The aim of this research is to examine the determinants of regional housing demand in the NUTS-II regions of Turkey during the 2010-2017 period. It was decided to use the spatial econometric methods in the research analysis, since the presence of spatial effect which is arising from neighbourhood relationship between regions. The weight matrix was created within the framework of queen neighbourhood. According to the analysis findings, the income elasticity of regional housing demand varies

more »

... en 0.790-1.400. In addition, it has been determined in the analysis findings that the price elasticity of regional housing demand is between 0.014-0.019. The fact that the price elasticity of regional housing demand is in a positive value range close to zero indicates that households perceive the house as an investment good as well as consumption good. The positive effect of regional industrialization level, regional population growth, and regional enterprise numbers on the regional housing demand is another finding obtained as a result of the research. As a result of the research, it is recommended that policy makers make policies to transfer their investment to industrial sectors that will create added value instead of the housing sector.