Real Estate Outlook: Turkey’s Property Market Cools in June

Bahçeşehir University’s Betam released its “sahibindex For Sale and Rental Housing Market Outlook – July 2025”, highlighting slowing housing demand and price adjustments in Turkey’s three largest cities.

Reel Housing Prices: Mixed Signals

In June 2025, real (inflation-adjusted) home prices rose compared to May in:

• Turkey overall

• Istanbul

• Ankara

However, İzmir saw a real price decline.

Year-on-year changes in real prices:

• 📉 Turkey: -6.1%

• 📉 Istanbul: -5.2%

• 📉 İzmir: -4.0%

• 📈 Ankara: +1.8%

Despite nominal home prices continuing to rise annually, the rate of increase slowed, dropping to +26.8% (down 0.3 points vs. May).

Nominal Price Breakdown (per m², TL)

• Turkey (avg.): 36,768 TL

• Istanbul: 51,230 TL (+28.1% YoY)

• Ankara: 30,000 TL (+37.4% YoY)

• İzmir: 43,889 TL (+29.7% YoY)

Housing Demand Slips

• The Housing Demand Index fell 11.2% in June vs. May.

• The time listings stayed online increased in Turkey, Istanbul, and Ankara, but shortened in İzmir.

Rents Outpace Inflation, Especially in Istanbul

From May to June, reel rents increased as nominal rises exceeded inflation.

Reel annual rent changes (June 2025 vs. June 2024):

• 📉 Turkey overall: -1.8%

• 📉 Istanbul: -3.9%

• 📉 Ankara: -2.4%

• 📈 İzmir: +1.0%

Nominal annual rent increases:

• Turkey avg.: +32.7%

• Istanbul: +40.4%

• Ankara: +38.3%

• İzmir: +36.4%

Average Rent (per m², TL)

• Turkey: 234 TL

• Istanbul: 315.8 TL

• Ankara: 238.5 TL

• İzmir: 272.7 TL

Rental demand rose 8.8% monthly, but fell 1.2% YoY. Listings closed faster in Turkey, Istanbul, and Ankara, but slower in İzmir.