Due to exchange rate increases and sudden interest hikes, the year 2018 points to troublesome periods in terms of real estate workers and sector players. Particularly, efforts are being made to gain movement in the sector with campaigns and various studies aimed at domestic customers.
Experts should be cautious in the direction of evaluations based on the relationship between foreign exchange and real estate sector in 2018. Moving periods on behalf of domestic and foreign politics are interpreted as proof that exchange rate increases can directly affect the real estate sector.
Developing countries' situation is affecting the real estate sector
The political and economic repercussions of relations between countries such as Iraq, Syria, Russia and the United States are among the most important criteria affecting the real estate sector today. Facts such as terrorism and foreign policy, which directly affect developing countries, also play an important role on exchange rates. The mobility that occurs on Currencies, foreign investment in Turkey is estimated to be significantly affected. Global scale is one of the countries most affected by economic developments in Turkey, the state on behalf of negativity does not happen in foreign investment and tourism revenues are expected to bring a variety of employment and facilities.
The relationship between foreign exchange and the real estate sector needs to be determined with clearer lines
In the real estate market, which is shaped by new projects in 2018, the prices of raw materials such as concrete and iron used in construction materials are indexed to exchange rates, which directly leads to a rise in house prices. It is known that the uncertainties surrounding foreign exchange and interest rates negatively affect the demand for domestic customers in the real estate sector.
Experts point out that in the case of fixed exchange rates, clearer lines can be formed in terms of the relationship between the foreign exchange and the real estate sector, and the increase in sales volume can take place. The fact that the increase in foreign exchange is reflected directly to the costs and the contractors are forced and the local investors are psychologically affected by the increase of the foreign exchange affect the buying and selling of the real estate negatively.