CHAPTER THIRTY: Property Investing in Turkey

Turkey is exceptionally popular and has one of the highest concentrations of UK buyers outside Spain or France, not to mention a tourism market which is increasing by over 25% each year. More than 3,000 British families are based in the town of Bodrum alone, and cheap flights are making the country an easy place to have a second home. There will be few potential buyers from the UK who have not given Turkey at least a fleeting thought.

In return, the government of Turkey has also been considering property rights for foreigners. In recent months sales have been technically suspended while a new property law was drafted. This law was passed in January 2006, and confirmed the right of foreigners to buy property under 2.5 hectares in size for personal use or business.

Is This a Good Place to Buy?

If this book was just about choosing a nice place to build a second home, Turkey would be high on the list. The climate; the Mediterranean life-style; wonderful food, beaches and hospitality all make it easy to make a case for buying here. However, this book is also about investment and choosing a property which might increase in value. Does Turkey belong on this second list?
The answer is yes, and for reasons that have more to do with hard-headed finance than with sun and sand. The housing market in Turkey has lagged behind Europe and the difficulty of obtaining mortgages has meant that prices have stayed artificially low…