An Assessment of Housing Sales to Foreigners in Turkey in Recent Years

An Assessment of Housing Sales to Foreigners in Turkey in Recent Years

Burcu İmren Güzel

Nigde Omer Halisdemir University Faculty of Architecture Department of Urban and Regional Planning, Nigde, Türkiye

DOI: https://dx.doi.org/10.47772/IJRISS.2025.90400343

Received: 30 April 2025; Accepted: 06 May 2025; Published: 14 May 2025

ABSTRACT

Amid the accelerating process of globalization, international mobility has significantly increased, prompting a notable surge in foreign demand within housing markets. Turkey has recently become a prominent destination for foreign investors, particularly attracting demand from neighboring regions. However, the rise in foreign property ownership has contributed to escalating housing prices and rents, while also generating notable social and spatial transformations in certain urban areas. These developments underline the necessity of considering the social dimensions of urban space and emphasize the evolving role of urban planners in managing heterogeneous urban populations. This study examines housing sales to foreigners in Turkey. The data for the study was obtained from the Turkish Statistical Institute. It is seen that housing sales to foreigners increased significantly until 2022, reached the highest value in 2022 and then started to decline. Istanbul and Antalya stand out as the primary cities where foreign nationals have acquired the highest number of residential properties.  When the ratio of property sales to foreigners to total property sales is examined, Antalya stands out with significantly higher rates compared to other provinces. In this context, another notable city that emerges unexpectedly is Mersin. As a neighboring city to Antalya, Mersin experienced a substantial increase in property sales to foreigners, especially in 2022. Among the nationalities, Iraq, Russia, and Iran are the leading countries in terms of the number of properties purchased by foreigners in Turkey. Since 2022, Russia has become the leading country in property acquisitions in Turkey, recording figures far above those of other countries. On the other hand, despite the large number of Syrians residing in Turkey, they do not rank highly in property ownership statistics. This suggests that the majority of Syrians may lack the financial means necessary to acquire property. Considering the multidimensional impacts of foreign property ownership on Turkey’s housing market and urban dynamics, a more holistic urban planning approach must be adopted. In addition, planning processes should be restructured to incorporate social, economic, and cultural dimensions, aiming to create inclusive and resilient urban environments in response to increasing international mobility.

Keywords: Foreign Property Ownership, International Mobility, Urban Planning, Türkiye

INTRODUCTION

Globalization has increased the intense interaction between people, societies, and states from different regions of the world, reshaping the global economic order [1]. In a sense, globalization is the convergence of global decisions and the elimination of distances, facilitated by technology and communication tools, which are products of this technological advancement [2]. Transnational migration is a prominent component of the contemporary globalized world [3]. It can be said that globalization has significantly impacted the sale of real estate to foreigners in the housing sector. Many countries, including Turkey, implement support or incentive policies for both their own citizens and foreign nationals [1]. In recent years, transnational migration has shifted from being largely a practice of multinational corporations’ upper-class professionals to a more common activity among the middle class [3]. Additionally, a new form of international human mobility, known as “international retirement migration,” has emerged. This involves older individuals moving to areas with favorable characteristics in search of better living conditions during their later years [4].

In recent years, academic interest in foreign investment in the housing real estate sector has increased. Immigrants with substantial wealth can have a significant impact on housing markets [5]. The policies implemented by countries regarding the buying and selling of real estate are influenced by a range of factors, including travel, the economic and welfare levels of societies, and technological developments [1]. Technically, the housing market is a dynamic and complex phenomenon influenced by a variety of socioeconomic factors [6]. As a vital element of shelter, housing also plays an important role in economic development and social welfare. People wish to invest in housing to secure themselves and their future [7]. However, the sale of real estate to foreigners is regarded as a long-standing political issue in many countries [6].

Governments around the world are increasingly in need of regulations to control access to their regions due to the growing transnational mobility of people. Since the 2008 financial crisis, more and more countries have begun selling citizenship and residency rights to global economic elites in exchange for investment [8]. In recent years, the increase in the number of foreigners residing in Turkey has been particularly striking [7].  According to the most recent regulation in Turkey, introduced in 2018, foreign nationals who purchase real estate worth 250,000 USD are granted the right to obtain Turkish citizenship. Turkey’s natural beauty, livable environmental conditions, the depreciation of the Turkish lira against other currencies in recent years, and incentives in the housing sector have made Turkey a preferred destination for foreigners wishing to settle [1]. In addition to those who acquire real estate to gain Turkish citizenship, some foreigners also purchase real estate for other reasons, such as investment, short-term vacations, or retirement [7].

