Barnes Türkiye

The Number of Renters in Türkiye Reaches 23 Million


Thursday 13 June 2024

Picture The Number of Renters in Türkiye Reaches 23 Million

Recent data shows that the number of renters in Türkiye has reached 23 million, with a significant concentration in Istanbul. This surge comes alongside a 45% increase in rental inquiries for apartments and houses over a short period.

According to a study by the Turkish Statistical Institute (TUIK) conducted in May, the proportion of households owning their homes dropped from 60.7% in 2022 to 56.2% in 2023. This means that over 7.3 million households in Türkiye are now renting. Given that the average family size is 3.14 people, the total number of renters is approximately 22.966 million.

Securing a mortgage has become increasingly challenging: the maximum loan limits set by the Banking Regulation and Supervision Agency (BRSA) range from 50% to 90%, depending on the price and quality of the property. The average annual interest rate on housing loans has risen from 11.9% in 2014 to 45% as of April 2024. Monthly mortgage interest rates offered by banks vary from 3.1% to 6.99%.

The average sale price of a residential property in Istanbul is now 4.6 million Turkish lira (TL), compared to 2.5 million TL in Ankara and 3.67 million TL in Izmir. Housing prices in Istanbul are significantly higher than in the other two major cities.

Consequently, the total number of home sales in April was the lowest in recent years, with only 75,569 units sold that month. Sales involving mortgages accounted for less than 10%, totaling just 7,071 units.

These figures highlight the growing trend toward renting and the difficulties faced by Turkish citizens in purchasing their own homes. At BARNES Türkiye, we are committed to keeping you informed about these trends and helping you navigate the real estate market, whether you are looking to rent or buy property in Türkiye.

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