Turkey has become a foreign investment hub due to its strategic location, continuous economic developments, legal reforms, and diverse culture. The Turkish real estate market has been going on an upward trend, and understanding this boom, our potential investors have to consider several aspects that we will be breaking down to help you make the best choice:
1- Economic Perspective:
Turkey possesses a unique location. It is the linking point between Europe, the Middle East, and Asia. It has used this advantage to become a manufacturing hub for all regions. The convenience of the location has made it easier for investors to access the neighboring EU market freely in accord with the trade agreement between the EU and Turkey. It ranks in the top 15 world’s largest economies at 11. With an average annual GDP growth of 5.4% between 2002 and 2021, according to the Turkish Investment Office, Turkey offers plenty of opportunities for foreign direct investment. The real estate market alone generated 57% of FDI in 2020. Urban projects by international and national construction companies are under development in most cities. Real estate has created a vast job market for the Turks, a youthful demographic compared to their European counterparts. Half of the Turkish population is younger than 35 years, representing a dynamic labor force.
2- Legal Perspective:
Turkey has positioned itself among the leading countries in the real estate sector for the reasons mentioned above and more. Legal reforms made in 2012 have allowed foreigners to buy properties in the country, and ever since, cities like Istanbul, Antalya, Ankara, and Bursa have been witnessing high demand. Since 2015, foreigners have purchased almost 200.000 properties throughout the country, and new incentives such as the Citizenship by Investment program support the domain. By buying a property in Turkey worth 250.000 USD (the amount is subject to change to 400.000 USD), you can obtain Turkish citizenship, and by this, you can enter more than 110 countries visa-free. The Turkish passport procedure does not take more than three months, and Turkey accepts dual citizenship legally. Investors are also choosing Turkey because it is easier to conduct business with lower tax rates and global standards; the government reduced corporate tax rates to 25% in 2021.
3- Life in Turkey:
Turkey offers high living standards for both citizens and visitors, and throughout the years, it has developed from not only being a tourist attraction but also a good investment environment. Several people have chosen it because they get to live a luxurious lifestyle yet affordable; living costs are much lower than in Europe or America. One of the benefits of living here is having access to a sound healthcare system endorsed by the state; citizens of Turkey enjoy the services of over 5000 healthcare facilities. The Turkish culture is another motive for buyers. Turkey has a rich history, and cities like Istanbul hold remains of the Ottoman empire, beautiful scenery, and a diversified population. Besides, the different cuisines choices are endless, from Turkish cuisine to Indian, Middle Eastern, African, etc.
If you choose to invest in Turkey, it is guaranteed that your return on investment will not be only a matter of figures; you can gain on the social, economic, and legal aspects.