Another reason why foreigners seek Turkish citizenship is the fact that many of Turkey’s neighboring countries are currently facing wars and political conflicts. As a result, Turkey is seen as a safe haven by citizens of these countries. In recent years, the sale of real estate to foreigners in Turkey has been rapidly increasing [7]. Those wishing to buy property in Turkey mainly come from nearby regions (such as Iran, Russia, Afghanistan, Pakistan, Iraq, Yemen, Palestine), consisting of individuals fleeing conflicts and undemocratic practices. Turkey has become a secure place for those wishing to transfer their assets from conflict zones. Moreover, with its citizenship framework and rights, Turkey is an attractive option for many investors. While investors previously came from conflict zones in the Middle East, recent conflicts in Turkey’s northern neighboring countries have led to a shift in the investor profile [8].

Turkey, preferred by many international real estate investors, is one of the developing countries with a booming housing market, offering profitable real estate investments. Istanbul, Turkey’s largest and most important city, is ranked as the seventh most attractive housing market in Europe, following London, Paris, Moscow, Milan, and Rome. Turkey has a young population, and urbanization continues due to internal migration. External growth, particularly from neighboring countries, is ongoing, and foreign property purchases are increasing. Additionally, there is a shrinking Turkish family structure. All these factors indicate that long-term housing demand in Turkey will continue to rise [9].

The sale of real estate to foreigners is a profitable sector that involves various actors, including translators, lawyers, insurers, bankers, notaries, and representatives of immigrant NGOs [8]. It has been determined that the increase in housing demand from foreign buyers leads to rising property prices and, in the long term, increases the value of homes [7]. Studies have shown that immigrant investors seeking citizenship from Turkey contribute to the increase in property prices. The rise in refugee migration and the growing sale of real estate to foreigners are contributing to the increase in property prices [6]. Housing prices have risen globally, alongside the increase in commodity prices. Particularly, real estate has become the primary investment choice for many consumers as a hedge against inflation [7]. As purchasing power decreases in Turkey and around the world, rental and property prices have skyrocketed due to the effects of high inflation [10].

In recent years, public reactions to the sale of real estate to foreigners in Turkey, which has deepened the housing and rental crisis, have been increasing. The rise in the number of immigrants has drawn criticism, particularly from opposition parties that follow anti-immigrant policies. In cities like Istanbul and Antalya, where foreign demand for housing is high, the presence and visibility of foreigners in some neighborhoods have surpassed that of the local population [8]. At this point, it can be said that not only material crises but also cultural differentiations have emerged. Urban space is a material area with social and psychological dimensions [11]. Factors such as age, gender, ethnicity, income, lifestyle, education, and health, which distinguish individuals, diversify their relationships with urban space [12]. People from different ethnic and cultural backgrounds show different spatial behaviors, and these differences reflect the cultural norms that regulate space usage in different societies [13]. In discussions about globalization, global networks and new migrations are seen as factors that weaken the local connections of cultures and human populations [14]. Although the global economy offers homogenized cities, the mobility of the world’s population has made cities more diverse in cultural and social terms than ever before [15].

Planners should not aim to manage different communities, but rather work with these communities, learn from them, and create space for the diversity of social, cultural, and ethnic differences by adopting their perspectives [15]. It is extremely important to uncover and learn the daily practices of each community involved in the planning process. This is especially crucial when redesigning urban spaces composed of different cultural and ethnic communities, as is the case in globalized cities. The attention of planners to the multi-layered identities of the inhabitants of globalized cities is becoming increasingly important [16].

METHODOLOGY

In this study, data obtained from the website of the Turkish Statistical Institute (TURKSTAT) were used. First, total housing sales in Turkey were evaluated by year. Then, housing sales to foreigners were analyzed on both an annual and monthly basis. In the next stage, the number of properties purchased by foreigners in different provinces was examined, and corresponding evaluations were made. Finally, the nationalities of those who prefer to buy property in Turkey most frequently were identified. While the data on property purchases by nationality covers the years 2015–2025, other datasets span the period between 2013 and 2025. One important point to note here is the year 2025. The data obtained from TURKSTAT includes figures for the first three months of 2025. All tables in the study were taken from the Turkish Statistical Institute or created from the tables on the site.

FINDINGS

The highest number of housing sales in Turkey occurred in 2020, with a total of 1,499,316 units sold. The lowest number, excluding the first three months of 2025, was recorded in 2013 with 1,157,190 units. It is seen that housing sales to foreigners increased significantly until 2022, reached the highest value in 2022 and then started to decline. Housing sales to foreigners peaked in 2022 at 67,490 units, while the lowest figure — again excluding the first quarter of 2025 — was in 2013 with 12,181 units. The highest proportion of housing sales to foreigners relative to total sales was observed in 2022, at 4.5%. This was followed by 2021 (3.9%), 2019 (3.4%), 2018 (2.9%), and 2023 (2.9%). Among the years analyzed, the lowest proportion was recorded in 2013, at 1.1% (Table 1).

