Gold is a precious metal that retains its value over time and it is considered a haven asset in periods of economic and political turmoil, for its part, real estate represents a fixed asset that increases in value with time and provides opportunities for sustainable financial returns, and although both investments carry important opportunities and benefits, each has its differences and advantages and in this article, we will look at the differences and advantages of investing in gold and investing in real estate in Turkey, which can help investors make an informed investment decision that is consistent with their goals and financial needs.
Investment differences in gold and real estate in Turkey
- The value of gold is affected by fluctuations in the global gold market and global economic and political factors and the value of gold can increase or decrease significantly in a short period.
- The value of real estate in Turkey depends on local factors, supply and demand in the Turkish real estate market and real estate is usually a long-term investment and may increase in value over time
- Gold is usually considered a haven during times of economic or political turmoil and gold can bring high returns in times of crisis, but it may not provide regular income.
- Real estate in Turkey provides multiple investment returns, such as monthly rents or returns from sales, as investment in real estate generates regular income and may increase in value over time.
- Gold is considered a less risky investment in light of the volatility of financial markets, as it is considered a safe store of value.
- Investing in real estate carries a slightly higher level of risk and the value of real estate may be affected by changes in the local real estate market.
Advantages of investing in real estate in Turkey
- Turkey has been witnessing strong growth in the real estate sector over recent years. Infrastructure has developed and foreign investments have increased, which boosts the demand for real estate and increases its value.
- Turkey has developed laws and policies that encourage investment in real estate for foreigners, facilitating the purchase and ownership process for foreign investors.
- Investing in real estate in Turkey can achieve high and sustainable returns and properties can be rented to tenants and generate a fixed monthly income, in addition to increasing the value of the property over time.
- It enjoys geographical and cultural diversity, which provides various investment opportunities in real estate, whether it is residential, tourism, commercial, or industrial.
- There is a strong demand for real estate in Turkey by local and foreign investors, whether you are targeting an active local market or targeting foreign investors, there are ample opportunities for good returns.
- Turkey has a developed infrastructure that includes modern roads, transportation networks, and integrated public facilities and this makes real estate in Turkey attractive for investors who are looking for comfort.
- Obtaining Turkish citizenship by purchasing a property in Turkey worth $400,000 and granting it to the investor's wife and children under 18 years old.
- Obtaining a real estate residency by purchasing a property worth $75,000, with the condition of undertaking not to sell for 3 years.
- Benefit from the tax incentives granted by the Turkish government to those wishing to invest in real estate in Turkey.
- The real estate market in Turkey is characterized by diversity, as you can buy villas, penthouses, triplexes, duplexes, studio apartments, and hotels.
- The country has many educational facilities, including local and international schools and universities, that offer educational curricula in the best ways and the latest technologies.
- Real estate prices in Turkey are reasonable compared to the prices of apartments and real estate in neighboring European countries.
- The presence of facilitating factors for real estate investment in Turkey, such as the possibility of buying a property in Turkey in installments or buying a property under construction.
- Obtaining a Turkish passport after granting you Turkish citizenship and enjoying the rights of a Turkish citizen, freedom of travel and movement, and entry to more than 100 countries without needing a visa.
- The Turkish government is working to invest in infrastructure projects that work for the benefit of foreign and Arab investors wishing to invest in real estate in the real estate sector in Turkey.
Advantages of investing in gold in Turkey
- Gold is considered a haven asset and usually maintains its value in the long term and in times of economic or political turmoil, gold is one of the few assets that can either maintain its value or increase in value.
- Gold can be bought and sold easily in the financial markets and goldsmiths shops in Turkey and gold is available in a variety of sizes and weights, including small pieces such as coins and earrings.
- Gold is a natural buffer against inflation, as it can rise in value when inflation increases and currency strength decreases.
- Gold can be stored easily and securely, whether it is in your home or a bank safe and gold is an investment that can be protected against theft or natural disasters.
Factors affecting real estate prices in Turkey
- The demand and supply of real estate are among the most important factors that affect their prices and when there is strong demand for real estate and limited supply, that demand increases prices on the contrary, if there is an excess of supply or a decline in demand, this can lead to a decline in prices.
- The performance of the economic sector is closely related to real estate prices and when Turkey witnesses strong economic growth and stability, the demand for real estate increases, and this leads to higher prices, conversely, in the event of a slowdown in the economy or there are economic tensions, demand may decline and prices will fall.
- Government policy plays an important role in determining real estate prices and government decisions related to regulation, real estate legislation, and taxation can affect the real estate market and, in turn, prices.
- Urban development and infrastructure improvement in real estate areas affect the value of the real estate and the development of public facilities, roads, transportation, and commercial and recreational facilities enhances the attractiveness of the area and increases the demand for real estate in it, which leads to an increase in prices.
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