Property In Turkey

y and Turkey Propertyuntouched areas of Turkey. While the terrain can be
Turkey straddles South East Europe and South Westdifficult to navigate, there are some breath-taking
Asia and is bordered by the Black Sea and thesites to behold as people begin to investigate the less
Mediterranean Sea, Greece, Bulgaria, Georgia, Armeniafashionable areas. As many of these areas have not
and countries in the Middle East (Iraq, Iran, Syria,yet been affected by the rise in property values,
Azerbaijan). Turkey and Turkey property is steepedthere are some real bargains to be found.
in a wealth of history and culture which should beBuying Property in Turkey
understood when making investments into TurkeyTurkey is one of the many countries which have
property.applied for membership to the European Union (with
Modern-day Turkey was formed in 1923 by Mustafathis expected to be rubber stamped in 2007) and
Kemal who became known as “Father of theseems poised to benefit more than any recent
Turks”. This followed periods of control byentrants. The World Trade Organisation believes that
the Ottoman Empire, and Kemal established aTurkey has one of the most prosperous economies
constitution and Constantinople became known asin the world and is set for further growth in the
Istanbul. Turkey has suffered from many periods offoreseeable future. The potential for economic
civil unrest with a poor human rights record, but thegrowth is based on a mixture of the climate, great
troubles have lessoned in recent years. Rapidhistory, golden beaches, and some very quiet rural
modernisation an expansion is taking place.villages which are attracting the attention of
Turkey has a diversity of culture, beliefs and ideasforeigners looking for exciting and different holiday
and has nine locations listed as World Heritage sites,venues. These are all fantastic signals for those
including Istanbul and Troy. Anatolia is one of theinvestors who are thinking about buying property in
oldest areas in the world (the link between EuropeTurkey.
and Asia) and there are believed to have beenAs well as attracting new holiday makers, the
Neolithic settlements. Turkey still shows influencescountry is attracting a lot of overseas investment
from many civilisations or empires – Hittites,with a number of blue chip companies opening up
Greeks, Persians, Romans, Byzantine, Oghuz Turksmanufacturing and service operations in the country.
and the Ottoman Empire.This in turn is adding to the vibrant economy which is
Turkey has 81 provinces and although the capital isalso encouraging further infrastructure investment.
Ankara, Istanbul is the financial hub of the country.While initially the government may have been a little
Turkey is a democratic republic.slow to encourage overseas investment, they now
Turkey has a lot to offer any visitor – theseem to making up for lost time, and the
warm Mediterranean climate means that the Aegeanforthcoming membership of the European Union can
coasts with bays, sandy beaches and coves, as wellonly open up new avenues.
as ancient theatres and temples. Resorts such asRecent increases in the value of properties have
Bodrum are popular. Istanbul is well worth a visit forbeen in the region of 50% and while this cannot
its museums, churches, palaces, mosques, bazaarcontinue indefinitely there is still substantial demand in
places and natural beauties.the pipeline to ensure above average returns in the
Property in Turkeyshort to medium term. The country has a prime site,
Historically the Turkish property market grew fromwith local access to central Asia, the Middle East,
the need for cheap affordable housing for theAfrica and the mainland European markets and a
growing inner city populations, who moved inland todouble taxation agreement with many of its trading
find employment. This resulted in some low qualitypartners also adds a further attraction for investors.
property offerings in Turkey, although this was allIn brief, Turkey has embraced the free market
that was required at that stage. There are manyeconomy and has a young and willing work force
factors affecting large scale change in Turkey andwho are helping to power the country’s
property in Turkey. Shrewd property in investors areeconomy. Vibrant, open to new ideas and with
seeing this as an opportunity to make an investmentrecent government reforms starting to take effect
in property in Turkey at the ground floor.there are many positives to look forward to.
The country has under gone a series of fairly radicalFuture for Property in Turkey
economic changes, due in the main to the applicationAs the Turkish economy continues to expand and
to join the European Union (EU) and the manythe standard of living improves further, the
conditions attached to this. The Free Market cultureforthcoming membership of the European Union will
was embraced and the restriction on overseasfurther lift what is already a buoyant economy. As
ownership of property was lifted. After spotting aongoing government reforms continue to be
very underdeveloped property market in Turkey, theintroduced, the period of co-operation with business
impending economic growth and infrastructureand overseas investors continues to develop to
investment associated with the EU membershipfacilitate an ever increasing inventory of property in
application, overseas investors have taken a greatTurkey being bought and sold.
interest. Initially the interest has centred on theAfter a very difficult economic period, which resulted
Aegean and Mediterranean coastline, with itsin near collapse in 2001, the country has recovered
extensive transport network and demand for holidayand inflation is now under control. In hindsight the fall
housing which have resulted in a property boom.to the brink of disaster caused the government into
All be it from a very low basis, the last 12 monthsradical reforms which are still coming into effect now.
have seen the price of Turkish property leap by overThe economy is being supported by the ever
50%. While there is no way that this increase ingrowing population of the country which reflects the
prices can be repeated indefinitely, there are manygeneral air of confidence in the future. A recovery in
market observers who believe that this is only thethe value of the currency and the fact that inflation
beginning of a long, sustained re-rating of the sector.is now under control adds to the positive outlook for
Many are predicting a boom period which could easilythe country.
last between 5 and 10 years.Do not be put off by recent property price rises, as
While the large global holiday companies have athese were from a very low base and look set to
significant exposure in the coastal cities and towns,continue for the foreseeable future.
many people are now looking inland at the more