Eyes in the housing market have turned to financing costs. According to the Turkish Statistical Institute's (TUIK) September data, 142,390 residential units were sold across Turkey.
Total sales declined, new units increased
In September, total residential sales fell 9.3% compared to the same month last year. In contrast, new unit sales drew attention with a 3.9% increase.
According to data from the Central Bank of the Republic of Turkey (TCMB), residential prices rose 22.3% on a nominal annual basis. Real prices adjusted for inflation declined 5.7%.
Mortgage sales also increased 5.1% annually, reaching 23,397 units. This figure shows buyers' sensitivity to financing conditions.
"Investment approach is changing"
Yaşarkent Gayrimenkul founder Yaşar Doğan said that in the current scenario, financing options and the medium to long-term return potential of assets are taking center stage. According to Doğan, the traditional investment approach focused solely on price appreciation is being overshadowed.
Doğan noted that today's buyer evaluates the following aspects together:
- Advantages offered by location
- Rental yield
- Building qualities
- True market value of the property
He also emphasized that in a period when borrowing costs remain elevated, pricing properties correctly and fairly for sale is more important than ever.
Expectations for improved credit conditions
Doğan stated that credit conditions are the main factor determining the sector's direction. He said there is a large segment of people who want to own a home but have postponed their decision due to high interest rates and credit limits. He noted that a possible easing in financing costs could bring this demand back to the market.
However, he noted that access to credit alone is not sufficient for sustained and balanced recovery; sales prices must align with households' purchasing power.
In his medium-term assessment, Doğan said that as 2027 approaches, housing affordability will be the sector's most fundamental agenda item. He expressed that the need for shelter persists, and its conversion to sales depends on the balance of prices, financing conditions, and real incomes. He added that investors should also focus on the asset's permanent value and long-term cash flow rather than short-term fluctuations.
