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Turkish citizens now invest more money in foreign real estate than foreigners bring into Türkiye for property purchases, marking a sharp reversal in the country’s decadelong trend of attracting overseas buyers. According to the latest balance of payments figures from the central bank, the volume of funds Turks transfer abroad for property has clearly exceeded inflows from foreign buyers.
As reported in an analysis published by Patronlar Dunyasi, this shift has become one of the most notable changes in Türkiye’s real estate landscape.
Foreign investors once drove rapid growth in Türkiye’s housing market, largely due to citizenship-by-investment rules introduced in 2016 and 2017. These regulations allowed foreign nationals to obtain Turkish citizenship if they purchased real estate above a certain threshold. The minimum requirement, initially set at $1 million, was later reduced to $250,000, prompting a wave of demand, particularly from Russia, Europe, and Middle Eastern countries facing instability.
However, the citizenship threshold eventually rose to $400,000, and the mandatory five-year holding period for such properties expired in 2023. Many foreign nationals have since resold their homes to new buyers seeking citizenship, slowing fresh demand. At the same time, regional demographic pressures and forced migration trends have eased, further reducing the pace of foreign acquisitions.
Central bank data shows that foreign real estate purchases in Türkiye, which climbed steadily for years, reached a high point in 2022 before declining.
Annual volumes fell sharply in 2023 and continued to ease this year. The nine-month total indicates that foreign inflows may fall toward the $2 billion mark by year-end, a significant drop from earlier highs.
In contrast, Turks have stepped up their overseas acquisitions at an unprecedented pace. Cross-border real estate spending, which first appeared in statistics in 2017, has grown rapidly since 2022. The amount transferred abroad by Turkish buyers has already approached $2 billion in the first nine months of this year and may reach $3 billion by the end of the year. When calculated with average exchange rates, this corresponds to nearly 100 billion TL over the past twelve months.
A combination of economic, social, and strategic factors is driving Turkish households and investors to look outward. Analysts note that global investment behavior, wealth preservation concerns, and lifestyle planning now play a larger role in purchasing decisions.
Sharp swings in exchange rates and persistent inflation have encouraged many Turkish investors to safeguard their assets in foreign currency. Overseas real estate offers a way to earn income and store value in stronger currencies while reducing exposure to domestic market risks.
Countries such as Greece, Portugal, Spain, Montenegro, the United Arab Emirates, and the Turkish Republic of Northern Cyprus have attracted strong interest through “Golden Visa” or residency-by-investment schemes. These programs provide mobility advantages and the possibility of establishing a second home, making them appealing for long-term planning.
Rapid digital transformation has removed many of the barriers that previously made buying property abroad difficult. Access to online listings, virtual tours, international consultants, and digital notarization or registration services has made the entire process more manageable for Turkish buyers.
High inflation, shifting mortgage conditions, rising housing prices, and lower rental yields at home have pushed some investors to explore foreign markets with more stable returns or favorable tax structures.
A growing share of Turkish families buy overseas homes for reasons beyond investment. Many seek better educational opportunities for their children, improved health care access, or higher perceived living standards.
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