PROPERTY PURCHASE PROCEDURE IN TURKEY
At Yalihan International we encourage a hands on buying process with our clients. Offering to introduce the vendor and buyer to ease our clients minds. This also emphasises our total honesty within the selling process. We advertise and sell properties with all legal aspects on the title deeds being verified. We will assist you throughout the process to ensure a safe and legal transaction.
The information below is provided as a guide during standard real estate purchase in Turkey:
1. Viewing. Consider your long term goals. Is the property an Investment opportunity or are you purchasing as a holiday or retirement home for the future?. Your search should then be defined to your chosen location. Consider your budget and then allow us to show a carefully chosen selection of properties tailored to your specific requirements. 3 day viewing trips can be organised by our company, including return flights and min 3 star hotel accommodation for 2 nights, the cost of which will be reimbursed on completion of a purchase sales contract. Further information is available upon request.
Virtual viewing is now available. Due to changing times we have adapted to continually meet our clients needs remotely. It is now possible with our latest technology to offer virtual tours of both location areas and individual properties. Contact us to discuss your requirements, we will then comprise a list of suitable properties and schedule a virtual tour where you can view the properties and location areas from the comfort of your own home.
Documents required: Passport, 2 passport photographs 4 x 6 cm, proof of address (Driving licence or 2 utility bills)
2. Valuation report, reservation agreement and deposit. Once you have located your chosen property we will arrange an independent valuation from the municipality and supply a legally binding contract.
The Valuation Report will include photos of the property, location map, confirmation of the value, current debt situation and confirmation of acceptance with the land registry. This legislation is applicable to all foreigners purchasing property in Turkey.
A contract is then notarised and the charge on the property is then registered at The Land Registry Office to secure our clients assets and funds. This system replaces the Client Indemnity Protection which is not available in Turkey. A deposit is taken which secures the property in your name, at the agreed price and removes it from the market.
3. Appointing an independent lawyer: We highly recommend you appoint an independent English speaking lawyer to advise you. A list is available from your consulate or we may assist you with a choice locally.
4. Power of attorney (POA). If you are unable to attend in person for the legal process it is possible to appoint a legal power of attorney to act on your behalf. The POA is a standard document in a format specified by the Notary for the purchase of the property only within your name. It is then translated by an authorised translator. We recommend this process only if it is impossible for your personal attendance and advise caution in your choice of POA . Legal advice is recommended.
The POA will allow: Application for the purchase of property in Turkey (specific or general). Signing of purchase contracts. Opening bank accounts in Turkey. Obtaining tax number on your behalf. Obtaining deeds on your behalf. Connection and registration of Utilities (Water/Electric). Payment of taxes on your behalf.
The POA is executed whilst you are present in Turkey within normal business hours Monday to Friday and will require a notarised and translated copy of your passport which we can arrange.
5. Procedure of military clearance: Foreigners are restricted from purchasing properties within military zones in Turkey. Unless a clearance certificate is still valid from a previous foreigner you will be required to gain clearance. We will complete this simple transaction on your behalf. The process may take 2 - 4 weeks to complete and then the purchase may proceed.
6. Transfer and registration of title deeds: Following military clearance the final payment will be due. We will then arrange transfer of the title deeds at the Land Registry Department where a local translator and if you requested an independent lawyer will be required to assist you if you are completing the sale in person. At the same time the transfer of funds will be completed to the vendor. Both the buyer and the vendor (or legal POA) must be physically present for this process. However, as of 15th September 2020 it is possible for the buyer and seller to transfer the title deeds from land registry offices in different provinces at exactly the same time. Extra fees are applicable to the land registry for organising a distant transfer.
From January 2022 a new regulation has been implemented for foreigners purchasing property in Turkey. All foreign currency for the purchase must be exchanged to Turkish Lira via the Bank of Turkey where you must obtain a Foreign Exchange Purchase Certificate as proof. This will then be submitted to the local Title Deeds ofice along with your other documentation. (If POA is issued to for someone to act on your behalf, the POA must include the authority to obtain Foreign Exchange Certificate).
Property tax - 4% of the declared value of the property is payable to the government on completion of sale this is divided equally between the purchaser and the seller.
Agents fees - 2% of purchase price for both the buyer and seller. (4% in total)
Valuation appraisal report - Variable from 450 Euros
Legal, Translation and Notary Fees - depending on POA. Starting from 700 Euros.
