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Turkey is an emerging nation with an incredibly diverse wealth of property related investment opportunity.
Turkey has a very young population driving local demand for real estate which cannot currently be met, it has foreign direct investment growing at record levels pushing up demand for commercial space and also boosting local purchasing power making room for growth in terms of real estate pricing, it has a rapidly expanding tourism industry with almost immeasurable room for further expansion proving that there is demand for short term rental property as well as holiday homes for sale and furthermore the nation is aligning itself politically with both eastern and western governments proving that Turkey in the very near future could become one of the most strategically important nations in the world.
In terms of local demand an investor could enter the property market just focusing on this target group. Half of the nation’s population is under the age of 25, most live in Istanbul, Ankara, Izmir, Konya, Bursa, Adana, Antalya and Mersin, property in these cities is in short supply but investment is inward flowing creating jobs which creates further inward migration from the countryside of individuals looking for work and this creates the ultimate environment for an investor where demand is increasing, property units available are not sufficient to meet the demand forcing prices up and the local population is gaining purchasing power from better paying jobs suggesting they can afford real estate price gains and so an investor who buys into the residential property market in 2007 could reap substantial yields and enjoy healthy capital gains.
As stated foreign direct investment is freely flowing into Turkey now that the government has done all it can to attract it and nowhere is the evidence of FDI more obvious than in the property market. Massive investment is coming from Europe and the Middle East into huge residential and commercial projects creating employment and boosting the local economy. FDI is also holding up the travel and tourism industry which is under-funded by the government and which historically has relied heavily on the private sector. Investors are aware that the vast size of Turkey as well as its cultural and geographic diversity means that it can expand its tourism market multiple times. Currently it only really has a summer holiday market but efforts are in place to push Turkey as a business travel destination, a winter holiday hotspot and a cultural, eco and adventure tourism destination as well.
Already tourism numbers are growing annually and many of these holidaymakers are also buying properties along the coast in Turkey creating a multi layered market for an investor to look at from short term high yield rentals to the construction of properties for the retirement or second home market funded by affluent Europeans.
The final factor pushing up the appeal of Turkish property as an investment commodity is the fact that politically Turkey is developing stronger and stronger international relations. On the one hand Turkey is moving closer to EU entry and to that end the Turkish authorities have certainly done and are continuing to do all they can to align policies and decisions with those acceptable to the EU, and if EU entry comes then inward investment will soar even further. On the other hand Turkey already has an excellent standing with NATO, it already has good export levels in place with Europe and now it is positively aligning more and more with nations to the east of its borders.
In 2006 Turkey and the United Arab Emirates cemented political and economic friendship ties and Turkey remains an ally of many countries in Asia, it is a Muslim country without any shadow of fundamentalism hanging over it meaning it is a friend of Western countries from America to the England and as it shares cultural and religious understanding with many Asian and Arabic nations it is also a friend of countries to the east of it meaning it is incredibly well placed strategically for acting as a bridge between eastern and western understanding.
As you can see, all factors point favourably to the ongoing desirability of Turkey as a place to live, holiday, work, do business and invest and therefore 2007 is likely to be a significant year in terms of the levels of investment into property by international investors.
Rhiannon Williamson writes about property investment worldwide, to read more about property investment in Turkey in 2007 and beyond visit her site http://www.amberlamb.com
Article Source: http://EzineArticles.com/?expert=Rhiannon_Williamson
http://EzineArticles.com/?Real-Estate-Property-Investment-Series:-Focus-Turkey-2007&id=398753
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