash in on its status as a celebrity hotspot or for people looking for buy to let properties. Rising prices mean properties at all levels offer attractive capital appreciation prospects.
The Turkish Lira is trading at historic lows, with a 20% fall against the dollar in 2020. This provides an excellent opportunity for overseas investors to enter this exciting market at an exceptional value.
In 2019, Turkey’s economy confounded doubters posting a 1% gain rather than the contraction most analysts had expected. By the beginning of 2020, the IMF was predicting a healthy 3% expansion suggesting good things lay ahead.
The pandemic may have put a spanner in those projections, but its impact has been felt around the world. The underlying factors of the Bodrum economy are strong. Investment has continued throughout 2020 with good prospects for a strong recovery in 2021.
All this means that everything which made Bodrum an attractive investment opportunity at the end of 2019 also applies today. Money is pouring into the area with new investment coming from the US, Europe and especially China.
Indeed the implementation of the $113bn “One Belt One Road” initiative which will connect Bodrum directly with China is likely to see further interest from companies wishing to make the best use of the areas strategic location.
The market is in a state of constant turnover with a continually revolving cycle of buyers and sellers. Incentives such as interest free structured payment plans and citizenship for investment which allows anyone who purchases real estate with a minimum value of $250,000 the chance to become a Turkish citizen gives an added incentive. This policy is controversial and has been heavily criticised by opposition parties and with an election on the horizon in 2023, could be amended or scrapped altogether.
With or without it, though, Bodrum is still a hub for investment, a magnet for money and a great place to live work and play. It is full of foreign property owners who form a vibrant local and mutually supportive ex pat community.
So whatever point in the market you’re looking to buy and whatever your property investment goals there is something for everyone in Bodrum Property investment.