House sales in Turkey continues to increase despite “high interest rates”
House sales in Turkey increased by 10 percent in the 11-month period of 2014, despite the increase on interest rates.
In the last year’s 11-month period, total 617,637 houses were sold in Turkey. Despite high interest rates, ownership of total 684,000 houses in Turkey was changed, in this year. Interest rates had climbed to the 1.30 percent.
Hacı Ali Taylan, President of the Federation of All Real Estate Associations of Turkey (TEMFED), evaluated the house sales statistics, which was released by Turkish Statistical Institute. He said that mortgage loan interest rates climbed to 1.30 percent in the first months of 2014. Because of that, there was a stagnant situation in the house sales.
Taylan stated that after the local elections in March, interest rates started to decline, and after the presidential election in 10 August, mortgage loan interest rates decreased to the level of 0.90 percent.
“Sales will continue to increase, if there is political stability. I believe that, the sector of real estate in Turkey will maintain its appeal for next 20 years.”
According to the Taylan, house prices increased due to increase on interest rates. He expressed that despite the increase on interest rates, citizens’ desire for becoming a homeowner, and the foreigners’ attention to Turkey’s real estate sector caused an increase on house sales.
“Now, foreigners do not just buy houses from well-known touristic cities such as Antalya and Istanbul.