FACTORS INFLUENCING PRICES OF RESIDENTIAL REAL ESTATE IN TURKEY

Year 2022, Volume: 8 Issue: 2, 153 - 172, 06.10.2022

Aman Al Habash Murat Unanoglu

Abstract

In many nations, the real estate sector is a very important determinant of economic productivity and improvement. It is critical to conduct market research and gain a thorough understanding of the market before taking house buying decisions. In real estate investing, market analysis is an underappreciated asset. In actuality, the most significant aspect of analysing a real estate investment is market analysis. Although all the real estate is local, the main macroeconomic factors have an influence on all local markets. So, market analysts should check the interest rates, present and proposed inflation fluctuation, population expansion, interest rates, and GDP growth. These elements have an effect on the economic base which besetment the subject property's progression or reduction. Interest rates can affect the cost of borrowing and mortgage change rates in capital flows can also have a direct impact on the Demand and supply variables for a property. There are also links between inflation and any limited-supply good. Inflation has a significant impact on a wide range of industries. The utility market the banking, and energy are the most affected. In fact, because Gross Domestic Product Growth rate is the main affection on real estate pricing and rent, real estate investments offer a direct method to benefit from these economies' significant growth. And regarding the increasement in the population It's also important to comprehend the fundamental causes of population growth.

Keywords

House Price Index, Macroeconomic factors, House Pricing, Inflation, Real Estate Pricing

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