In Turkey, high inflation drives home sales
The demand on Turkey’s housing market, stoked by a rush to protect savings from soaring inflation, is likely to increase despite skyrocketing prices unless inflation shows signs of easing.
Home prices in Turkey have seen a staggering uptick, fueled by a combination of factors, including a rush for real estate among the well-to-do to protect their savings from inflation, which has hit an annual rate of nearly 50%.
The demand on the housing market has defied steep price increases, running 10 percentage points above the inflation rate, pushing the prices even higher. The supply, meanwhile, has shrunk amid a slowdown in new investments — the result of whopping cost increases in the construction sector.
