Istanbul Property, Capital City Growth Without The High Price Tag

Since legislation was passed allowing investors from more countries to purchase property in Turkey, interest has increased. Russian investors have made up a large proportion of those investors in 2012 and they have been buying up holiday homes, apartments and villas ranging in price from €50,000 to €300,000 (Source: The Moscow News, November). Property investment firm Colordarcy say this highlights the appeal of low priced property in Turkey and Istanbul.

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Istanbul Property
Property investment is not as simple as travelling around the world and finding the cheapest cities, it is about getting value for money.

(PRWEB UK) 15 November 2012

Colordarcy highlights news that Russian investors came second in terms of the number of properties they purchased in Turkey buying up 416 properties in the country in 2012 (Source: Moscow News).

Loxley McKenzie, Managing Director of Colordarcy.com commented, “There are of course several cities in the world where investors can go in and purchase cheap properties.

I could look at African cities such as Cairo for example where the average price per square metre in prime inner city areas is $1,025/£642, or Dar es Salaam where the price per square metre is just $438, which works out at about $52,000/ £32,554 for a whole 120 sqm apartment.

Of course property investment is not as simple as travelling around the world and finding the cheapest cities, it is about getting value for money. I’m sure when most people go shopping, they don’t necessarily buy cheap, they look for something that will be a good investment.

Quite often people as with property investors will opt for something in the middle of the range. Turkish cities like Istanbul can be classed in the mid-range in terms of pricing, but the market is also reliable and more transparent than people give it credit for.”

Analysts at Colordarcy point out that investing in property in Monaco where the price of an inner city apartment would cost an average $52, 353 / £37,790 per square metre (Source: Global Property Guide) makes it the world’s most expensive place to invest.

The problem from an investors point of view is the gross yield in Monaco would be 1.64%, so there would be little point in investing here unless an investor has money to burn.

So when it comes to investing in property, the best locations will be those markets that offer affordability, reliability and allow an investor to keep most of their cash because they are unlikely to cost too much to run.

This is what makes Istanbul property so appealing according to Colordarcy. Even though growth has exploded in the city over the past three years, with prices rising more than 10% a year and 100% in some micro markets over the past 7 years, Istanbul still ranks a lowly 29th in the world’s most expensive cities.

This is cheaper even than Athens with almost double the rental yield and half the risk.
So if an investor is looking for a reliable property investment location then it is important to get the right combination of growth potential and low prices. That means not too expensive or too cheap, but somewhere in the middle is where they will find the real opportunities.

Notes to the editor:

Colordarcy is a leading property investment company that specialises in finding positive cash flow investment properties worldwide. Colordarcy investment property portfolio includes some of the best properties for sale in Brazil, Florida, Turkey and the United Kingdom.

For more information, supporting pictures or logo artwork, please contact:

Brett Tudor
PR Manager

Tel: +44 (0) 207 100 2393
Email: press(at)colordarcy(dot)com
Web: http://www.colordarcy.com/