Russia, Ukraine and what it means for Turkey
If you have plans for an investment in property in mind in 2022, you may have been wondering about Russia, Ukraine and what it means for Turkey.
After all, Ukraine is only on the other side of the Black Sea. You may be wondering if Turkey’s proximity to another conflict could play a part in its own destiny in 2022.
If so, then we’re happy to offer a little reassurance – but also a realistic assessment of what impact a conflict may have on everyday life.
We hope this blog answers at least some of your questions:
Will it affect flights
It’s unlikely for Europeans as Ukraine is considerably further east than most of the flightpaths from the main hubs.
However, Turkey is also a popular holiday destination for both Ukrainians and Russians. Any conflict may have an impact on visitor numbers.
That may mean some resorts such as Bodrum, Antalya and Alanya will see less footfall, which is bad news in the wake of coronavirus. The tourism industry has taken a battering for two successive years already and another could prove disastrous for many.
Is there likely to be a heightened security risk?
Probably not as any conflict seems likely to remain within Ukraine’s borders. The situation in Syria is more complex and also complicated by Turkey’s history with Kurdish separatists, also living along its south-eastern frontier not only in Syria but Iran and Iraq.
What about prices?
Turkey is already in the grip of rocketing inflation, exacerbated by the poor performance of the Turkish lira on the international money markets. Many Turks are therefore already struggling to make ends meet.
Should NATO demand that Turkey joins in with sanctions on Russia, there’s every chance Turkey’s economy will face additional challenges. A conduit to cheap imports will be closed off and gas and electricity prices could also be driven even higher.
Conflict in the Ukraine could also scupper recent arms deals done between the two nations. Turkish firms have recently signed contracts to supply drones to Ukraine. Should Russia invade, the lucrative deal would be at risk of becoming a casualty.
However, it’s not all doom and gloom. Conversely, the fact Euros, pounds and dollars currently buy more lira helps to make Turkey a more attractive destination for holidaymakers. Their spending money will stretch further, despite the higher prices in hotels, restaurants and bars.
What will happen with real estate?
It’s important to remember conflict between Russia and Ukraine isn’t the only factor to consider. Other issues including COVID19 and recent and potential leadership changes in Europe – and even in Turkey – could also influence how things unfold in 2022 and 2023.
However, for now, the property market in Turkey continues to perform well, particularly for investors from overseas.
Currently, an investment of $250,000 is still enough to secure Turkish citizenship – a proposition proving particularly popular among buyers from the Middle East as well as from Russia. We don’t envisage that changing dramatically, despite new regulations insisting all deals now have to be done in Turkish lira.
How can we help?
If you’re considering buying property in Turkey and you’d like some more hints and tips, feel free to give us a call. We’re also here if you’d like a heads-up on how to plan or even just a no-obligation chat about the pros and cons of investing in property in Turkey.
It’s not just about the buying and selling of homes. We can help with the logistics, paperwork and advice before, during and after your move so feel free to get in touch.
Alternatively, feel free to browse our blog for previous posts you may find useful. If you’d like to check out our full portfolio, you can find details of properties currently on our books right here. You can also keep up to date with our Facebook page here.