House construction

House building slows, not meeting needs


Turkey needs to produce at least 800,000 houses every year to meet people’s housing needs, but the number of building permits granted for housing remained at 262,000 in the first half of 2022.


Faced with the growing need for new homes, the government recently announced that it will soon launch two major projects.

The government will launch what officials describe as the country’s largest ever social housing project to build tens of thousands of homes across all 81 provinces.

President Recep Tayyip Erdoğan will unveil details of the social housing project on September 13, Minister of Environment, Town Planning and Climate Change Murat Kurum said on August 21.

Another large housing project will be launched, led by real estate investment company Emlak Konut.

The government also announced last week that unused offices will be turned into housing to address growing housing market problems. The move means the creation of 50,000 additional houses.

Officials say these projects will help bring down property prices and rents.


As of 2019, domestic supplies are insufficient. In 2016, building permits were granted for 1 million housing units and this increased to 1.4 million units the following year. The number of building permits gradually decreased in the following years, falling to 320,000 in 2019, although it recovered to 555,000 in 2020. Last year, permits were issued for 721,000 homes.

Fewer permits granted

It takes about two years to complete the construction of a building, so the dwellings for which building permits were granted in 2019 are not yet on the market.

The number of building permits granted by municipalities for constructions and housing decreased by 7.5% and 15.3% on an annual basis in the second quarter of 2022, the Turkish Statistical Institute (TÜİK) reported. August 19.

In the first half of this year, a total of 262,000 building permits were granted for housing. The data also showed growing interest in single-detached homes amid the COVID-19 pandemic. Authorities have issued construction permits for 12,000 such homes, with a total of 2.6 million square meters in the second quarter of 2022.

According to the use of the building for which the building permits were granted, residential buildings with two or more units had the highest floor area share with 18.3 million square meters, followed by industrial buildings and warehouses. with 2.9 million square meters.

Meanwhile, as house prices have risen, people are increasingly turning to buying land as an alternative investment, driving up their costs.


The price of land, which is suitable for housing construction, has increased by an average of 83% across Turkey, with increases exceeding 100% in some provinces, including Istanbul, İzmir, Antalya, Muğla and Rize province on the black Sea.