Real estate prices showed a rapid increase of 10 percent in November, Emlakjet CEO Tolga Idikat said that it is the right time to buy a house, and that housing prices will increase by 45 percent in the next period.
The increase in the exchange rate also changed the balances in the markets. While some of those who wanted to sell their house returned from the title deed transactions, some of them withdrew their house advertisements. Evaluating the real estate market, Emlakjet CEO Tolga İdikat emphasized that the highest increase in the last 5 years was 10 percent in November.
Pointing out that the increase in the exchange rate immediately responded to the real estate market, İdikat said, “November and December are normally a slightly lower season in real estate and demand increases from January. We are currently seeing an increase of up to 10 percent in housing searches. Prices are increasing and there is a serious expectation in the market that they will increase. Therefore, the buyer also has a thought like ‘I bought this house, the prices that I can’t afford will increase’. Despite the price increase, the demand continues to increase.
12 PERCENT INCREASED IN ISTANBUL
Sharing Emlakjet data, İdikat stated that the city with the highest price increase is Istanbul, adding, “This price increase in Istanbul is 12 percent, compared to the 10 percent increase we see in all of Turkey. İzmir comes right after it. We see an increase of 11 percent in one month in Izmir. Ankara and Antalya, on the other hand, follow Istanbul and Izmir with 7 percent increases.
15 PERCENT INCREASE IN 1 MONTH IN KÜÇÜKÇEKMECE
Stating that a belt is observed in the central districts of Istanbul, İdikat said, “Since the newly built, earthquake-resistant houses and site life has increased, there is a belt in some regions. Küçükçekmece is currently leading the way, we observe a 15 percent price increase in just one month. Büyükçekmece comes right after it, and we see a 13 percent price increase here as well. When we look at the central districts, Üsküdar follows them. We also observe a 12 percent price increase in Üsküdar,” he said.
HOUSING FOR SALE IS WITHDRAWAL; 12 PERCENT DECREASE
İdikat said, “As the homeowners expected the prices to settle or predicted that they would increase even more in January, they pulled the ads a little bit. When we look at the portals at the moment, we see that the houses for sale have decreased by 12 percent. Ads decreased within 1 week. We hear that the owner has given up on the sale even during the deed transaction.”
REAL ESTATE PROPOSAL FOR SESSION AND INVESTMENT
Emphasizing that real estate is the right product for both residence and investment, İdikat continued his words as follows:
“Construction costs increased by 40 percent. On top of that, the demand is not falling, the population is increasing, and the foreign demand is too high. When the exchange rate rises, this time, the people we call expatriates begin to see this place as an investment purpose, and therefore the demand does not decrease. When all these come together, the cost is increasing, and when the supply is low and the demand is high, house prices will increase. We don’t have any data before us that prices will go down. The longer you wait, the more likely prices are to go up.”
45 PERCENT INCREASE EXPECTED IN HOUSING PRICES
Stating that he thinks the exchange rate will put pressure on inflation in the next period, İdikat said, “The exchange rate will put pressure on inflation, I think it will be 25 percent in the coming period. If the same trend continues, I foresee a price increase of at least 40-45 percent in residences. These increases will be more in more complexes and younger buildings,” he said.
MOST DEMAND FOR LARGE FLATS
Pointing out that the demand for housing is mostly for large apartments, Tolga İdikat said, “Especially after the pandemic, the trend towards 3+1, higher square meter, garden, terraced and balcony houses has increased. You cannot see a house without a balcony in new projects. Since the demand is around here, the price increases are even tougher. That’s why people have to go a little further to the periphery, that is, they start to go towards Küçükçekmece, Beylikdüzü, Kartal, Pendik and Tuzla rather than the central districts. Even Gebze is considered as a district of Istanbul. Depending on your economic conditions, unfortunately, slightly smaller apartments can be bought. While we used to live in 2+1, now there is a transition to have a balcony but 1+1,” he said.
