Even though the property boom in Turkey is just commencing, prices have risen by an average of 52% over the last 12 months in the coastal areas.

All indicators show that this is just the beginning and prices are expected to increase rapidly of the next 5-10 years. As it stands, property along the Turkish Riviera is currently increasing in value at 2% per month.

Rental yields are between 5-10%, though returns are limited by the length of the holiday season, though having said that, there are 300 sunny days a year.

Turkey is finally beginning to reap the benefits of the economic reforms instigated back in the 1980s. For so long the growth of the economy was punctuated by sharp recessions and financial crises that are so familiar to counties in economic transition.

The property market is now strong and stable, which is reflected by the increasing amount of FDI the Turkish property market is attracting.

Since the introduction of new government laws enabling foreigners to buy land in Turkey, the real estate market has rapidly attracted the interest of European buyers. These new laws and Turkey's progress on adaptation to the E.U has made the proposition a lot more attractive. Although interest from overseas buyers and investors is currently focused almost exclusively in areas that lie along the Aegean and Mediterranean coast, the demand for holiday homes is fuelling an unprecedented building boom. As a result, property prices are rising rapidly.

Thanks to recent legislative changes, which have been brought about to encourage foreign investment, demand for property in Turkey is increasing. An example of this is that there is no capital gains tax after 4 years of ownership. As a result of this, property prices are rapidly increasing and should continue to do so.

Turkey was voted the number one place to invest by International Property Magazine, the magazine for the professional property investor published by Inside Track.

Turkey was voted as the 3^rd best destination in the world to buy a property, by ‘A Place in the Sun’ – Channel 4 television, 16^th January 2008.