In a stellar global property market, Turkey beats them all registering more than 30% year on year growth for the second quarter running.
Wondering where the fastest growing property market in Europe can be found? Look no further than Turkey. The gateway to Asia, saw staggering growth with more set to come as the global property market experienced is fastest growth in more than a decade.
Globally, prices are up everywhere. According to the Knight Frank Property Index, global house prices rose 7.3% in the first quarter of 2021. That’s the fastest single quarter rise since the fourth quarter of 2016.
Much of that, they say, is down to people reassessing what they want from a home.
“A contributory factor to rising house prices globally has been the mass reassessment of housing needs in the wake of the pandemic, whether that’s been buyers seeking home offices, gardens or just to be closer to wide-open spaces,” Kate Everett-Allen, head of international residential research at Knight Frank, told Mansion Global. “The demands on the home have increased in lockdowns and homeowners have reflected on where and how they want to live, prompting many to relocate or purchase a second home.”
The pandemic shifted peoples outlook on what they want from property. Space is very much in demand with digital technology meaning people are not as tied to the office as once they were. People are looking away from cities for houses with gardens and preferably enough space for a home office.
This, combined with an economy picking up after a year in hibernation, means growth is very much the order of the day. Thirteen countries registered double digit growth with Turkey being the star former. It topped the index with a staggering 32.4% growth rate over the fourth quarter.
The previous quarter was almost as good with an increase of 32% year on year. For the latest ten years the country is averaging 11% year on year growth. The good news compares to the early part of 2019 when Turkish house prices grew at an all time low of 1.5% as political instability put a drag on its status as a holiday destination.
Now though, things seem to be heating up once more. The country now ranks 14th on the list of favourable property destinations according to data from US based research company Remote Venture – ahead of the likes of Spain and Greece.
According to the report, favourable regulations – together with a relatively healthy economy – and reliable tourism have helped to boost its reputation as a destination for foreign buyers. Laws such as the reciprocity law which let’s foreign people buy property in Turkey as long as their own country permits Turkish people to do the same thing has helped increase foreign property investment. Since then, foreign born sales income has reached $6billion.
Turkey tops the Knight Frank list because it embodies what people want from property. It has a pleasant climate, vibrant tourism and – despite the recent growth – remains relatively affordable compared to similar countries. All of which create a heady mix of ingredients which are extremely favourable for growth.