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Mideast War Fuels 28 Percent Surge in Foreign Property Buys in Türkiye
(MENAFN) The eruption of the US-Israel-Iran war reshaped real estate investment patterns in Türkiye this spring, driving a 28.3% annual increase in foreign investors' property purchases during March, April and May, according to data from the Turkish Central Bank (TCMB).
Meanwhile, Turkish nationals' overseas real estate investments hit a record $2.6 billion in 2025, the TCMB reported in its latest balance of payments figures.
That upward trend held through the early months of the year — rising 44.4% year-on-year to $208 million in January and climbing another 18.4% to $225 million in February — before the conflict, which erupted at the end of that month, triggered a sharp pullback in overseas property purchases by Turkish buyers starting in March.
Turkish nationals' foreign real estate purchases fell 18% annually to $187 million in March, then dropped a further 19.4% to $187 million in April. May saw the steepest decline yet, plunging 40% to $143 million — the lowest level recorded in 29 months.
Altogether, overseas real estate investments by Turkish nationals across March, April and May fell 26% to $517 million. The picture inside Türkiye told a different story, however, as foreign nationals ramped up their property purchases in the country.
Non-residents spent $590 million buying real estate in Türkiye during the period, a 29.3% year-on-year rise. That spending climbed 62.4% to $242 million in March, rose 17.1% to $164 million in April, and increased 7.6% to $184 million in May — despite the nine-day Eid al-Adha holiday.
Bayram Tekce, president of the Istanbul-based Real Estate Services Exporters' Association (GIGDER), told Anadolu that Turkish nationals have historically favored residential property investments abroad, particularly in Dubai and Greece, but that the Gulf conflict and Athens's posture toward Ankara have disrupted that pattern. He explained that the March attacks on Dubai effectively froze real estate purchases there, causing sales to decline, while Greece's antagonistic position toward Türkiye — including its cooperation with Israel and the Greek administration in southern Cyprus, along with moves to station armed forces on the islands — dampened Turkish interest in buying property there.
Tekce added that Russian nationals have increased their real estate purchases in Türkiye compared with last year, aided by streamlined bureaucratic procedures.
Burak Ustaoglu, a global real estate expert, told Anadolu that investors turned more cautious about overseas purchases and delayed their plans following the outbreak of the Gulf war, particularly in Dubai, where Turkish buyers had previously shown strong enthusiasm. He noted that the conflict and the resulting risk perception caused a temporary pause across overseas real estate investments broadly, not just in Dubai, and said investors have not abandoned their international plans altogether but are instead waiting for the uncertainty to ease.
Ustaoglu said Türkiye's recent economic policy measures and steps to bolster financial stability have encouraged some domestic investors to redirect their money toward opportunities at home rather than abroad. He added that Türkiye continues to offer strong appeal for foreign buyers, since housing prices remain competitive in foreign-currency terms relative to many other countries, while Ankara's diplomatic activity on the world stage has bolstered confidence in the country. He said growing perceptions of Türkiye as stable and reliable have led foreign visitors to watch the country's market with closer interest.
Ustaoglu also pointed to significant price advantages currently available in Türkiye's real estate market, as many construction firms are offering completed, ready-to-move-in homes at highly competitive prices amid a slowdown in demand — creating openings for long-term investors. He noted rising interest recently from buyers in the Gulf, Russia, Azerbaijan and Kazakhstan in particular.
Meanwhile, Turkish nationals' overseas real estate investments hit a record $2.6 billion in 2025, the TCMB reported in its latest balance of payments figures.
That upward trend held through the early months of the year — rising 44.4% year-on-year to $208 million in January and climbing another 18.4% to $225 million in February — before the conflict, which erupted at the end of that month, triggered a sharp pullback in overseas property purchases by Turkish buyers starting in March.
Turkish nationals' foreign real estate purchases fell 18% annually to $187 million in March, then dropped a further 19.4% to $187 million in April. May saw the steepest decline yet, plunging 40% to $143 million — the lowest level recorded in 29 months.
Altogether, overseas real estate investments by Turkish nationals across March, April and May fell 26% to $517 million. The picture inside Türkiye told a different story, however, as foreign nationals ramped up their property purchases in the country.
Non-residents spent $590 million buying real estate in Türkiye during the period, a 29.3% year-on-year rise. That spending climbed 62.4% to $242 million in March, rose 17.1% to $164 million in April, and increased 7.6% to $184 million in May — despite the nine-day Eid al-Adha holiday.
Bayram Tekce, president of the Istanbul-based Real Estate Services Exporters' Association (GIGDER), told Anadolu that Turkish nationals have historically favored residential property investments abroad, particularly in Dubai and Greece, but that the Gulf conflict and Athens's posture toward Ankara have disrupted that pattern. He explained that the March attacks on Dubai effectively froze real estate purchases there, causing sales to decline, while Greece's antagonistic position toward Türkiye — including its cooperation with Israel and the Greek administration in southern Cyprus, along with moves to station armed forces on the islands — dampened Turkish interest in buying property there.
Tekce added that Russian nationals have increased their real estate purchases in Türkiye compared with last year, aided by streamlined bureaucratic procedures.
Burak Ustaoglu, a global real estate expert, told Anadolu that investors turned more cautious about overseas purchases and delayed their plans following the outbreak of the Gulf war, particularly in Dubai, where Turkish buyers had previously shown strong enthusiasm. He noted that the conflict and the resulting risk perception caused a temporary pause across overseas real estate investments broadly, not just in Dubai, and said investors have not abandoned their international plans altogether but are instead waiting for the uncertainty to ease.
Ustaoglu said Türkiye's recent economic policy measures and steps to bolster financial stability have encouraged some domestic investors to redirect their money toward opportunities at home rather than abroad. He added that Türkiye continues to offer strong appeal for foreign buyers, since housing prices remain competitive in foreign-currency terms relative to many other countries, while Ankara's diplomatic activity on the world stage has bolstered confidence in the country. He said growing perceptions of Türkiye as stable and reliable have led foreign visitors to watch the country's market with closer interest.
Ustaoglu also pointed to significant price advantages currently available in Türkiye's real estate market, as many construction firms are offering completed, ready-to-move-in homes at highly competitive prices amid a slowdown in demand — creating openings for long-term investors. He noted rising interest recently from buyers in the Gulf, Russia, Azerbaijan and Kazakhstan in particular.
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