Table of Contents
- The real estate industry in Alanya is struggling.
- Momentum decline since the beginning of the year.
- Foreign real estate market status.
- Construction and real estate sectors' condition.
- Winter forecast for the real estate sector.
The real estate industry in Alanya is struggling.
Since January in Alanya, the real estate industryhas experienced stagnation. Representatives of the sector state, "If there isn't government intervention and support, the real estate sector won't make it through the winter."
The momentum that the Alanya real estate sector enjoyed for many years has declined since the beginning of this year.
Major causes for the slump, as pointed out by representatives, include high property prices, limited credit opportunities, residence permit issues, and the closure of neighborhoods to new residents. These high prices are pushing potential buyers away as they become unattainable. Furthermore, the limited credit opportunities present significant barriers for those looking to buy new homes. Problems related to residence permits and the closure of neighborhoods for residency also heavily burden the sector. Representatives warn that without intervention from government officials, the construction and real estate sectors may not survive the winter.
"The foreign real estate market has come to a complete halt."
Dr. Yakup Uslu, President of the Association of Real Estate Professionals, stated that there are many reasons for the current stagnation in the industry. He emphasized that real estate prices are high for Turkish citizens and that credit opportunities are limited. Additionally, foreign investors' interest in the Turkish real estate market has declined. Uslu mentioned that there's a decrease in Russian and Ukrainian investors, primarily due to economic hardships in Ukraine. Factors such as residence permits, bank loans, and title deeds also deter investors. Uslu expressed skepticism about any short-term improvement and recommended revisions to residence permits and making bank loans more accessible. He added, "There's been a slowdown in the real estate sector since January. For Turks, real estate prices are very high. Unfortunately, there are also no credit facilities. The foreign real estate market is completely stagnant. Property prices in Turkey are also very expensive for foreigners. Add to that restrictions on residency, difficulties in banks, problems with title deed acquisitions, costs, and the enthusiasm of investors has been dampened."
"The construction and real estate sectors are in difficulty."
A local real estate agency founder mentioned that the decision to close neighborhoods for residency resulted in a significant drop in real estate sales. He also pointed to cancellations in pre-sales and stressed that the sector is going through challenging times. He urged the authorities to address the issues and find solutions, emphasizing that the conditions have deterred foreign investments.
"The real estate sector will have a difficult winter."
Özgür Erbaş, President of the Alanya Real Estate Association, associated the domestic market stagnation with the government's credit policies and high-interest rates. He indicated that the increase in housing prices has negatively affected sales and that foreign investor interest has also decreased. He stressed that economic factors and policy decisions have adversely affected the real estate sector and warned that without government intervention, the industry could face severe challenges during the winter.
FAQ - Frequently Asked Questions
- What is the primary focus of this article?
- Why is the real estate sector in Alanya facing challenges?
- How has the downturn affected potential buyers?
- Are foreign investors also affected?
- What are the local industry experts saying?
- Is there any hope for the sector's recovery?
What is the primary focus of this article?
The article discusses the challenges and downturn faced by the real estate sector in Alanya.
Why is the real estate sector in Alanya facing challenges?
There are several reasons including high property prices, limited credit facilities, residence permit issues, and certain neighborhoods being closed off for residency.
How has the downturn affected potential buyers?
The high property prices have made it unattainable for many potential buyers, and the limited credit options further restrict their ability to purchase.
Are foreign investors also affected?
Yes, foreign interest in the Turkish real estate market has decreased, especially among Russian and Ukrainian investors, due to economic hardships in their home countries and challenges in the Turkish market.
What are the local industry experts saying?
Industry representatives believe that without government intervention, the real estate and construction sector will face a challenging winter. They emphasize the need for reviewing residence restrictions and making bank loans more accessible.
Is there any hope for the sector's recovery?
While the immediate outlook remains challenging, solutions like easing residence restrictions and providing favorable bank loans could potentially revive the sector.
Information in this article is referenced from the original report on yenialanya.com.