Table 1: House sales to foreigners, 2013-2025

Source: TURKSTAT (Last Access Date: 03.04.2025)

When examining the monthly percentage distribution of housing sales to foreigners, the highest rate was recorded in June 2022, at 5.7%. In fact, 2022 stands out as the year with the highest overall figures when compared across all years. It marked the peak period for property sales to foreigners. The second highest rate was observed in November 2018, at 5.2%. The lowest percentages were recorded in February 2013 (0.8%) and June 2020 (0.9%) (Table 2). In terms of absolute numbers, the highest number of sales occurred in June 2022, with 8,630 units sold, while the lowest was in February 2013, with 716 units.

Table 2: House sales to foreigners by month, 2013-2025 (Share %)

Source: Prepared from TURKSTAT data (Last Access Date: 03.04.2025)

When examining the period between 2013 and 2025, the provinces with the highest number of housing sales—excluding the year 2025—are Istanbul, Ankara, Izmir, Antalya, and Bursa (Table 3). Since only the first three months of 2025 were analyzed, Bursa does not appear among the top five that year. These provinces are also the most populous in Turkey, with Istanbul in particular having a significantly large population. On the other hand, Ardahan and Hakkâri consistently ranked as the provinces with the lowest number of housing sales in all the years examined, except for 2025.

Table 3: The highest house sales by provinces, 2013-2025

* The evaluation was made in the first three months of 2025. Although Bursa is the province with the 5th highest sales in all years, another city is in the 5th place in 2025.

Source: Prepared from TURKSTAT data (Last Access Date: 03.04.2025)

The provinces where foreigners own the most properties are Istanbul and Antalya. In 2013, 2014, and 2023, Antalya was the province with the highest number of housing purchases by foreigners, while in the other years, Istanbul ranked first. Between 2013-2014, Aydın ranked third, followed by Bursa in the 2015-2017 period, Ankara between 2018-2020, and Mersin from 2021 onwards in the third position for foreign housing sales. While Izmir ranks third in total housing sales, it falls behind in terms of sales to foreigners.

Table 4: The Highest House sales to foreigners by provinces, 2013-2025

Source: Prepared from TURKSTAT data (Last Access Date: 03.04.2025)

When the proportion of housing sales to foreigners is compared to total housing sales, it is evident that Antalya has much higher sales rates than other provinces, particularly reaching the highest levels in 2022 and 2023. Although the number of housing sales to foreigners is higher in Istanbul, when looked at proportionally, Antalya has always been ahead. While Istanbul is a metropolitan city with a large population and housing stock, it can be said that a significant proportion of property turnover in Antalya occurs through foreign buyers. Another surprising city in this context is Mersin. Located next to Antalya, Mersin saw a significant amount of housing sales to foreigners, especially in 2022. With its favorable climate and living conditions, Mersin has attracted attention not only from Syrian refugees but also from Russians and Ukrainians due to the effects of the Russia-Ukraine War that began in 2022.

Table 5: The ratio of housing sales to foreigners to total sales (the top three provinces in the period (2013-2025)

Source: Prepared from TURKSTAT data (Last Access Date: 03.04.2025)

Since 2015, data on housing sales to foreigners has been available from TURKSTAT. According to this data, housing sales to foreigners are ranked by country in the table below. Additionally, there are countries with lower numbers of sales categorized under “other countries.” Iraq, Russia, and Iran occupy the top three positions with high sales figures.

Table 6: Total house sales to foreigners by nationalities, 2015-2025

Source: Prepared from TURKSTAT data (Last Access Date: 03.04.2025)

Between 2015 and 2018, the highest number of housing sales was made to Iraqis. Iraq maintained its position in the top four in subsequent years. However, the number of sales, which was 6,241 in 2022, decreased to 1,917 in 2023, and further dropped to 1,302 in 2024. Saudi Arabia was the second country with the most sales between 2015 and 2017. A decline in sales began in 2018. Kuwait ranked third between 2015 and 2017. Although its ranking changed, there was no significant decline until 2023. Russia emerges as an important country in property ownership in Turkey. It ranked fourth between 2015 and 2018, moved to third place between 2019 and 2021, and the number of sales continued to increase each year. Since 2022, Russia has become the country with the highest number of housing sales, far exceeding other countries. Another notable country is Iran. Although Iran ranked eighth between 2015 and 2017, with low sales, it made a significant leap in 2018 and 2019, rising to second place and showing a considerable increase in housing sales compared to previous years. This upward trend continued in 2020 and 2021, making Iran the country with the most housing sales. Although there was a decline starting in 2022, Iran remained the second country with the highest number of housing sales after Russia. Ukraine, while experiencing fluctuations, had the highest number of housing sales in 2022. Although the number decreased afterward, Ukraine ranked fourth in 2023, third in 2024, and third again in the first three months of 2025. While Turkey hosts a significant number of Syrian refugees, they are placed in the “other countries” category in the country rankings. It is possible to say that individuals with lower income levels are present in Turkey.

