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Why Alanya Is a Great Location for Rental Income
Alanya, located on the southern coast of Turkey, is one of the top destinations for generating rental income from property in Turkey. With its strong tourism appeal, affordable property prices, and international atmosphere, Alanya offers excellent opportunities for both holiday lets and long-term rentals.
- Year-Round Rental Demand Driven by Tourism
Unlike many coastal towns that slow down in winter, Alanya stays active throughout the year. Its mild climate, beautiful beaches, and modern infrastructure keep attracting tourists and long-term visitors even during the off-season. This means you can earn rental income beyond just the summer months.
Holiday homes near the beach, in the city center, or with sea views are especially popular. Well-located apartments and villas can be rented for several months each year, helping owners achieve consistent rental income.
- Lower Property Prices Compared to Other Mediterranean Cities
Compared to other popular Mediterranean destinations like Antalya, Bodrum, or Fethiye, Alanya offers investors a significantly more affordable entry point. Despite rapid urban development and high rental liquidity, property prices per square meter remain lower.
Several factors explain this: Alanya entered its active investment phase later than other cities, allowing developers to acquire land at lower prices and fostering competition before costs escalated. Luxury development density is also lower than in places like Bodrum or Kalkan, giving the market more breathing room and helping to keep average prices stable. Additionally, many undeveloped plots remain, especially in emerging neighborhoods, which helps balance supply and demand and prevents overheating.
- High Demand Among Foreign Tenants and Digital Nomads
In recent years, the rental market in Alanya has significantly diversified. It’s no longer just about weekly beach tourists - an increasing share now comes from foreigners renting properties for months or even years, along with digital nomads who choose the city as a base for remote work. What draws these groups is Alanya’s accessible cost of living. Compared to Antalya, Istanbul, or European cities, daily expenses here, groceries, utilities, transportation, and rent, are lower. Alanya also supports long-term living with a full range of urban infrastructure: modern public and private hospitals, international schools, language courses, sports clubs, and shopping malls.
Equally important is Alanya’s compatibility with remote work. The city offers stable fiber-optic internet, coworking spaces, and quiet residential areas - all ideal for those working from home. Furnished 1-bedroom apartments, close to the center or the beach, are especially popular among remote professionals. Add to this a well-established expat community - Russians, Ukrainians, Germans, Britons, Iranians. Alanya also offers a safe and pleasant living environment: quiet neighborhoods, well-kept parks and promenades, a mild climate, and greenery year-round, all of which appeal to people relocating from large cities or colder climates.
Short-Term and Long-Term Rentals in Alanya
Choosing a rental strategy isn’t just a matter of profit. In reality, investors must consider a range of factors—from legal restrictions to how involved they want to be in day-to-day management. Alanya offers opportunities for both short-term and long-term models, but each has its own features that need to be understood before making a purchase.
Short-Term Rentals: Short-term holiday rentals can generate high income in just a few summer months. Ideal locations include Mahmutlar, Cleopatra Beach, and the City Center. In these areas, tenants look for walkable access to cafés, markets, and the beach. However, short-term letting requires:
- A legal permission for short-term rental
- A property manager or local partner who handles check-ins, cleaning, and guest communication;
- Listings on Airbnb, Booking.com, etc., with dynamic pricing
Without a system in place, the property won’t generate the expected income. If there's no local management, short-term rentals can quickly become risky.
Long-Term Rentals: Long-term rentals (6–12 months or more) offer stability and less hands-on work. You rent to one tenant, often a family or expat, and receive consistent income. Tenants usually cover utilities and daily maintenance.
This is ideal for foreign property owners who don’t live in Turkey. A local agent can help find reliable tenants and handle paperwork.
While long-term returns are usually lower, the property experiences less wear and tear.
Combining Both Models: Many owners use a flexible rental strategy:
- A studio might be rented nightly in summer and monthly in winter
- A 2-bedroom apartment can be leased year-round for steady income
- In mixed-use areas like Oba or Tosmur, you can switch between short- and long-term rentals as needed
* Tip: The less time you spend in Turkey, the simpler your strategy should be. A reliable local manager and legal compliance are key to success.
