Turkey's property market stalls as banks roll out interest‑free loans

Real‑estate agents in Eskişehir report a sharp slowdown in buyer activity despite a surge of sellers. Kasım Karakaş, a property consultant, said, "Yaz mevsimi geldi… Emlak sektöründe yaprak kıpırdamıyor," attributing the slump to high bank interest rates that make mortgage financing unattractive compared with bank deposits offering around 40 % returns.

At the same time, several Turkish banks have announced interest‑free credit facilities of up to 100,000 lira for short terms. Denizbank, Garanti BBVA, Türkiye İş Bankası, Albaraka Türk, Akbank, QNB and Türkiye Finans each offer zero‑interest loans ranging from three to twelve months, with amounts from 25,000 lira to 100,000 lira and various cash‑advance options.

The dual trends highlight how elevated borrowing costs are suppressing real‑estate transactions while banks compete for consumer cash by providing short‑term, cost‑free financing.