Table 7: Country Rankings and Numbers of House Sales

Source: Prepared from TURKSTAT data (Last Access Date: 03.04.2025)

DISCUSSION

With the ongoing process of globalization, international mobility has intensified, leading to increased flows of people across countries for various reasons, such as economic opportunities, retirement preferences, or political/military conflicts. Turkey is among the countries directly affected by this global dynamic. In particular, demand from neighboring countries has created a notable impact on Turkey’s housing market.

The data indicate that this mobility has become concentrated in certain cities in Turkey. Istanbul, Antalya, and, more recently, Mersin have emerged as prominent cities in terms of foreign property acquisition. The increase in the foreign population in these urban areas affects not only the housing market but also the economic, social, and cultural structure of the urban space. Rising rental prices offer economic opportunities for property owners, yet they place a significant financial burden on tenants, deepening inequalities among different socio-economic groups. Similarly, not only housing prices but also the prices of essential goods may rise, increasing the overall cost of living in cities.

The growing foreign population also paves the way for sociological and cultural transformations. While the coexistence of individuals from diverse cultural backgrounds brings richness, it may also lead to social tensions. In this context, intercultural interaction, integration processes, and cultural adaptation policies become critically important. Although Turkey has historically been a multicultural society, the current rapid demographic changes and their spatial effects necessitate a reassessment of existing planning approaches.

Therefore, the role of urban planners should not be confined to organizing physical space alone; a holistic approach that also considers sociological, economic, and cultural dimensions must be adopted. Issues such as how different cultural groups will be integrated into the city and how social cohesion will be ensured should be placed at the core of the planning agenda. In addition, when developing support and incentive policies, the positive and negative effects of property sales to foreigners should be assessed together. This process should not be driven solely by economic gain, but should instead follow a balanced approach that prioritizes sustainable urban living.

In evaluating the impacts at the urban scale, it is important to consider not only the absolute number of property sales but also their proportion within total sales, as well as the population size of the city. In large metropolitan areas like Istanbul, although the number of property sales to foreigners is high, the overall impact may be relatively limited when accounting for the city’s large population and extensive housing stock. In contrast, in smaller cities with lower population levels—such as Antalya and Mersin—the proportion of sales to foreigners is significantly higher, leading to more profound and visible transformations in the social and spatial fabric of these cities.

CONCLUSION

This study reveals a marked increase in housing sales to foreigners in Turkey in recent years. To make informed decisions for the future, a comprehensive evaluation of the current situation is essential. While property sales to foreigners provide economic benefits for Turkey, they also generate adverse economic outcomes, such as rising housing prices and rents. Additionally, the social dimension of this process must not be overlooked. The convergence of individuals from diverse cultural and historical backgrounds compels a reconsideration of urban space and governance strategies.

According to the findings, total housing sales in Turkey peaked in 2020, while 2013 recorded the lowest figures. Foreign property sales reached their highest volume in 2022, with the lowest recorded again in 2013. When foreign sales are compared to total sales, the highest proportion occurred in 2022, while the lowest ratio was in 2013. On a monthly basis, June 2022 saw the highest number of sales to foreigners, while the lowest occurred in February 2013.

When evaluated by province, Istanbul, Ankara, Izmir, Antalya, and Bursa consistently rank among the top cities for overall property sales (except for the projected data for 2025), which aligns with their high population densities. Notably, although Istanbul has the highest number of foreign property transactions, the proportional effect is lower due to its large housing stock. In contrast, Antalya consistently ranks higher in proportional terms, indicating a more profound impact on the city’s urban structure.

Mersin is another city that stands out, particularly in 2022. Neighboring Antalya, Mersin has attracted considerable foreign investment due to its favorable climate and living conditions. The city became an appealing destination for Syrian refugees and, more recently, Russian and Ukrainian investors influenced by the ongoing conflict between their home countries. Based on nationwide data on foreign property ownership in Turkey, Iraqi, Russian, and Iranian nationals rank as the top purchasers. Since 2022, Russian nationals have become the most prominent buyers in the Turkish housing market, with acquisition numbers significantly exceeding those of other nationalities. Although Syrians constitute a large refugee population in Turkey, their participation in the property market remains limited. This is likely due to their generally lower income levels, highlighting disparities in access to the housing market among different migrant groups.

In conclusion, the sale of property to foreigners in Turkey is not merely an economic issue but a complex process with social, spatial, and cultural consequences. Urban planning strategies must be restructured to address this multi-layered phenomenon through inclusive, balanced, and forward-looking approaches. Strengthening the social resilience of cities in the face of this evolving urban reality is more critical than ever.

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