Legal Requirements for Short-Term Rentals in Turkey
As of 2024, Law No. 7464 regulates short-term rentals (under 100 days). The main rules include:
- A license from the Ministry of Culture and Tourism is required
- Consent from all co-owners in the building
- A sign showing the license number must be placed at the entrance
- All guests must be registered, and safety standards must be met
Violating these rules leads to fines and a ban on rental activity. Read more about short-term rental regulations.
Best Property Types for Rental Income in Alanya
Choosing the right property type in Alanya depends on your rental strategy—short-term, long-term, or a hybrid approach. There’s no one-size-fits-all answer. A property that works well for tourists might not suit long-term tenants, and vice versa.
- Best Properties for Short-Term Rentals
For daily or weekly rentals, the most effective options are 1+1 apartments or studio flats in areas where tourists can walk to everything. Mahmutlar, Cleopatra Beach, City Center, Tosmur, Oba (lower parts) are the best performing neighborhoods.
These areas have easy access to the beach, cafés, shops, markets, pharmacies, and public transport, which is essential for short-stay guests. Demand in these zones remains steady even during the off-season.
To succeed in this segment, your apartment must be fully furnished and ready to use. A well-equipped kitchen, air conditioning, Wi-Fi, washing machine, and other basics are not optional—they are expected. Guests see these rentals not as homes, but as services. While extras such as pools, fitness centers, or a reception desk can be attractive, the most important factor is still the location. A beautifully renovated flat won’t generate bookings if it’s in an area without tourist infrastructure or regular guest flow.
In the premium segment, villas and townhouses inside resort-style complexes can be highly profitable, especially in areas like Avsallar, Kargıcak, or Türkler. These properties often earn well with just a few monthly bookings, but they require reliable operations - cleaning, guest check-in, maintenance, and overall property management. Without trustworthy local support, a villa can easily turn from an asset into a hassle.
- Best Properties for Long-Term Rentals
Long-term tenants are usually families, digital nomads, or foreigners with residence permits. These tenants prioritize daily comfort and convenience. Neighborhoods such as Oba, Cikcilli, Kestel, and Upper Tosmur are popular for long stays thanks to their proximity to schools, hospitals, supermarkets, and public transportation.
Properties that perform best in this segment are generally 2+1 or larger, with practical layouts, open or closed kitchens, two bathrooms, and storage space. Furnishings should be simple, clean, and functional. Elevators, parking, security, and clean communal areas are all strong selling points. An active property management company also adds value and is often a key factor in tenant decisions.
Furnished flats near international schools or private hospitals are in especially high demand among newly relocated families and staff members working at those institutions.
Rental Yields and ROI Expectations in Alanya
Seasonal Occupancy Trends
- High season (May–October): Occupancy up to 90%, especially for beachfront properties
- Off-season (November–March): Steady demand from expats, digital nomads, and retirees
In long-term rentals, demand is more stable, with some seasonal shifts around school terms or tourism peaks.
What Affects Profitability
Short-term rentals offer high gross income, but costs can be significant:
- Cleaning and management fees
- Consumables and repairs
- Online platform commissions
These expenses can reduce net profit by up to 35%.
Long-term rentals are more cost-efficient. Lower maintenance and tenant stability lead to reliable net returns, even if the rent is lower.
Typical ROI Expectations
- Short-term rentals: Highest income during peak season, especially for well-managed 1+1 units near the beach
- Long-term rentals: Stable yearly income from 2+1 apartments in residential areas
- Hybrid strategy: Offers the best balance—short-term in summer, mid-term in winter
To maximize ROI, align your property type with your rental model, location, and management capacity.
Final Thoughts...
Buying a rental property in Alanya can be a smart move if done right. Whether you're looking for a steady long-term income or high short-term yields, Alanya offers strong potential.
At TERRA Real Estate®, we help international buyers find the right property to match their rental goals. Explore properties for sale in Alanya or contact our team for expert support.