Real Estate Demand in Turkey Surges While Real Prices Continue to Fall
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A newly released April 2025 housing market report by Sahibinden in collaboration with BETAM reveals a paradox gripping Turkey’s real estate landscape: while demand for housing surges, real (inflation-adjusted) prices are falling sharply.
The report, which analyzed national and provincial data, highlights a growing disconnect between buyer enthusiasm and purchasing power, painting a complex picture for both investors and tenants.
Real Estate Demand Climbs, Prices Drop
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National real house prices fell by 8.9% year-over-year in real terms.
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Istanbul: −8.6%
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Ankara: −2.8%
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Izmir: −5.9%
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Despite falling prices, interest is on the rise:
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Housing demand index rose 22.2% in April, marking a 62.9% annual increase.
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The real housing price index dropped to 154.8, a multi-year low.
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Rental housing demand also climbed by 22.9%.
Rents Enter Deflationary Territory
Turkey’s rental market is also undergoing a transformation:
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Real rents declined 1% annually, signaling a shift in tenant leverage.
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Despite inflation making nominal prices appear higher, inflation-adjusted values show a steady erosion in rental value.
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Demand per rental listing is rising, while the average closing time for listings is falling.
What It Means for Buyers and Renters
The Turkish housing market is now defined by a dual trend: strong demand paired with falling real values. While on the surface, prices may seem to rise due to inflation, real purchasing power is steadily weakening.
This dynamic opens new opportunities for renters and strategic risks for property investors. The shift suggests a market correction in progress, possibly indicating entry points for long-term buyers—but also calls for caution amid macroeconomic uncertainties.