Price Increase in Luxury Housing Cut Speed in Turkiye

In this study, Endeksa identified residences with at least 4 rooms and 2 bathrooms, with building attendant or security, open or closed parking as the upper segment. Residences that remained below average were defined as residences with no more than 3 rooms, single bathrooms, building attendants or security, with no open or closed parking.

Upper Segment Average Housing Price Crosses 13 Million

The average price per square meter of housing defined as the upper segment by these criteria was 47 thousand 682 TL, while the average housing price was 13 million 207 thousand 914 TL. The average square meter price was 30 thousand 22 TL, while the average price was observed at 2 million 701 thousand 980 TL.

Average Housing Price in Istanbul Approached 3 Million TL

When we look at Istanbul, the average square meter price is 31 thousand 927 TL and the average housing price is 3 million 831 thousand 240 TL. In Turkey, the average square meter price is 20 thousand 706 TL, the average housing price is 2 million 691 thousand 780 TL.

When the value change in these two segments was examined, it was observed that the value change in the housing below average is close to the whole of Istanbul, and the change in value in the upper segment residences is very low compared to the average and lower average residences. According to the Endeksa's analysis, in the period from January to July 2023, housing prices in Istanbul increased by 42.8%, lower than average housing by 42.5%, while housing in the upper segment increased by 22.8%. Annual value change rates were 90.6% for Istanbul, 87.6% for lower average residences and 50.5% for upper segment housing.

Evaluating the data, Endeksa.com Co-Founder and General Manager Görkem Ögut said, “The rise in housing prices has been on everyone's agenda for a long time. Due to the high rate of increase, we often get questions from our users about whether prices will fall or not, obviously we also observe that there is some expectation in this direction. Our analysis also showed that the increase in housing value has cut off pace, but continues to increase in parallel with inflation. We find that the slowdown is greater, especially in above-average dwellings, which we define as the upper segment. Considering such parameters as increase in construction costs, shortage of supply, we do not expect a significant decrease in prices in the short term.”