The real estate sector recovers as housing loan rates fall


The real estate sector welcomes the new year with a positive outlook. The recent decline in housing loan interest rates has stimulated sales. According to the latest statistics by TURKSTAT, housing sales in November climbed by 54.4 percent year-over-year (y-o-y), exceeding 138,000 units.

TRY 3.5 BILLION IN LOANS WITHIN A SINGLE MONTH
The approximately 5 percent y-o-y increase in mortgages in the 11 months of the year also showed the positive effect of the decrease in interest rates on the sector. According to the BRSA data, after the interest rate cuts of the CBRT and banks, the total amount of housing loans utilized in the sector between November 11 and December 13 hit TRY 3.497 billion.

CONSUMER CONFIDENCE AT ITS HIGHEST IN 8 MONTHS IN HOUSING SALES
The consumer confidence also contributed to the motivation boost in real estate. According to the TURKSTAT data, the index value for housing investment appetite for the next 12 months is at its highest in eight months with 7.7.
 
NEF RAISES TRY 103 MILLION IN SALES IN TWO DAYS
The sales figures of housing companies have also had their fair share of the real estate market boom. Nef, one of the leading players in the sector, raised TRY 103,398,316 in notarized housing sales in two days with its campaign that ran at the weekend on December 14-15, and landed one of the biggest sales of the last period. The 40 percent discount campaign for a limited number of houses in five Nef projects attracted 5,475 requests within a week. Emphasizing that the new and attractive offers in housing prices triggered a previously idle demand, Nef Executive Board Member Selçuk Çelik said, “We have seen this very clearly last weekend, and were able to close TRY 103 million worth of notarized housing sales with the weekend exclusive 40 percent discount campaign. Considering the fall in housing loan rates, we anticipate that the sector will maintain this sales momentum in 2020.”