86% of Turkish Home Sales Occur Without Appraisal: Buyers Face Hidden Risks

In Turkey, 86% of home transactions are completed without an appraisal report, leaving buyers with a critical risk management gap.

Surge in Cash-Only Transactions

According to TÜİK, 1,688,910 homes were sold in 2025; of these, 1,452,242 were cash (non‑mortgage) sales. This translates to 86 out of every 100 homes being sold without a bank‑mandated appraisal.

Why Valuation Gaps Persist

■No appraisal requirement for cash purchases

■Buyers treat appraisal as merely a loan‑related formality

■Market prices often rely on average area sales without deeper analysis

Risks and Opportunities

■Overpayment: Paying above the true market value

■Technical and legal pitfalls: Non‑compliance with seismic codes, missing permits, etc.

■Investment protection: Independent appraisals safeguard buyers from long‑term value erosion

Policy and Regulatory Recommendations

■Extend mandatory appraisal to cash transactions

■Raise quality standards for appraisal firms

■Launch public awareness campaigns to educate buyers

Murat Yıldız, Real Estate Development Investment and Valuation Specialist, warns that “An appraisal should not be a by‑product of the loan process; it must become a mandatory safeguard for high‑value transactions. Otherwise, over‑paying and post‑sale legal risks will erode market confidence.”