A Maturing Market: Turkish Insurers Lead the Way in Real Estate Protection

In the second quarter of 2025, the Turkish construction sector showed significant growth, with the number of issued building permits nearly doubling from 143,626 in the first quarter to 292,433. This figure, which is well above the average quarterly value for the period 2002-2025 (170,174), indicates a strong revival of the real estate market.

What This Means for Investors

The sharp increase in issued building permits is a key indicator for investors, pointing to the stabilization and expansion of the construction sector. This growth, supported by government initiatives, creates a favorable environment for new investments.

- Residential Construction: The rise in permits signals an activation of residential construction, opening up opportunities for investors interested in residential real estate projects. Areas like Istanbul's Kağıthane are particularly attractive due to their rapid development and affordable prices for modern housing.

- Commercial and Urban Infrastructure: The data also points to potential for investments in commercial real estate and large-scale infrastructure projects. Such projects can support and increase the value of surrounding residential real estate.

- Market Confidence: The high number of issued permits reflects growing confidence in the Turkish real estate market, signaling a stable and promising environment for long-term investments.