ANALYSING THE HOUSING MARKET STRUCTURE IN ROMANIA AND
    TURKEY UNDER THE GLOBAL FINANCIAL CRISIS EFFECT

                                  Murat Kıyılar, Istanbul University
                                   Ali Hepşen, Istanbul University


ABSTRACT: Housing is the most important asset in the portfolio of most households. For all
households it is an important determinant of quality of life. It is a relatively illiquid investment, with
an uncertain capital value, and it is generally highly leveraged, which makes it a potentially important
channel of transmission of monetary policy. On the other hand, housing finance is a crucial
importance to the macro-economic system as mortgage loans account for a large proportion of
bank lending. Indicators related to mortgage market activities and banks’ exposures to real estate
lending are also useful indicators for monitoring the health of the banking sector. This article aims
to present a comparative analysis of the housing market structure in Romania and Turkey before
and after the global financial crisis.

Keywords: Housing Market, Mortgage Loans, Bank Lending, Financial Crisis, Romania, Turkey

JEL codes: E30, E44, L74, R10, R20, R30