Advantages & Risks of Turkish Real Estate Investing

Property has long been viewed as a low risk, high return investment, and it still is today. However, before you decide to purchase Turkish real estate, whether for your own use or as a buy-to-let investment, always do your research and assess the benefits and drawbacks.

Investments may be made directly or collectively through a number of channels. This reduces your investment but, obviously, lowers your return. Additionally, a fund manager is typically required, and they charge a fee. Property Unit Trusts are one of the avenues you may choose for pooled property investments.

• Property Unit Trusts
• Shares in Listed Property companies
• REITs (Real Estate Investment Trusts)

The Plus Point

• Your Turkish real estate may provide regular revenue for you through rent. A high return on your investment may be obtained from either long-term rentals or the well-liked vacation rentals in the Turkish coastal regions.
• As a household investment. Turkish real estate can be a long-term strategy for family inheritance without the additional taxes that other nations impose because Turkey has a low inheritance tax.
• The real estate market swings, but data indicates that if you are willing to wait, your investment will provide a higher return.

The Risks Associated with Real Estate Investing

• You cannot withdraw your money instantly since selling takes time.
• Investing a lot of money in one place is a big commitment, and real estate is never inexpensive, even when it's a terrific offer.
• Additional expenses; properties require care and maintenance. This has to be evaluated and accounted for in your long-term budget.
• Mortgage purchases come with added risks. Will the rent be sufficient to pay the mortgage? Conduct your research! The bank or mortgage lender will foreclose and seize the property if you are unable to make your payments. Also consider the possibility of a rising mortgage type.

A lot may be done to reduce the dangers, such as doing your research, creating a reasonable budget, and preparing for long-term gain rather than immediate gratification. Turkish real estate has shown to be a profitable investment over the past few years, but be aware that property markets can change.