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Are you a foreigner interested in buying property in Turkey? As an attractive destination for vacation homes and investment properties, Turkey attracts buyers from across the globe. However, the buying process for international purchasers naturally brings up many questions.

This FAQ guide will address common queries on everything from legal considerations to usage, costs, working with agents, and more. Read on for insider tips from local experts!

Buying Property Basics

Let's start with the fundamentals of purchasing real estate as a foreigner in Turkey.

Can foreigners buy property in Turkey?

Yes, Foreign buyers from almost all countries can purchase property in Turkey without restrictions, making the process open and accessible.

What are the restrictions on foreign buyers?

The purchase of property in Turkey is restricted to citizens of certain countries, with Syria, Armenia, Cuba, and a few others being excluded. Military and strategic areas are also off-limits.

What types of properties can foreigners purchase?

Foreigners have the opportunity to make a diverse range of investments in real estate, including apartments, villas, shops, commercial properties, land, farms, and even large-scale ventures such as hotel acquisitions, demonstrating the favorable and inclusive nature of property acquisition regulations for non-residents

How does the buying process work?

In the realm of real estate transactions, there are numerous arduous tasks to fulfill in order to ensure a smooth and legally binding sale.

Legal Considerations

Turkey has some specific laws that foreign buyers should be aware of:

Do I need a residence permit to buy in Turkey?

No, According to the regulations in Turkey, it is not mandatory for foreigners to possess a residence permit in order to engage in real estate purchase transactions This can be obtained after buying.

Is the property freehold or leasehold in Turkey?

Properties in Turkey are typically sold on a freehold basis, which grants buyers full ownership rights and provides them with a sense of security and peace of mind when it comes to their real estate investments.

Can foreign companies buy property in Turkey?

In order to conduct business in Turkey, it is mandatory for foreign companies to establish a Turkish company subsidiary as a legal entity.

Do I need a Turkish company to purchase a property in Turkey?

While it is indeed possible for individuals to purchase property directly without involving a company, it is worth considering that some may choose to go through a company for tax and liability purposes.

Costs & Taxes

Turkey has competitive property taxes compared to many countries:

What taxes and fees are there when buying a property in Turkey?

Buyers are required to pay various fees when purchasing a property, including a title deed fee, acquisition tax, and VAT. Legal and notary fees also apply. Total transaction costs are around 4%.

What are property taxes in the Turkish real estate market?

in order to maintain the proper functioning of community infrastructure and support environmental initiatives, a small, nominal annual property tax and an environmental tax are implemented These are usually under $100 for an apartment.

What are the maintenance fees?

Based on the amenities provided to residents, the maintenance fees for this particular property range from $100 to $300 per year.

What are the closing costs for owning a property in Turkey?

When purchasing a property, it is important to consider all of the associated expenses, including but not limited to appraisals, inspections, and loan fees, which typically amount to approximately 1-3% of the purchase price.

Financing & Payment

Foreigners have options when it comes to funding and payments:

Can I get a mortgage as a foreign buyer for a property?

Foreign individuals have the opportunity to qualify for Turkish mortgages by providing the necessary documentation of their income, as Turkish banks recognize and accommodate international borrowers.

What are the down payment options?

Buyers, in accordance with standard practices, generally provide a down payment ranging from 10% to 30% of the total purchase price.

Can I pay in installments?

When it comes to financing options, many developers offer installment payment plans, particularly for new builds, with specific schedules depending on the developer's overall plans and objectives.

What currencies can I use?

The majority of listings on our platform are denominated in either USD or Euros, however, we strive to provide flexibility and convenience by allowing our users to transact in other major currencies as well.

Working With Agents

Local agents are a valuable resource:

Should I use a real estate agent?

Real estate agents are not only equipped with immense experience in navigating complex regulations and negotiations, but they also possess the invaluable advantage of having access to listings that are not openly advertised elsewhere.

What is the commission structure?

Commissions of 2% are typically split between the buyer's and seller's agents, as this is a customary practice within the real estate industry. Many agents waive the buyer's portion.

How do agents help me?

Real estate agents provide comprehensive assistance throughout the entire home buying or selling process including viewings, paperwork, price negotiation, legal issues, property checks, financing, furnishings, and more.

Usage & Ownership

Once you've purchased an investment or vacation property, here are tips on managing it:

Can I rent out my property?

Indeed, it is possible to lease out real estate in Turkey, where the tourist season typically spans from April to October and experiences decreased demand during the winter months.

Are there management services?

When it comes to managing rental properties, there are a variety of options available to property owners and many complexes have on-site managers. But you can also hire third-party companies to oversee rentals, maintenance, etc.

Can I insure my property?

In order to protect your property from damage and liability, you should insure it. It is possible for agents to connect you with English-speaking insurance brokers if you need them.

How do I furnish it?

There are some developers who offer furniture packages as part of their development. You can also shop for furnishings and decor locally if you wish. It is possible to get assistance from an agent as well.

Living in Turkey

Get to know more about your new second home:

What is the cost of living?

Compared to many comparable European countries, Turkey enjoys a low cost of living, with prices depending on the region about 50% lower.

What are the schools like?

There are numerous private and international schools in Turkey, but it should be noted that public schools teach in Turkish only.

How does healthcare work?

Although emergency care is covered by the government system, private hospitals are able to provide services beyond what the government system covers.

Conclusion

I hope this FAQ provided a helpful overview of what foreign buyers need to know about purchasing real estate in Turkey. With its natural beauty, strong economy, and wealth of housing options, it's an alluring place to invest.