HOW TO BUY IN TURKEY
Buying Property Guide in Turkey
How does it work to buy apartment or house in Turkey?
Below is a summary of the buying process for property in Turkey. One of the most important factors for a successful purchase is to buy from a company that has the right connections and has good knowledge and experience of buying and selling real estate. It is also important to use an estate agent who knows which developers are serious and who will still be there after the purchase.
For Europeans, it may be useful to choose Alanya Eiendom since it is the only company that has staff that with Swedish, Norwegian or Turkish as their mother tongue. The staff also have formal İngilsh Swedish, Norwegian Danısh .Belgium, Holland, Finish,Franch,Deutsche,or Turkish estate agent licenses and many years of experience. Our Turkish owners have many contacts with real estate companies in Scandinavia. If you are interested in an evaluation of your apartment or house, we'll help you with it. We guide our buyers through the entire purchase process and, of course, we make sure that everything is done according to Turkish law.
Many people buy property in Turkey for investment, and some simply to have a nice holiday home in the sun that they can rent out when they are not there themselves. There are many possibilities and the prices are currently very low. There is a really good chance to find something which fits your needs and we will certainly make every effort to get you what you want.
Buying property in a booming market like the one in Turkey is a little different than buying in a more traditional market such as that of Spain. In Spain, there are millions of people from all around the world who have already found their property. In Spain, all the buying processes are developed and tested, and all the authorities have a lot of experience working with real estate. Thus, there are long-standing well-functioning procedures of buying property. This is not the case in Turkey. Here, the lack of experience and established procedures frequently results in delays and confused situations. We in Alanya Eiendom promise to guide you through the whole buying process in a safe and smooth manner.
Buy through a serious business
As we already mentioned, it is very important to buy the property through a serious company. In the Turkish property market, there are some potential pitfalls. One example is that the developer does not have title deeds to the property or has not followed the Building Act. In 2004, the Turkish Daily News reported that in Istanbul alone there are 600 000 illegal dwellings.
As in Sweden, there may be various rights/easements agreements/mortgages which may follow a property. We know the circumstances so you can feel completely confident that something unexpected does not pop up that affects the property and thus the value of the property.
The buying process
When you've found what you want to buy in Turkey, the purchase process will proceed as follows:
If you wish to reserve a residence it will be removed from the market, usually for 2-4 weeks. This is to give you time to perform the necessary checks and authorization for registration of title, loan on the property and so on. Generally you have to pay a fee of 3,000 € to 6,000 € for the reservation. If you do not want to make the purchase because factors affecting the value of the property have arisen, you have the contractual right to receive your money back. Unfortunately there are examples where this has not occurred. However, we in Alanya Eiendom will make sure that you get your money back. However, if you change your mind without a valid reason, you will not normally get your money back. If you choose to complete the purchase, the reservation fee will be deducted from the purchase price.
After the reservation agreement is signed and the required amount has been paid, a survey of all necessary legal documents will be carried out to ensure that they are present and correct. You can choose to use the legal expertise that is linked to our company or you can use your own expertise. If this investigation shows that all necessary documents are available, you sign the sales contract and pay a deposit which is usually 10% of the purchase price. In the case of an apartment in a house under construction, down payment is normally 30% of the purchase price.
After you have paid the down payment, the developer is contacted to apply for the necessary state and local permits to enable the ownership of the property to be transferred to you. When you buy property that is not yet complete (off plan) a special payment plan will be established that follows the progress of the construction process. In this case, the payment will be divided up and the final payment takes place when you have access to your apartment/house
Once all applications are approved and the property is finished the purchase is closed. The buyer pays the taxes and fees that are required to transfer the ownership. After the seller and the buyer have signed the title deeds (Tapu ) at the registration authority, the ownership is transferred from the seller to the buyer.
Financing the purchase
Please contact us if you wish to explore various financing options. We have good contacts with banks in Turkey.
A new European owner of property will get a title deed or 'Tapu'. A Title Deed is an official document proving ownership. To be able to get this document, one needs to apply at the municipal office of the apartment to register the value. Therefore you will need to get a receipt from the tax office for paying the sales tax. Taking this receipt to the 'Tapu' office, after signing some papers, your title deed apply is finished. After a few months you will get your title deed. This shall be taken by yourself or if you're not there, you can use a power of attorney, made by the notary with help of a certified interpreter. With this whole process we will help you.
Title Deed purchase costs
Sales transaction tax
3.3% of the properties registered value will be paid to the Tapu office at one of the state banks by the time value is determined. This may be lower or higher according to the real estate value but will be approximately 1.000 to 3.000 Euros. This figure may sometimes change by a small amount and we are giving our customers information when a change occurs in the Turkish law.
300 Euros for the service is paid to the Tapu office to provide the necessary information and documents such as application maps, translations, passports, etc.
50 Euro is necessary to have a translator to be sure that the recipient has agreed on the transfer of title.
Title deed: the registered document proving the person's property right.
The following information is written on title deed:
The property address of the land.
The title holder with photograph.
The cadastral record information of the land.
The availability of land (status at the cadastral general management).
The square meters the new owner will have.
The numbers of the independent section the new owner will have.
The price of the property.
The population profile of the former owner of the title deed.
The population profile of the new owner of the title deed.
Date of the property purchase by the former owner.
Registration number of the title deed (the number of the title deed changes every hand).
The new record information of the title deed.
Date of the property purchase by the new owner.
The authorized general directorate person's signature and stamp
The annual apartment tax
Within the municipal borders of Alanya every year after you have bought the apartment you will need to pay a small amount of tax under the name of property and garbage taxes. The estimated amount set each year by Turkish law, is 40 euro now.
Report papers called 'ön iskan'
When the civil construction firm completes the construction they report to the mayor of the municipality of the region, who examines all the documents. If the documents are providing the right information, the municipality gives an ön iskan to the builder. This is a task a builder must complete before delivering the apartments.
Occupancy papers called 'iskan'
After taking the ön iskan the iskan of the apartment will be taken by the customer. The costs of this paper are for the account of the buyer.
Electricity and water subscribing
After the apartment is occupied by the owner, he or she takes a copy of passport, a copy of title deed and a copy of the iskan to the municipality of the apartment and applies for water and electric subscribtion on his or her name.
Electricity and water payments
If you use electricity and water in the apartment you bought, you can register a TL account at any bank in Alanya and pay your bills with automatic payments. Alanyaeiendom has a service for all of this and we can help you as a company.