Residential property sales in Türkiye jumped 17.6% year-on-year in May, reaching 130,025 units, amid significant price pressures in the housing market, as the Residential Property Price Index (RPPI) also rose 3.4% during the same period.
"Türkiye’s Residential Property Price Index (RPPI), which reflects quality-adjusted changes in home prices, rose 32.3% year-on-year, according to the Central Bank of the Republic of Türkiye (CBRT).
Housing prices continue to climb, but lose value in real terms. However, when adjusted for inflation, the annual increase translated into a 2.3% decline in real terms, indicating that rising prices failed to keep pace with overall inflation.
Among the three largest cities, housing prices rose month-on-month by 2.7% in Istanbul, 3.8% in Ankara, and 3% in Izmir. Compared to May 2024, the RPPI was up 32.6% in Istanbul, 41.4% in Ankara, and 31.1% in Izmir.
Istanbul leads in sales as mortgages soar 96%. According to the Turkish Statistical Institute (TurkStat), Istanbul recorded the highest number of sales with 22,103 units, followed by the capital, Ankara, with 11,975, and the Aegean province of Izmir with 7,817.
Between January and May, overall house sales reached 584,170 units, marking a 25.4% increase compared to the same period last year.
Mortgage-backed transactions played a major role in the rebound, rising 95.9% year-on-year to 19,412 units in May.
These accounted for 14.9% of total sales, pointing to growing interest in credit-financed housing. Second-hand homes made up the bulk of the market with 90,479 units sold, up 20.6% from a year earlier, while sales of new properties increased by 11.2% to 39,546 units.
Sales to foreign nationals declined by 14.2% year-on-year to 1,771 units in May. Russian citizens made the highest number of purchases, followed by buyers from Iran and Germany.
