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Türkiye has become unreachable in housing, auto, and tech costs over the past dozen years as the consumer prices surged over 1,000%, even as it ranks near the bottom globally for net salaries, according to Deutsche Bank’s 2025 Mapping the World’s Prices report.
The German lender’s report, which highlights key consumer price trends worldwide in 2025, ranks Türkiye among the top three most expensive countries in several key categories, based on calculations centered on major cities such as Istanbul.
According to the report, Istanbul saw one of the steepest increases in property prices worldwide.
The average cost to buy a centrally located apartment in the city rose 103.5% over five years, from $1,492 per square meter in 2020 to $3,036 in 2025.
Although the city ranks only 57th in global real estate costs, the growth rate is among the fastest in the world.
This surge, combined with stagnant wages, has left homeownership out of reach for many middle-income residents, the report emphasized.
Istanbul also ranks first globally in rent inflation over the last five years.
Rents for a three-bedroom apartment in the city center rose by 193.1%, climbing from $602 to $1,764 between 2020 and 2025. One-bedroom units saw a 178.5% increase, from $340 to $948.
No other city surveyed—out of 69—experienced comparable rent increases.
While Istanbul’s absolute rent cost remains lower than cities like New York, London, or Singapore, the speed of change has radically altered local affordability.
Istanbul is listed as the fifth most expensive city in the world to buy a car, following Singapore, Copenhagen, Tel Aviv, and Abu Dhabi.
The cost of a new standard vehicle, such as a Volkswagen Golf, far exceeds prices in most European and North American cities.
The report attributes Türkiye’s high vehicle costs to a combination of the Special Consumption Tax, import duties, and exchange rate depreciation, which have drastically inflated final retail prices.
Türkiye is now the most expensive country in the world to purchase an iPhone 16 Pro (128GB).
The device costs significantly more than in the U.S. or even in Europe, placing Türkiye above Brazil, Egypt, and the Nordic countries.
This pricing disparity reflects a mixture of high taxation, import costs, and the weakening lira, which has made globally priced electronics largely inaccessible for average consumers.
Despite the steep rise in essential expenses, Türkiye ranks 57th out of 69 cities in net monthly income.
As of 2025, the average post-tax salary in Istanbul is $934, up from $480 in 2020—a 94.5% increase.
However, this rise in earnings is far outpaced by the inflation, further widening the affordability gap, as the cost of living in the city already exceeded $2,345 as of June, according to the municipality-affiliated planning agency.
Türkiye’s long-term inflation—measured cumulatively since 2012—has reached 1,041%, the second-highest globally after Argentina.
During the same period, the Turkish lira has lost nearly all its value against the U.S. dollar, over 80%, accelerating the cost burden for imported goods and dollar-indexed expenses, the report added.
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