Real Estate Sales Drop 10.3% in First Half of 2026: Turkey’s Housing Market Faces Sharp Decline

Real estate sales across Turkey in the first half of 2026 declined by 10.3% compared to the same period in 2025, reaching a total of 1,268,950 transactions.

Sharp Decline in Turkey’s Housing Market

This decline reflects the impact of rising interest rates and housing price pressures in major cities, which have significantly reduced consumer purchasing power. The contraction in the real estate sector could directly affect construction companies’ revenues.

Macro and Sectoral Impacts

■The 10.3% drop marks the largest decline since the Central Bank’s policy rate surged to 50% in late 2025.

■The recorded figure of 1,268,950 is notably lower than the 1,410,000 sales in 2023.

■Sales in major cities like Istanbul and Ankara were largely constrained to urban transformation projects.

Short-Term Signals for Investors

■BIST 100 stocks in construction and real estate sectors plunged sharply as the data failed to meet market expectations.

■Key technical indicators such as Fibonacci retracement levels, Ichimoku clouds, and the 50-day moving average signal a strong sectoral reversal pattern.

Markets are pricing in expectations of rate cuts in H2 2026 and renewed government-backed housing initiatives, but real estate investments remain vulnerable amid persistent inflationary risks.