"Investments in real estate in Turkey have increased by100% over the past two years."

The Turkish real estate market has proven to be a profitable arena for capital growth, with real estate investors earning twice as much on their investments in just two years. Cautious investors who entered the market in March 2021 by purchasing residential properties saw their assets double in value. This meteoric rise in property values was particularly felt in 2022, when the average cost of homes across Turkey increased by an impressive 75% in dollar terms.

The distinctive feature of the Turkish Central Bank, characterized by its unconventional monetary policy, has become a key factor in this paradigm shift. Instead of using conventional measures, such as raising interest rates to curb demand amid rising inflation, the Central Bank chose an alternative path by sharply lowering interest rates. This maneuver led to a corresponding explosive growth in hyperinflation, with the annual consumer price index approaching triple-digit figures. As a result, the transformation under the leadership of the newly appointed head of the Central Bank led to a change in the bank's policy. Consequently, inflation, according to Turkstat data, decreased to 48%.

The depreciation of the Turkish lira has become a key catalyst, making Turkey an attractive hub for people transitioning to remote work after the global pandemic. With salaries paid in stable currencies such as the US dollar, euro, or British pound, compared to living expenses priced in lira, international migrants in Turkey find themselves in a favorable position.

An analysis conducted by the online real estate platform Housearch.com assessed the cost of living in Antalya, with its picturesque beaches and attractive coastline, ranging from $1,000 for budget-conscious individuals to $2,000 for those seeking a premium lifestyle, on a monthly basis. Renting a one-bedroom apartment near the sea in the Aksu area costs around $300 per month, while rentals in the prestigious Konyaaltı or Muratpaşa areas can reach up to $950.

Official statistics highlight a significant increase in real estate purchases by foreign buyers only in 2022 - 15.2%. While a substantial portion of these transactions was linked to Russian buyers seeking alternatives to European real estate investments, market analysts agree that the upward trajectory of real estate prices is set to continue.

While leading cities like Istanbul, Izmir, and Bodrum may experience a slowdown in growth rates, as suggested by rental multipliers, several coastal destinations maintain significant potential for value growth. A noticeable trend is that buyers are increasingly drawn to coastal towns, including places like Kusadasi, Kalkan, and Antalya. The demand for coastal real estate has seen a clear increase since the beginning of the pandemic, and even seismic events in some parts of Turkey have not hindered the upward trajectory of real estate transactions.

The re-election of President Recep Tayyip Erdoğan has helped eliminate uncertainties, further strengthening the confidence of foreign investors. Inspired by these events, real estate developers are feeling optimistic, and international investment firms are redirecting their focus to the Turkish real estate market. As housing prices outpace construction costs, primarily due to foreign demand, the situation is ripe for the emergence of new development projects that can attract the attention of international investors.