Rental price growth slows according to 2024 data

The Sahibindex "Rental and For-Sale Housing Market Outlook" report for January 2024 has been published. According to the report, a decline was observed in rental price growth rates.

According to the January results of the "Sahibindex Rental and For-Sale Housing Market Outlook" research, prepared in cooperation with Sahibinden.com and the Bahçeşehir University Center for Economic and Social Research (BETAM), the decline in real sales prices has continued for 6 months. Due to the fall in real prices, the annual increase rate in real prices also decreased to 0.2 percent nationwide and to 12.9 percent in Ankara.

In Istanbul, the decline in annual real prices continued, reaching 6.1 percent. In Izmir, annual real prices also decreased for the first time in a long while.

CURRENT PRICE GROWTH IMPACTS 3 MAJOR CITIES

Looking from November to December, the average price increase for for-sale housing across Turkey was 1.4 percent. The loss of momentum in the annual increase of current prices for for-sale housing was also valid for the 3 major cities.

The increase rate in current prices from November to December was 1.6 percent in Istanbul, 1.2 percent in Ankara, and 1.3 percent in Izmir. As of December 2023, the average price per square meter for housing was 36,111 TL in Istanbul, 19,608 TL in Ankara, and 29,404 TL in Izmir.

REAL SALES ALSO IN 3 MAJOR CITIES

As in the previous five months, real housing sales prices fell in the three major cities in December as well. From November to December, real housing prices decreased by 2.5 points in Istanbul, 3.5 points in Ankara, and 3.1 points in Izmir. In December, the real housing price index was 182.9 in Istanbul, 208.1 in Ankara, and 189.1 in Izmir.

FIRST RISE IN DEMAND

Housing demand, which showed a very sharp decline after the earthquake in February 2023, had fallen until November following an increase in July. However, housing demand increased by 5.5 percent in December compared to November, reaching 93.6. It was observed that housing demand was 26.3 percent lower compared to November of last year.

DECLINE IN RENTAL HOUSING DEMAND

Compared to the previous month, there was a decrease in the number of rental housing listings of 5.1 percent nationwide, 3.4 percent in Istanbul, 5.9 percent in Ankara, and 5.5 percent in Izmir.