Turkey had the highest rate of annual house price growth among 55 countries and territories through the second quarter of 2021, according to a report by a leading real estate consultancy firm, Turkish media outlets reported on Wednesday.
House prices in Turkey rose by 29.2 percent annually, according to the Global House Price Index, issued by leading UK real estate consultancy Knight Frank.
Among the 55 countries and territories tracked by the index, Turkey topped the list for 12, six and three-month changes in house prices.
Turkey is followed by New Zealand with a 25.9 percent increase, and the US and Slovakia, with a 18.6 percent annual increase each.
“The pandemic-induced housing boom continues with prices rising by 9.2% on average across 55 countries and territories in the year to June 2021,” the report said.
The index monitors the changes in mainstream residential prices worldwide. Nominal prices are tracked in local currency.
In August 141,400 houses were sold in Turkey, a 17 percent decrease compared to the previous month, based on data provided by the Turkish Statistical Institute (TurkStat). The decline is attributed to the skyrocketing house prices.
Some 700,000 new houses are built annually in Turkey, with more than a million housing contracts, including for previously lived-in units, closed.
The construction sector has been seen as the driving force behind Turkey’s economic growth in past decades.