In August, the price of a new home had increased by an average of 2.66 per cent during the month, placing Istanbul on track for a 13.80 per cent rise over the year. If achieved, this will be one per cent higher than Turkey's national average of approximately 12 per cent in the same period. Monica Anca, director of Universal21.com, commented: "For those investors who purchased property in 2010, the past three years have brought year on year increases of between 12 and 15 per cent. There are few property markets in the world that could match this level of property price inflation."
Luckily, there are still opportunities to enter the Istanbul market and Universal21.com stresses that now is the time to buy, with more growth expected over the coming months. Middle Eastern buyers are currently among the most active, as the market opens up to more foreign investors. The easing of restrictions means 2013 has been a landmark year for Istanbul real estate and, indeed, Turkish property as a whole. Ms Anca claims this has helped to "fuel a second spell of double-digit growth in the city".
When it comes to choosing which properties to put money behind, Adil Yaman, director and market analyst at Universal21.com, recommends studio and two-bedroom apartments. Currently, these segments are enjoying the best capital growth in Istanbul. However, as with any city, Mr Yaman recommends proceeding with caution and doing proper research prior to purchase. This includes rental yields and demand for property in specific areas. Employing an agent that is aware of local regulations is also integral to ensure purchases comply with the city's laws.