Turkey real estate market in 2026—2030: prices, rent, and the opportunity to obtain citizenship by investment

Passportivity’s 2026—2030 study of the Turkish housing market analyses property prices, sales trends, rental yields, foreign demand

WASHINGTON, WA, UNITED STATES, August 25, 2026 /EINPresswire.com/ — Turkey Real Estate Market Outlook 2026—2030: Passportivity Report Highlights Domestic Demand, Yields and Price Trends

The Turkish real estate market is entering a new phase in 2026, as strong domestic demand, high inflation, elevated borrowing costs and declining foreign purchases reshape investment conditions.

According to a new Passportivity report analysing Türkiye’s residential property sector, around 1.7 million homes were sold in 2025. Foreign buyers accounted for just 21,534 transactions, or 1.3% of total sales, demonstrating that the market’s liquidity increasingly depends on Turkish residents rather than international demand.

For international investors, including buyers evaluating Türkiye from the United States and Australia, this shift makes local demand, inflation-adjusted performance and resale potential increasingly important when assessing property.

Turkey Real Estate Market Remains Driven by Domestic Buyers

Foreign demand for Turkish property peaked in 2022, when international buyers purchased 67,490 homes, representing 4.5% of transactions. By 2025, foreign purchases had fallen to 21,534.

The decline, however, does not mean that the broader Turkey real estate market has lost liquidity. Local residents remain its primary buyers, purchasing homes for residence, rental income and capital preservation.

This makes location particularly important. Properties near business districts, universities, hospitals, transport links and other everyday infrastructure can appeal to a broader pool of local tenants and future buyers.

Property Prices Rise, but Inflation Changes the Picture

One of the report’s key findings is the divergence between nominal and real property price growth.

In April 2026, Türkiye’s housing price index increased by 26.6% year-on-year. After inflation was taken into account, however, residential property values declined by 4.3% in real terms.

For overseas investors, nominal appreciation in Turkish lira therefore provides only part of the picture. Property performance also needs to be assessed against inflation and foreign currencies when evaluating potential capital gains.

High borrowing costs add another layer to the market. The average housing loan rate increased from 12.5% in 2020 to 42.7% in 2024, while the share of mortgage transactions fell from 38.2% to 10.7%.

Rental Yields Reach Around 8% in Major Cities

Rental performance varies significantly by location. The average gross residential rental yield in Türkiye stood at 7.32% at the end of 2025.

Istanbul recorded a gross yield of 8.17%, followed closely by Ankara at 8.10%. Izmir reached 6.99%, while Antalya recorded 6.14%.

These differences reflect distinct demand models. Istanbul, Ankara and Izmir benefit from year-round demand from employees, students and local residents. Coastal destinations such as Antalya, Alanya, Bodrum and Fethiye are more exposed to tourism and seasonal occupancy.

Istanbul Leads the Market as Foreign Demand Shifts

Istanbul remains Türkiye’s largest residential market. In 2025, 280,262 properties were sold in the province, more than in Ankara and Izmir combined.

Among international buyers, Istanbul, Antalya and Mersin attracted the highest number of transactions. Yet the wider statistics suggest that investors should not evaluate locations solely by their popularity among foreigners.

For long-term liquidity, the Passportivity analysis points to areas where housing demand is supported by employment, education, healthcare, transport and permanent population flows.

Citizenship by Investment Remains an Additional Market Factor
The Türkiye Citizenship by Investment programme allows foreign investors to qualify for citizenship through the purchase of residential or commercial property worth at least $400,000. The property must be retained for at least 3 years.

However, not every property qualifies for the programme. Before purchase, investors need to verify the property’s legal status, valuation, ownership history, and whether it has previously been used in a citizenship application.

Türkiye Real Estate Market Outlook to 2030

Passportivity’s report cites forecasts suggesting that Türkiye’s residential real estate market could grow from $71.11 billion in 2025 to $90.49 billion by 2030.

Domestic demand is expected to remain the market’s foundation, while inflation, interest rates, construction costs and currency movements will continue to influence real investment performance.

Istanbul is expected to retain its position as the country’s main property market, while Antalya is projected to remain one of its faster-growing destinations.

For international investors, the central finding is that headline price growth alone may no longer be sufficient to assess the Turkey real estate market. Rental demand, local resale liquidity, inflation-adjusted returns and property-specific legal checks are likely to become increasingly important through 2030.

About Passportivity

Passportivity is an international law company specialising in residence- and citizenship-by-investment solutions and cross-border property transactions. The company supports private investors and internationally mobile families with property selection, legal Due Diligence and investment migration procedures in Türkiye and other jurisdictions.

Passportivity works with licensed lawyers and qualified professionals to assess property eligibility, transaction risks and compliance with applicable investment and citizenship requirements.

Passportivity

Elena Dukach
Passportivity
+971 52 318 2355
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