Housing sales are falling in Istanbul, the crisis is deepening

In Turkey, buying a new house is almost a dream for low- and middle-income people. Deputy Secretary General of Istanbul Metropolitan Municipality (IMM) Buğra GökceHe said that the dispossession caused by the increase in housing prices is reaching the level of a humanitarian crisis.

Drawing attention to the data on housing prices, Gökce emphasized that increasing rent and sales prices prevent workers from owning a house.

Gökce noted that, according to Endeksa data, the average rent for a 100 square meter house in Istanbul is 17,111 lira. “In other words, he can only cover 67 percent of the housing rent with his full minimum wage salary. In Ankara, this rate is 82 percent, in Izmir it is 75 percent.” said.

“WORKERS CANNOT BECOME A HOME OWNER”

Emphasizing that due to the increase in housing prices and housing rental prices, working people cannot own a house. Gokce“While they are selling their houses due to increasing needs, the sold houses are bought by foreigners or high capital owners who already have more than one house. That is why the house ownership rate dropped from 73 percent in 2002 to 56 percent,” he said.

Noting that it has become impossible to live in metropolitan cities due to insufficient wages. Gokce, “It is becoming increasingly impossible to rent a house, let alone buy a house. That’s why migration from Istanbul to Anatolia is accelerating,” he said.

“THERE ARE TWO ASPECTS TO THE HOUSING CRISIS”

Emphasizing that while those employed in critical sectors such as the production and service sectors migrate to other cities because they cannot make ends meet with the income they earn, they may face a serious employment crisis that will affect production in important sectors that create employment and production. Gokceused the following statements:

“The housing crisis in metropolitan cities has two aspects. First, while those employed in critical sectors such as the production and service sectors migrate to other cities because they cannot make ends meet with the income they earn, our important sectors that create employment and production are also faced with a serious employment crisis that will affect production. The increase in costs Turkey’s production power or competitiveness decreases because it increases inflation and average living expenses and because the public administration does not protect the rights of workers with the right policies. Just like in the meat, milk, egg, cheese, vegetable and fruit sectors, prices in other sectors are due to the decrease in production. “Increases await us in the coming period.”

??Housing sales are falling, the housing crisis is deepening.

The housing crisis we are experiencing is about to turn into a humanitarian crisis that will affect our survival. So why?

??Data first:

?? Housing sales decreased by 8.7 percent in October compared to the same month of the previous year.

?? Nevertheless… pic.twitter.com/OQrvKJ4hNd

—Dr. Buğra Gökce (@gokcebugra) November 18, 2023

WHAT SHOULD BE DONE FOR A SOLUTION?

In his post on the “X” account, Gökce listed his solution suggestions as follows:

“We have been writing and saying for a while. The state needs to intervene in the housing market with rational and scientific methods. Until now, institutions such as TOKİ and Emlak Konut have preferred to produce luxury housing and transfer rent to producing social housing. However, the right to housing in the Constitution allows the state to prevent population growth and It gives us the task of protecting the right to housing by taking steps according to needs. We need a multi-dimensional, planned, programmed and rational social housing production.

We expect the decision-makers in the authorities to put everything aside in the face of this situation and act with a spirit of mobilization by taking action in coordination with local governments and civil society through participatory and transparent processes. We have to find and implement solutions before a more terrible picture emerges. “

?? The housing crisis is especially brutal for retirees and those working in insecure jobs. Unfortunately, we see in the national press that every day an increasing number of our elderly citizens are being evicted from their homes because they cannot pay their rent. If this increase continues, Türkiye will be homeless and will have nowhere to go…

—Dr. Buğra Gökce (@gokcebugra) November 18, 2023