Housing desire in Turkey countinues to be dominant, as it can easily be observed from credit amounts banks offer; even though the interest that banks demand has risen from 11% to 14,61, people still use credit money to buy homes.
According to Emine Açar from Yeni Şafak News, the amount of housing credit which was offered from banks and the finance industry was observed as 23,786,369k Turkish Liras in total. EThe fact that buyers continue to invest money despite the high delay interest charge, is attributed to the convenient prices and expected value increase in the future.
Experts underline that the people who apply for credit money from banks usually do this as a well-calculated decision.
Rise In Delay Interests
Before the rise in delay interest rates; for a 10 year term, buyers would pay 0,92% monthly and annual 11% interest rate for 100k Turkish Liras; whose reimbursement amounted to 1,380 liras monthly with a total of 65,672 liras. Since the rise in delay interest rates, the monthly interest rate has risen to 1,22%.
The amount that buyers who had bought with high delay interest rates would pay has risen to 1,591 liras monthly, with a total delay interest of 90,964 liras. So, the difference between delay interest rates (from 0,92% to 1,22%) amounted to a total of 25,292 liras – of which, credit takers thought, would be worth it for a house which they believed was priced under its real value.
Prices Are Downgraded
Experts state that the potential for profit in housing and stable real estate prices also proved to be beneficial; because even though land prices have risen, construction cost index has risen by 38% (according to TÜİK) but this rise has not affected real estate prices yet.