Military Clearance Fees from 150 Euros
Earthquake Insurance (Dask) is a legal requirement as is a nominal amount dependant on the value of the property and SQM.
Lawyers Fees if applicable - approx 1% of sale value, can be negotiable.
VAT of 18% (to be added on). This is on the sale of a new residential building over 150SQM, if the seller is a construction company. ( Below 150 sqm is between1-8%). However, for foreign nationals VAT rate has been reduced to 0% effective from January 2017.
A further Valuable House Tax incurs the following extra tax payment above the base level tax rate which is determined by the official land registry valuation. payments can be made in two equal installments in February and August of the relevant tax year.
5.25 - 7.87 million TL 0.3 % tax above base level.
7.87 - 10.5 million TL 0.6 % tax above base level.
Above 10.5 million TL 22,500TL plus 1% above base level.
Please be aware if the property is old within 5 years of purchase a capital gains tax is payable.
Please be aware that some prices on our website are based on currencies other than Euros, eg. Turkish Lira or USD. This may alter the price quoted on our website when converting with current exchange rates.
Foreigners who purchase a property in Turkey are eligible to apply for a Turkish Residence Permit if the property purchase price exceeds $75,000. Initially this is normally granted for a period of 2 years and re applications maybe available for longer. Please check the area you are purchasing in is open to new residence permit applications. A residence permit is required if you wish to purchase a motor vehicle and import personal goods through Turkish Customs. Any person intending on staying longer than 90 days in a 180 day period will require a residence permit.
We can assist you in the process of this and further information is available upon request.
It is also possible under recent new legislation to obtain Turkish Citizenship. Foreigners who invest a minimum of $500,000 in Turkey or deposit a minimum of $500,000 in Turkish banks or buy real estate worth $400,000 or above can acquire the right of lifetime citizenship. Foreigners who commit to keep their investments, deposits or real estates for at least three years earn the right for citizenship instantly. The investment should be for a ready title deed on a complete or near completed property. The Turkish Gov't will send a surveyor to confirm the actual value of the property against the title deed value. Once the relevant paper work is completed the deeds office will place a charge over your property for 3 years. Upon completion of the 3 years the charge will be removed and a sale would then become possible if you desire. The application process can take 3 - 6 months and citizenship maybe granted to you, your spouse and children under 18 years. Further guidance and assistance in the application is available upon request.
OTHER SERVICES AVAILABLE
PROPERTY MANAGEMENT AND RENTAL SERVICES
For clients who have purchased property, renting it out is possible in order to maximise your investment. The longer you let your property the greater the potential income. Rental income depends on the size and location of your property. Yalihan International can undertake the rental of your property and we will advertise the property under the rental section of our website.
Our services include:
Security Checks - Our property management team will ensure your investment is safe guarded by making routine property checks and reported to you. Any essential or emergency repairs can be organised on your behalf.
Cleaning Services - We are able to arrange cleaning prior and after your property is visited by either yourself or guests. Laundry services will be provided for bedding and towels. A daily or weekly cleaning clean can be arranged during the stay.
Welcome Pack - We can arrange a welcome pack consisting of essential and luxury food items for yourself or guests.
Floral Services - If you desire fresh flower arrangements for your property or for special occasions. Purchase and delivery can be organised.
Garden + Pool Services - We will ensure your garden and pool are maintained in excellent condition.
Airport Transfers + Car Hire + Limousine Services - Competitive prices are available from our team for rental, excursions and transfers.
Further information is available directly from our English speaking representatives at Yalihan International.
DESIGN AND CONSTRUCTION
Yalihan International have a team of highly skilled and experienced architects and builders at your disposal should you decide to build your dream home to your own specifications. We can source land parcels available and apply for all building permissions and licences on your behalf.
ALTERATIONS TO PROPERTY
Should you decide to make any alterations or extensions to your property we will supply a quote for the services you require and regular progress reports upon request.
Our portfolio includes:-
General Building Construction + Extensions
Bathroom + Kitchen Installations
Closure of Terraces + Balconies
Tiling, Painting, Plumbing + Electrical Work
Construction + Design of Swimming Pools, Jacuzzi's + Hot Tubs
Interior Design Projects