If you’ve been following housing trends in Turkey (or just trying to find a place to live!), you’ve probably noticed how things have been shifting over the past few years. Homeownership is becoming less common, while renting is on the rise — and this change has been going on for a while now.
Fewer People Own Their Homes Than They Did Before
Back in 2006, about 61 out of every 100 people in Turkey owned the home they lived in. By 2014, that number even ticked up slightly. But starting from 2014, the homeownership rate has gone down every single year.
Fast forward to 2022, and only around 57 out of 100 people live in a home they own. That’s a drop of nearly 4 people per 100 over 10 years — and a little more than 4 in just the last 8 years. It may not sound huge at first, but over a country of millions, it’s a big shift.
Renting Is Becoming the New Normal
At the same time, more and more people are turning to renting. In 2006, renters made up 23.5% of the population. By 2012, that number had actually dropped to about 21%, but since then, it’s been climbing steadily every year.
By 2018, more than 1 in 4 people were renting. And by 2022, that rose to 27.2%. So compared to a decade ago, 6 more people out of every 100 are now renters — actually a bit more, if we’re being precise (about 6.3%).
So, What’s Behind All This?
One major factor? Soaring housing prices: According to Turkey’s Central Bank, home prices shot up by a staggering 189% in just one year (as of September 2022). That kind of increase makes it really tough for many people to afford to buy a home — especially with wages not rising nearly as fast.
This sharp rise in prices started gaining speed after 2020 and accelerated even more with the shift to the “new economic model.” The most recent data from March 2023 still showed an annual price increase of 133%.
More Housing, But Not More Owners
Interestingly, even though more houses are being built, it’s not translating into more homeowners. High prices, tough credit conditions,
So, what does this all mean? Simply put, renting is no longer a short-term phase for many people in Turkey — it’s becoming the norm. And unless housing becomes more affordable, that trend may continue.
