Tourism in Turkey is one of the most important pillars of the country’s economy and has a direct and indirect impact on the Turkish real estate market thanks to the interconnection between these two sectors, which has been clearly embodied in recent years amid a noticeable growth in real estate sales in Türkiye.
How can tourism affect real estate sales in Türkiye?
Real estate experts at the Golden Group Real Estate Investment Company in Türkiye believe that Turkish tourism will affect the real estate sector through the following points:
First – the increasing demand for real estate:
Tourism demand in Turkey increases the demand for tourist properties such as hotel apartments and villas with natural views (sea, forest, lake, tourist attraction).
Many tourists buy Turkish real estate in order to get rid of the burden of hotel reservations and find it every time they want to visit Türkiye.
Another goal for tourists who own a property in Türkiye is real estate investment and benefiting from the profitable returns resulting from it
Second – The rise in Turkish real estate prices:
The increasing demand for real estate, especially in tourist areas, leads to a significant increase in their prices.
Real estate investment in tourist areas is considered a profitable investment, which attracts many investors.
Third: Infrastructure development:
The tourism sector contributes to developing infrastructure in tourist areas, such as roads, transportation, and public services.
Which increases the attractiveness of real estate in those areas.
Fourth: Expanding the construction sector in Türkiye:
The continued demand for property ownership in Türkiye leads to the expansion of the construction sector, thus creating new job opportunities and supporting economic growth.
Fifth – Diversification of real estate products:
Meeting the diverse needs of tourists has led to the diversification of real estate products, including apartments, villas, residential complexes, and others.
Examples of the impact of tourism on the real estate sector in Türkiye:
- Istanbul: Istanbul is considered a global tourist destination, and in the last decade it has witnessed a significant increase in real estate prices, especially in tourist areas.
- Antalya: Antalya is one of the most prominent tourist destinations in Türkiye and has witnessed significant growth in the tourist real estate sector.
- Bodrum: This city is famous for its picturesque beaches and has witnessed an unparalleled tourist demand, which has contributed to increasing the momentum of real estate investment there.
What factors have strengthened the relationship between tourism and real estate in Türkiye?
- The Turkish government provided many facilities to foreign investors in the real estate sector, which encouraged investment in this sector.
- The political and economic stability that Türkiye has experienced for decades has contributed to attracting tourists and increasing foreign investments.
- Türkiye is distinguished by its unique natural and historical beauty, which makes it an attractive tourist destination.
Are there challenges facing the real estate sector in Türkiye?
In fact, yes, there are some challenges and obstacles to the growth and development of this sector that we must talk about, which are:
- Fluctuations in the price of the Turkish lira directly affected real estate prices and thus the investment decision.
- Economic crises affect tourism and real estate investment in Türkiye.
- The great competition between countries in the region, especially European ones, to attract tourists and investors
- Tourism is a major driver of the real estate market in Türkiye and greatly affects the prices, types, and geographical distribution of Turkish real estate.
- It is expected that this close relationship will continue in the coming years, making real estate investment in Turkey an attractive option for many investors.