Turkey’s real estate market continued its robust expansion in 2025, with total property sales reaching approximately 3.3 million units – a record high for the country. While residential properties accounted for the majority of transactions, sales of land and fields demonstrated significant growth, indicating a sustained investor appetite for diverse property types.
According to data released by the Turkish Statistical Institute (TKGM), overall real estate sales increased by 8.7% year-on-year, reaching 3,332,994 transactions in the January-December period of . This figure represents the highest annual total on record. The surge in sales reflects a broader trend of increasing investment in Turkish real estate, fueled by both domestic and international demand.
Non-residential property sales, largely comprised of land and fields, rose by 3.5% in , reaching 1,644,84 units. While this figure is the third-highest recorded, it falls short of the peak of 1,748,578 sales achieved in . This indicates a slight cooling in demand for land and fields compared to the previous year, but still represents a substantial volume of transactions.
Combined, residential and non-residential property sales demonstrate a shift in market composition. In , residential properties accounted for 50.7% of total sales, while land, fields, and commercial properties comprised the remaining 49.3%. This marks the first time in five years that residential sales have exceeded 50% of the total market share.
Residential property sales themselves experienced a notable increase of 14.3% compared to , reaching 1,688,910 units. This growth suggests a strengthening preference for housing investments, potentially driven by factors such as population growth, urbanization, and favorable financing conditions.
Shifting Dynamics: From Land to Housing
Hakan Akdoğan, President of the All Entrepreneur Real Estate Consultants Association (TÜGEM), noted a shift in investor preferences. While demand for land and fields surged following the COVID-19 pandemic, residential properties are now taking precedence. “Especially after the COVID-19 pandemic, interest in land and fields was very high, but currently, ‘housing is more in the foreground and a priority’,” Akdoğan stated. This suggests a normalization of market dynamics as the immediate impacts of the pandemic subside.
Commercial property sales, however, continue to lag behind other segments of the market. Akdoğan attributed this to high credit costs, which are hindering investment in business properties. The higher cost of borrowing is making it more difficult for businesses to finance property acquisitions, leading to slower sales growth in this sector.
Akdoğan anticipates that the trend of residential properties dominating the market will continue throughout . He highlighted the continued activity in regions near Istanbul, including Balıkesir, Çanakkale, Yalova, Tekirdağ, Kocaeli, and Sakarya, as key areas driving demand for land, and fields.
Investment Confidence and Future Outlook
Mustafa Kemal Şahin, President of the Real Estate Marketing and Sales Professionals Association (GAPAS), emphasized the role of investor confidence in driving non-residential property sales. He noted that the volume of land and field sales exceeding 1.64 million units demonstrates a continued “safe haven” demand. “Although it fell short of the record of 1,748,000 units broken in , this data clearly shows that the land-field market has become a permanent investment preference,” Şahin said.
Şahin identified development corridors as key areas of demand for land, particularly in the Thrace region of Marmara, coastal districts of the Aegean, and areas of the Central Anatolia region experiencing industrial investment. He forecasts that non-residential sales will likely range between 1.65 and 1.7 million units in , driven by economic stabilization, sensitivity to interest rates and stock market fluctuations, and a desire among smaller investors to protect against inflation.
The Turkish real estate market’s performance in underscores its resilience and continued attractiveness to investors. While the market is experiencing a shift towards residential properties, demand for land and fields remains robust, indicating a diversified and dynamic sector. The interplay of economic factors, investor sentiment, and regional development will continue to shape the trajectory of the Turkish real estate market in the coming months.
