Turkish investors flock to UAE, Greece for real estate in 2024, overseas purchases surge by 20%

Turkish residents significantly increased their overseas real estate investments in 2024 as the total amount spent on foreign real estate rose by 20.5% in 2024, reaching $2.513 billion, with the United Arab Emirates (UAE) and Greece emerging as the top destinations.

According to the latest balance of payments data released by the Central Bank of the Republic of Türkiye (CBRT), this figure stood at $144 million in January alone.

Experts attribute the rising interest in international property markets primarily to favorable visa policies, which offer residency or travel advantages to foreign investors. These visa incentives, commonly known as “golden visas,” have made countries like Greece and the UAE especially attractive to Turkish buyers.

Additionally, the recent slowdown in property price growth in Türkiye further encouraged investors to look abroad for more lucrative and dynamic real estate opportunities.

Golden visas lure Turkish investors to target overseas

Bayram Tekce, chairman of the board of the Real Estate Service Exporters’ Association (GIGDER), noted that just 5–10 years ago, annual foreign real estate investments by Turkish buyers were around $130 million—a number that has since grown exponentially.

He explained that Greece’s attractiveness is largely tied to its golden visa scheme, which grants investors access to all EU countries with a minimum investment of €250,000.

He also pointed out that several countries are reshaping their visa policies as part of broader political strategies to draw in foreign capital. While Spain and Portugal were once favored options, they have recently closed their golden visa programs. In response, Hungary has introduced a similar scheme at the same investment level to fill the gap.

Tekce also cited growing tensions between landlords and tenants in Türkiye as another reason for the shift toward foreign property markets. Many Turkish investors now see greater stability and profitability abroad, particularly when it comes to rental income.

“The second major factor is the trend of purchasing property to rent it out,” he added. “Given the recent increase in landlord-tenant disputes in Türkiye, investors are turning their attention overseas, where the environment is more investor-friendly.”

He emphasized that Türkiye should implement structural reforms to curb the growing outflow of capital into foreign real estate markets. While international interest in the Turkish property sector has been declining, he pointed out a sharp rise in demand from domestic investors seeking opportunities abroad.

According to TurkStat’s February 2025 figures, home sales to foreign buyers dropped by 21.1% year-on-year to 1,457 units, making up just 1.3% of total transactions that month, while total sales in the first two months declined by 23.1% to 3,004 units.

To reverse this trend, he argued that Türkiye must simplify residence permit procedures, ease the process of utility subscriptions for foreign investors, allocate more resources to international promotional efforts, and develop visa programs that are more attractive to global investors.

Tekce noted that most foreign property purchases by Turkish citizens start at around $300,000, with the average price paid hovering near $500,000. “The most important factor for Turkish investors is whether the property can generate rental income,” he said.

Turkish buyers rank 7th in the Dubai real estate market

Ozden Cimen, CEO of Parcel Estates, stated that Turkish investors have increasingly turned their focus to Dubai in recent years. The emirate’s attractive rental yields and tax-free investment environment have drawn both individual and corporate buyers.

“Turks are now the seventh-largest group of foreign property buyers in Dubai, following investors from India, the U.K., Russia, China, Pakistan, and the U.S.,” Cimen noted. “I believe Türkiye could break into the top five by 2025.”

Cimen noted that real estate investments made in Dubai by Turkish buyers last year are expected to generate more than $150 million in rental income by 2025. She highlighted that the interest is not limited to individual investors; Turkish construction companies are also actively involved in large-scale infrastructure and housing projects across the city, such as the expansion of the Dubai Metro, as well as in highway and residential construction.

“I believe Türkiye could break into the top five by 2025,” he added, expressing optimism about the country’s growing presence in the market.