Why invest property in Turkey?
Turkey is now one of the top emerging economies because of its consistent politics and stable inflation rates for the last decade. High lending rates and reasonable prices compared to other investment destinations in Europe make Turkey one of the favorite countries to develop construction projects for international developers and buy properties for investment purposes. Cheaper life costs, beautiful climate and unique beauty of Istanbul are some of the reasons why buyers are interested in buying a house in Istanbul for residential purposes.
Because of a recently approved law, international buyers will have the advantage of 1 year residency permission when they buy a property in Turkey. Global Turkey Property consultants provide all necessary information and guide for new buyers.
Who can buy property in Turkey?
Nationals of these countries cannot buy property in Turkey at all
- North Korea
Restrictions are in place for nationals of the following countries to buy property in Turkey but can still buy real estate in Turkey
- East Timor
Some regions in Turkey have restrictions for nationals of certain countries buying property in Turkey. However these nationals can still buy property in other regions of Turkey.
For example, Russian and Ukrainian nationals can’t buy property along the Black Sea coast of Turkey.
Greek nationals are not allowed to buy property in the Black Sea coast and some Aegean districts of Turkey.
Nationals of the following countries CAN now buy property in Turkey
- Saudi Arabia
Nationals of 31 countries have some restrictions on the type of property that they can buy in Turkey
- Morocco – no agricultural land permitted
- Egypt – no agricultural land permitted
- Latvia – no agricultural land permitted
- Afghanistan – no agricultural land permitted and they need special permission for other types of property
- Albania – can only buy residential property and office space in Turkey. No other type of property in Turkey permitted
Nationals of the following nations need to obtain permission from the Ministry of Interior in Turkey before they can purchase
Foreign nationals of these following countries can buy property in Turkey without any special permissions being needed
- Bosnia and Herzegovina
- Burkina Faso
- Dominican Republic
- Republic of Cote D’Ivoire
- South Africa
- South Korea
- United Kingdom
- Northern Cyprus
What Documentation needed to buy property in Turkey?
To buy a property in Turkey, necessary documents are your passport, passport photos, local tax number and a bank account in Turkey.
Do you need a lawyer?
Even if it is not a legal requirement to hire a lawyer, we advise you to use a lawyer while buying a property in Turkey to save time and have a smooth and stress free purchase process. The cost of a lawyer may vary 1.500 USD – 2.5000 USD depending on the lawyer. The lawyer can also go through the paper work after buying the property like TAPU (title deeds) and Iskan (habitation license).
What is the buying procedure?
Registering the title deed on your name and get the final TAPU (title deed) takes between 1-3 months.
After signing the reservation contract, copies of the buyer’s passport and other documents will be sent to title deed office and they send the official papers and copies to Military Head Office to be checked if the property is in Military Zone or not. This stage takes 1-3 months. After the approval of the permission from Military, necessary fees and taxes are paid to the authorized bank and to tax office. The official receipts of the payments are declared during the transaction in the Title deed Registry office and both buyer and seller sign the title deed registry book under the supervision of an official interpreter. You can give power of attorney to a solicitor to sign on behalf of you if you won’t be present during title deed transfer.
How can you rent out your Turkish property?
There are many letting agencies in all areas in Istanbul. You can choose to work with the agencies specialized in the area of your property located or Global Turkey Property can help you to find a tenant for your property. The rent prices differ according to the type of property and location. But it is a true fact that many buyers achieve between 6% to 10% rental yields per annum.
How can you get a Turkish work permit?
Once you get your residency permit in Turkey, you can start the process of getting a Turkish work permit if you want to work in Turkey. The documents you need to apply for work permit are four passport sized photos, photocopies of your passport showing your photo and expiration date and last stamped entry page. When you prepare these documents, the Turkish company who is looking to employ you will need to apply to the Ministry for Labor and Social Security on behalf of you. You cannot obtain a Turkish work permit without a company in Turkey sponsoring you.
How can you set up a business in Turkey?
Turkey has attracted many foreign investment because of its unique trading location between Asia, Europe and Middle East. International companies choose to operate their businesses and run their offices in Istanbul where is the major city of Turkey.
There are a number of options to open a business in Turkey like collective companies, joint stock companies, commandite companies (meaning a business run under a trade name), liaison offices and private limited companies. Private limited company can be set up by two or more non-Turkish nationals. The cost of private limited company is a total of 5.000 TL and takes 1 week to 10 days. You will need to hire a solicitor to register Trade Registry Office and organize your tax. You can seek advice from lawyers and from The Turkish Embassy for detailed information.
What businesses can a foreigner set up in Turkey?
There are a number of businesses that foreigners need prior approval from the Ministry of Commerce and Industry such as banks, factoring, private finance institutions, exchange offices, public warehousing and operators of free trade zones as well as companies subject to Capital Markets law. The most preferred business by foreigners and expats are tourism, servicing, bars, restaurants, hotels, holiday lettings, real estate and shops.
Please Note: Please keep in mind that the information provided on this website should not be taken as legal advice and is intended for guidance purposes only.