The acceleration of the housing market saw Turkey topping the price growth chart in the world.
Thanks to global financial incentives coming into play following the pandemic related health crisis, real estate sales saw an increased growth, which resulted in increased house prices.
According to a global report, house prices saw an increase of 7,3% on average in March, making it the fastest-growing period of the last 15 years. Turkey led the rankings for house price growth in March with a growth rate of 32%, followed by New Zealand (22,1%) and Luxembourg (16,6%).
Turkey came out on top of the index with a 32% annual price growth between the first quarter of 2020 and the first quarter of 2021. It was followed by New Zealand in second place and Luxembourg third.
According to the report, growth in house prices is expected to slow down with governments taking action. Financial measures set to end later this year in a number of markets, buyer sentiment is likely to be less exuberant. While the threat of new variants has the potential to exert further downward pressure on price growth.
The rising trend in Turkish house prices continued in March. According to The Central Bank of the Republic of Turkey (CBRT), the annual rising was recorded at 31,98%, thus becoming the highest annual rise since 2011.
Compared to the previous month, the rise in house prices was recorded at 2,35%, while the increase in the house price index was recorded at 13,6%.
On a city by city basis, the most significant rise was recorded in İzmir. According to sectoral reports, house prices in İzmir rose by 33,9% compared to the same period of last year. İzmir was followed by Ankara (30,3%) and İstanbul (28,9%).
According to data, the average square meter price was recorded as 4.150,5 TL while in Istanbul it was 6,447 TL, in İzmir 5,026 TL and in Ankara 3,084 TL.