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Turkey Gets its 40 Minutes of Investment Fame
July 19, 2010Article by Ray Withers
Turkey property investment is becoming a big topic at the moment. With the country’s economy rebounding among the fastest in the entire world, — faster than any other country in emerging Europe — tourism continuing to perform well despite tourism falling on a global scale, and low property prices, it is hard to deny the investment potential.
So much has Turkey’s profile been raised by its performance during the global financial crisis that well respected online publication the Global Property Guide recommended the country as the best place to invest in property within Europe, in its mid-2010 guide to investment-worthy destinations.
In this respect, the so-called credit crunch has actually been of benefit to Turkey property investment, and the property market as a whole, according to international property investment consultancy Property Frontiers. Director of the firm David Cox said:
“Turkish property was incredibly popular in the later years of the recent overseas property boom, but lifestyle buyers were dominant in the market as the country went largely overlooked by foreign investors. Now that the credit crunch has walloped Europe, exposing the financial weakness of many developed nations, with a budget deficit of just 5% and estimated first quarter growth of 10%+ Turkey stands out as one of the most stable environment’s for property investment in Europe.
“The credit crunch also increased Turkey’s exposure to British tourism; because it almost exterminated the pound’s value over the Euro; as we escaped parity by a hair’s breadth we would get just 1.05 for our pound, with 1.10 becoming the regular ceiling throughout most of last year.
“This led to many British tourists, looking outside the Eurozone to get better value for their holiday quid. Because Turkey has a lot to offer, many of those who found it during the crunch will not hurry back to the more costly Eurozone destinations. This will undoubtedly lead to increased rental yields in Turkey property investment.”
We have all heard that overseas property investors are currently benefiting from the increasing trend of people who are creating their own holiday packages using the internet; renting villas and apartments privately and booking their own flights to create the perfect holiday for them and often for a lot less. But Turkey is benefiting more than most according to Cox.
“In Turkey, there is a shortage of mainstream holiday accommodation in many of the most popular areas. This is leading to high levels of occupancy in private accommodation, which adds to the investment potential of Turkish property.”
In a closing statement Cox added: Turkish property has long had bags of investment potential, it just needed to be noticed by the masses, now that it is Turkey property investment will grow and grow in the coming years.
Property Frontiers is currently marketing the No1 Knightsbridge Development, offering studio apartments in Istanbul from £40,500.