Types of investment in Turkey and factors for a successful investment
Types of investment in Turkey and factors for a successful investment
Real estate investment in Turkey is one of the most important investment destinations in the Middle East and the world in general in recent times.
This is for several reasons, including:
The significant growth in the Turkish economy in recent times:
Where the Turkish economy took its leading position in the forefront of the first 20 countries in the power of the economy in the world.
The Turkish economy is currently ranked 189th among the world’s strongest economies, with a national product of more than 736 billion $.
The ambition will not stop at this point, as there is a well-studied and systematic plan that has been worked on to make the Turkish economy the ninth or tenth among the economies of the world by 2023.
The great concessions offered to foreign investors:
The Turkish government has a well-studied plan to develop the Turkish economy by attracting capitals and providing them with great concessions and giving them privileges that they cannot find in other developed countries.
The strategic location of Turkey:
Turkey enjoys a vital and strategic location in the middle of the continents of the ancient world, due to its proximity to Africa and the direct separation between Europe and Asia, the Arabs consider it the gateway to Europe, the West considers it the gateway to Asia, and most investors see it as a country capable of attracting all religions and facing all difficulties Because it combines civilization, the Islamic environment and European development, also it is considered a favorite destinations for Africans, specifically from Senegal, Nigeria and the Muslim countries there, due to the simple and hospitable nature of the Turkish people and the lack of racism in particular compared to European countries.
Types of real estate investment in Turkey
In Ario Group Real Estate, we see that real estate investment in Turkey can be classified according to two factors:
First: the type of investment
Secon:, the method (way) of investment
Type of investment
Residential Apartments investment:
It is classified into 3 categories: residential apartments, offices and hotel apartments
Land investment: It has two types, agricultural and construction
An entire building investment:
Residential building, hotel, hospital, school, residential product, or commercial mall
Shops investment:
Within a building or within a commercial mall
Investment Method
First: Investment by leasing:
The average rental return in Turkey ranges between 4 and 6% of the total property price annually
Resale investment:
At Ario Group, we work on a comprehensive study of the Turkish real estate market and analyze the data in an accurate way, where there are regions that are subject to a price increase at a rate that exceeds the annual inflation rate, thus obtaining a real profit rate and we are trying to make the buyer avoid buying in regions with a low price increase rate.
Co-investing:
This is by signing a partnership contract with one of the famous brands, and we seek in Ario Group to deal with the most influential international brands in Turkey.
Requirements of a successful investment
There are several factors that help in achieving successful investment in Turkey, including:
1- Relatively low taxes compared to well-known global investment countries such as France, USA, Germany, Britain and China.
2- Cheap Labor and experts:
The average per capita income in Turkey does not exceed 600 $ per month, which is less than the average income of any individual in the investment countries to compete by half.
3- The approaching end of the Treaty of Lausanne:
The Treaty of Lausanne will expire in 2023, according to which Turkey will be able to extract raw materials from its lands, as it was recently discovered that there are millions of cubic meters of natural gas in the Turkish territorial waters, in addition to Turkey’s great richness in minerals such as iron, copper, aluminum and raw materials such as asphalt.
All these factors will contribute to a great economic boom for Turkey during the next 10 years.
