A new report by the Turkish Statistical Institute (TÜİK) shows that the country remains a top destination for Iranians and Russian to buy residential properties.

Russians, Iranians, Iraqis, and Ukrainians were the top buyers of Turkish real estate in February, according to TÜİK data.

Foreign nationals purchased 2% of all homes sold in Turkey in February, with Iranians accounting for 200 units, second to Russians with 395. Iranians used to be on top of the list before the Russian invasion of Ukraine in 2022 that led to many Russians leaving the country.

Overall, home sales to foreigners decreased by 44.9% in February compared to the same month of the previous year, reaching 1,846 units. Istanbul was the most popular destination for foreign buyers, followed by Antalya.

The decline in home sales to foreigners is likely due to a number of factors, including the ongoing economic crisis in Turkey and rising inflation. The Turkish lira has lost a significant amount of value against the US dollar in recent years with the currency hitting a historic low in March, with real prices rising faster.

Despite the decline, Turkey remains a popular destination for foreign buyers, attracted by its mild climate, and strategic location.

A senior member of Iran’s parliament said in October 2021 that Iranians bought $7 billion of real estate in Turkey in about three years from 2018 to 2020, with estimates of 3,000 residential units every year.

Iran's Real Estate Consultants Association said in June 2023 that a significant number of housing developers have migrated to Turkey and Georgia, warning of the impact on the local economy.

By buying property in Turkey, Iranians try to protect their capital as the country’s currency keeps falling and hope. They also hope to gain Turkish citizenship and be able to do business without being restricted by US sanctions, which make it hard for Iranians to even open bank accounts in other countries.