Russians are smuggling money on property in Turkey. growth

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Home sales in Turkey rose 107.5% in May to 122,768 from a similar period in 2021, according to data released by the Institute of Statistics on Wednesday, with Russians the main buyers for the second month in a row, Reuters reports.

Sales to foreigners rose by 235.7%, with the main buyers being Russians, with 1,275 homes in May, up from 1,152 in April. They are followed by Iranians and Iraqis. Russians and Ukrainians have bought more than 25 percent of their homes bought by foreigners.

Wealthy Russians are investing in real estate in Turkey and the United Arab Emirates, seeking a financial haven from the war in Ukraine and Western sanctions. Real estate officials say sales to foreigners have risen ahead of a law this week raising the ceiling on the minimum purchase value of a home from $ 250,000 to $ 400,000. Foreigners want to benefit from the government’s scheme to grant Turkish citizenship to those who buy homes.

Home sales to foreigners bring currency to Turkey’s economy, supporting the national currency, which is under pressure.

Real estate officials estimate that in 2021, $ 10 billion went into the economy due to the sale of homes to foreigners, which stands at 58,576 units, notes Agerpres.

Data from May also show an increase in sales of mortgaged properties, by 177.8% compared to the same period in 2021, representing 23.9% of total sales, according to data from the Institute of Statistics.