What is the new target in housing?

Across the country, 2 million 419 thousand 981 real estate properties changed hands during the January-October period. Of these sales, 993 thousand 835 were residential properties. Housing sales showed a 14.3 percent decrease in 10 months compared to the same period last year.

Sales of land, fields, and commercial real estate reached 1 million 426 thousand 146 units in 10 months, the highest January-October figure of all time. In the same period last year, this figure was 1 million 391 thousand 787. The increase rate was 2.5 percent. Despite the decline in housing, the rise in other types of real estate drew attention.

Based on January-October periods, sales numbers for land, fields, and commercial real estate were 1 million 176 thousand in 2021, 1 million 17 thousand in 2020, 828 thousand in 2019, and 1 million 14 thousand in 2018.

While the share of non-residential real estate in total sales reached 58.9 percent for the first time, this rate broke a record in October, hitting 62.2 percent. The share of non-residential sales in the January-October period had ranged between 44.3 percent and 54.5 percent over the previous 5 years.

INTEREST IN COMMERCIAL REAL ESTATE HAS INCREASED

Bilgiçler Yapı Board Member Ali Emre Bilgiç, in a statement to an AA reporter, stated that there has been a noticeable increase in the construction of commercial real estate projects in Istanbul, where the heart of the Turkish economy beats, and that projects planned to meet the growing demand are designed to respond to the needs of a new commercial understanding.

Noting that collective business centers are now receiving more interest in the mega-city, Bilgiç explained that they are therefore implementing smart trade and business center projects.

Expressing that there is high demand for smart business centers that have parking, are earthquake-resistant, allow large trucks to easily pull up, and have energy efficiency, Bilgiç reported that the diversity and change in the retail sector are effective in the increase of this demand.

Discussing the advantages that commercial real estate offers to its users, Bilgiç said, "Commercial real estate investments continue to attract the attention of investors with the many advantages they provide. These advantages include not only short-term but also long-term and sustainable earnings. Commercial real estate, which provides financial stability to its investors along with high rental income, has become a solid source of income with its location advantage."

ALWAYS LEARN THE FAIR MARKET VALUE WHEN INVESTING

Ali Emre Bilgiç advised investors to make their investments in projects located in the right location, with parking, high energy efficiency, and access to pedestrian traffic and public transport, emphasizing that the region should be well researched and fair market values must be learned.

Bilgiç said, "The commercial real estate market in Istanbul has a dynamic and diverse structure. In recent years, we see that many branded housing developers are turning to commercial real estate projects. I think the reason for this is the transformation in consumer demands. While dynamic market conditions provide an advantage in commercial real estate, there is a slowdown in housing sales figures, as the statistics also show us."

HIGH INCREASE IN LAND AND FIELD SALES BROUGHT THE RECORD

Istanbul Valuation Managing Partner and real estate valuation expert Celal Erdoğdu also said that with sales exceeding 1 million 426 thousand units in the January-October period, the highest 10-month non-residential real estate sales figure of all time was reached.

Noting that land and fields make up a very large portion of non-residential real estate sales and that these two sales items brought the record, Erdoğdu explained that commercial real estate, led by offices and shops, covers a wide spectrum from factories to hospitals.

Erdoğdu made the following statements regarding the increase in land and field sales:

"Among the most important reasons here is the increased interest in fields following COVID-19 and the earthquakes. The rise in housing prices and interest rates also directs investors to land and fields suitable for their budgets. Because citizens who cannot buy housing want to make affordable land and field investments, especially to protect themselves from inflation. Recently, regions in the west of Thrace are among the places attracting interest. In addition, our citizens think, 'I will buy land or a field in such places and put a container, prefab, or tiny house on it if necessary in the future.' This increases interest. We see that sales advertisements and investments on social media have increased recently. Our citizens should be careful about this."

News Source: 12punto