Turkish voters had for the first time cast ballots for both president and parliament in high-stakes polls that saw Erdogan win 52.5 percent in the presidential poll, based on a 98 percent vote count.
Turkey's presidential and parliamentary elections on Sunday have ushered in a new executive presidency that was approved in a 2017 referendum.
Turkish President Recep Tayyip Erdogan and the AK Party-MHP People's Alliance declared victory with more than 98 percent of the votes counted, according to unofficial results.
Around 87 percent of the 56,322,632 registered voters cast their ballots, making it a two percentage point increase in the turnout as compared to the 2015 elections.
Celebrations erupted outside President Erdogan's residence in Istanbul and AK Party headquarters in Ankara, with crowds of flag-waving supporters revelling on the streets.
Celebrations also erupted in the Kurdish-majority city of Diyarbakir, with people setting off fireworks into the sky, as supporters rejoiced over the HDP's 11.5 share of votes, well over the 10 percent minimum threshold needed.
The votes helped the party win 67 seats, which would make the party the second largest opposition faction in the new chamber.