Istanbul based property consultants, Universal21.com, highlight how far property prices have risen in Istanbul since 2010 and the potential for further growth in 2014.

Istanbul’s property market shows no sign of cooling according to Istanbul property consultants Universal21.com. If anything, the pace of growth in Istanbul has quickened in recent months as both local and foreign investor interest in investing has increased.

In August this year, the price of a new home in the city had risen by an average 2.66% in a month on the way to an overall 13.80% increase for the year. This is more than 1% higher than Turkey’s national average of approximately 12% in the same period.

Monica Anca, Director of Universal21.com commented, “For those investors who purchased property in 2010, the past three years have brought year on year increases of between 12 and 15%. There are few property markets in the world that could match this level of property price inflation.

There is still time to make a move and invest in Istanbul with more growth expected in the coming months. We are seen an increasing number of investors from the Middle East arriving in Istanbul as a result of the market opening up to foreign investors more than a year ago.

Previously it would have been more difficult for investors from some countries to purchase property in Istanbul, however with restrictions eased this has helped fuel a second spell of double-digit growth in the city.”

According to Istanbul real estate analysts Gyoder’s Home Price Index, property prices in Istanbul have risen an average 41% since January 2010. Assuming that the current pace of property price increases is maintained – Istanbul could well reach the 50% milestone within the next 6 months say analysts at Universal21.

Studio and 2-bedroom apartments currently offer the best capital growth in Istanbul however says Adil Yaman, Director and market analyst at Universal21, “Investors should employ the services of a local agent before deciding to invest in the city. As with any city, investors should proceed with caution and make sure they know as much as possible about where they are investing, including the likely rental yield and demand in a particular area.”