Turkey markets see shifts in housing and automotive sectors

Turkey's real estate and automotive markets are experiencing significant shifts driven by economic conditions. In the housing sector, high costs in major metropolises like Istanbul are driving buyers toward more affordable cities such as Düzce. In Istanbul, there is a notable trend of residents moving from aging buildings in central districts like Beşiktaş and Şişli to newer housing projects in areas like Başakşehir and Kartal due to safety concerns. TÜİK data indicates that while new home sales have remained relatively stable, second-hand home sales saw a 9.2% decline.

Simultaneously, the second-hand automobile market is facing a downturn. Reports from Quick Finans and SmartIQ show that while September saw a slight monthly increase in sales, annual figures remain lower than previous years. High interest rates and credit restrictions have led to a real value loss of up to 36% in the second-hand vehicle market over the last 19 months. This has resulted in a stagnant market where dealers are offering discounts to attract buyers, but demand remains low as vehicles no longer serve as effective inflation hedges.