House Prices Don't Drop Immediately

It is a matter of curiosity whether the decrease in foreign exchange will affect the real estate sector. Baris Özgenal, Chairman of the Board of Directors of Karanbey İnşaat, stated that the market has not yet become clear, and that there will not be a serious decrease in housing prices unless the exchange rate is stable.

'We need to follow up for a while'

Özgenal gave information about the effect of the decrease in foreign currency on the real estate market and said, “It is necessary to follow the sudden decrease in the dollar for a while. Will it be permanent or will it be temporary? Because it would be wrong to expect an immediate decrease in material prices. "If the dollar gradually stays at these levels, then we can expect a relief in terms of the market," he said.

'Its not the time'

Stating that it would be wrong to expect a serious decrease in house prices, Özgenal drew attention to the fact that the current houses are built at high exchange rates and high costs, and said, “I do not expect a serious decline in house prices. Although there will be a decrease in housing prices, the time is not now. Too early to say it. In addition, I do not expect a long-term decline in the real estate market, regardless of the decrease in foreign currency. On the contrary, prices may increase day by day," he said.

'Light of hope'

Noting that the biggest problem is the uncertainty in the exchange rate, Özgenal said, “The fall in the dollar gave a glimmer of hope to the entire sector. Before the dollar fell, we could not buy goods with our cash in our constructions. Factories were drawing up-to-date prices every day and had difficulties in supplying goods. However, now we are waiting to see if the decrease in the dollar will affect the material prices. If the dollar stays at these levels steadily, everyone adjusts their pricing accordingly and buys within their budget. It also opens up the market a bit and speeds up construction projects. We are all in favor of this wish, but to speak the truth, it is very difficult to say that the market will revive at the moment. This requires time. We will wait and see for a while.”