Tremendous Increase in Land Sales

The only thing that cannot be replaced is soil. The rapid increase in the world population, the intense migrations to our mega cities and the abandonment of agricultural lands have brought to light the desire to own a piece of land.

According to the special news of AA, there was a tremendous increase in the sales of non-residential real estate, which consists of lands and fields, with 942 thousand 485 units throughout Turkey in the January-July period.

The data for the first half of 2023 are as follows. Of the 1 million 617 thousand 812 real estates that changed hands, 675 thousand 327 were residential and 942 thousand 485 were non-residential real estates, the majority of which was land and fields.

Ratio of Land and Field Sales in Total Volume 58.3%

Based on the January-July periods, non-residential real estate sales were 912 thousand 448 in 2022, 742 thousand 583 in 2021, 608 thousand 353 in 2020 and 525 thousand 740 in 2019.

Compared to the same period of the previous year, total real estate sales decreased by 6.6 percent. While this rate was based on 17.7 percent on the basis of housing, there was an increase of 3.3 percent in non-residential real estate.

Disasters and Economic Crisis Direct the Investor to the Land

Stating that the unusual price increase in housing prices, the increase in loan interest rates, the confidence in detached life after the 6 July earthquakes and the desire to approach nature after the covid-19 pandemic, affect the demand for land and fields, MasterTürk Group President Gökhan Taş said, “There are still good opportunities in the peripheries in Istanbul. We can say that investors are making an average investment of 1-2 million liras outside of housing.” made the statement.

High Yield Expectation on the Land

Underlining that investors who do not have enough savings for housing tend to land and fields with the expectation of more returns, Helmann Chairman of the Board Selman Özgün said, “We think that the savings in areas such as currency protected deposits, gold and foreign currency will be transferred to the land and field in a visible way in the coming period.” 

Real estate appraisal expert Ahmet Büyükduman also stated that the weakening trend in housing sales continues and that the situation affecting this situation is high prices and low supply.

Büyükduman, “The vast majority of non-residential sales are made up of land and fields. Sales in this area continue to increase. Those who escaped inflation but cannot access housing rush to land and fields.” he said.

Attention to Opportunism in the Land

Mustafa Altınkök, Chairman of the Board of Directors of the Silivri Real Estate Consultants Association, stated that projects that can only be seen on models should be avoided, and emphasized that they should refrain from purchasing land or fields without questioning the zoning status from the relevant municipalities. Noting that tiny houses, bungalows or prefabricated houses cannot be built on every shared land, Altınkök emphasized the importance of hard research in this process.