FAQ About Property in Turkey
FAQ about buying property in Turkey
When looking to buy property in Turkey, you will no doubt have a number of questions to consider. We will be more than happy to discuss the purchasing process with you either on the phone or in person but to help you get started we have shown some of the most frequently asked questions below:
Q: Can I get residence permit in Turkey (İkamet Tezkeresi) if I buy a property in Turkey?
A: Every foreigner can receive residence permit for 1 year (every year renewed with Tapu) until you sell your property.
Q: Do I need to get a residence permit in order to buy a property in Turkey?
A: No, you don’t need a residence permit to buy a property in Turkey!
Q: Are there any restrictions for foreigners when purchasing property in Turkey?
A: Only in rural areas and military zones. In the developments that we promote there are no restrictions imposed.
Q: Will the property in Turkey be freehold property?
A: Yes, all properties we sell in Turkey are freehold property.
Q: Can foreign companies buy property in Turkey?
A: Yes, but it is a complicated and lengthy process that requires ministers council approval which rarely happens. Foreign companies should therefore establish a Turkish subsidiary enabling them on an equal footing with other Turkish companies and citizens to buy and sell properties. TERRA Real Estate can help you to establish a Turkish company.
Q: Can my company establish an investment company in Turkey?
A: Yes. If you wish to invest in Turkish properties through a professional entity in Turkey TERRA Real Estate can help you to establish a Turkish company.
Q: Who sets the price of the property?
A: If you are purchasing a property on a new development, the price will be set by the developer. Otherwise the owners define the prices of their properties for sale. Whether or not an agent is involved in the purchasing process you will pay the same price for the property. Thus it’s preferable for any buyer to buy through an authorised & registered agent in order to ensure that buyer’s interests are taken into consideration.
Q: Can everybody sell property in Turkey?
A: NO! In order to Turkish law only certified and registered real estate agents can mediate and offer brokerage services. TERRA Real Estate is an authorised and certified real estate agency registered at Alanya Chamber of Commerce and Industry (ALTSO). Read more about ALTSO >>>
Q: What is the Real Estate Agent Service fee?
A: Whenever a property is sold, registered and certified real estate agents are entitled to receive 3% service fee based on the actual sales price of the property from the purchaser and the property owner separately. However, TERRA Real Estate Ltd does not require any commission or service fee from buyers unless stated otherwise
Q: Why should I use a real estate agent?
A: Going through an established Estate Agency like TERRA Real Estate has several advantages. First of all you will get to see a wide range of properties that match your criteria and not just one specific developer’s. Secondly, you will have the benefit of our international standards and experience in addition to a fully staffed office to support you both in Turkey and back home.
Q: Who can buy property in Turkey?
A: All nationalities can buy property in Turkey except of North Korea, Armenia, Nigeria, Cuba, Yemen and Syria. Please find detailed information at Ministry of Foreign Affairs >>>
Q: Can foreigners loan money in Turkey?
A: Yes. When applying for a mortgage loan you will need to document your income whether in your home country or elsewhere. TERRA Real Estate will assist you to obtain best financial product/solution at the current market conditions. There are some high street banks in Turkey where you can obtain mortgage on the property you buy in Turkey. Read more about Mortgage in Turkey >>>
Q: On a new development, what is the average deposit required? Can I pay in instalments?
A: You will normally pay approximately 2-3,000 Euro reservation fee and then 30% as a down payment within four weeks from signing the purchasing contract. Most developers offer stage payments (lump sum to be paid at the completion of each building phase) often with a degree of flexibility towards your personal circumstances. This will be agreed at the time of purchase.
Payment terms are in most cases negotiable with the property seller/owner or the developer.
Q: What is the general buying process in Turkey?
A: After paying the reservation fee, TERRA Real Estate will carry out the title deed checks. A contract will be drawn up between the seller and the buyer. This will give the details of the completion date, payment schedule, terms & conditions. When this is signed by the parties, the down payment is paid. You then apply for a security clearance to allow you to own a property in Turkey – this will often be applied for you on your behalf by the developer or TERRA Real Estate. You can sign a Power of Attorney at the notary public to conclude all the necessary paperwork if your circumstances require so. When security clearance is obtained you (or your attorney) will sign a deed of transfer in front of an officer of the Land Registry Office who then records you as the official owner of the property.
Q: What documents are required?
A: A copy of your passport translated into Turkish, 4 passport sized photos and a Turkish tax number to be able to purchase a property in your name. TERRA Real Estate helps you to obtain a Turkish tax number from the local tax office.
Q: Are there English speaking lawyers in Turkey?
A: Yes, there are English speaking lawyers and we can introduce them to you during your viewing trip.
Q: What are the costs associated with buying property in Turkey?
A: The costs related to buying property are in general around 4% of the value of the property.
Q: What should I expect to pay in maintenance charges?
A: This varies from development to development between 120 – 900 Euro per annum depending on size & facilities at the complex or community. In most cases for a 2 bedroom apartment it is 50 Euro/month. TERRA Real Estate will inform you about this matter before purchasing.
Q: Are there any ongoing taxes?
A: State property tax and environmental cleaning tax. However, these are relatively low and mostly less than 100 Euro all together.
Q: Can I insure my property?
A: Of course. TERRA Real Estate will help you to insure your property at most favourable rates
Q: Can I rent out my property?
A: Yes. The main season is from April to October but you should still be able to rent it out over the winter months at lower rates
Q: What about furnishing my property?
A: Some few developers offer furnishing packages. Besides, TERRA Real Estate assists you without any extra cost to purchase any items to furnish your property.
Q: How does the general cost of living compare with Western Europe?
The general price level for fast-moving consumer goods is up to 50% lower than most Western European countries. Although, some luxurious goods might be more expensive than in your country.
Q: What is the government system in the country?
A: Turkey is a republic governed by parliamentary democracy and member of NATO and in the process of accession to EU. The country is already member of the European Customs Union.
Q: Is there property management service?
A: Yes, some developments are managed by professional companies, whilst others by developers or the owners themselves.
Q: How can I be protected agains exchange rate movements?
A: Almost all listings and property deals are in € or USD in order to prevent all parties against exchange losses equally. On the other hand in case you prefer to make a deal with another convertible internationally traded currency (GBP, CHF, DKK, SEK, NOK etc.) to protect yourself against exchange rate fluctuations TERRA can assist you to secure a rate fixed on the date of signing the sales agreement.
Q: What other services does TERRA Real Estate offer?
A: See the range of services offered by TERRA Real Estate
Q: What about viewing trips?
A: TERRA Real Estate offer an viewing trip that includes; flight with return ticket, transportation from and to Antalya Airport (or desired airport) and 3 nights hotel with half board. We design your viewing trip around your needs, budget and at your pace.
Read more about Viewing Trip to Turkey