Buy a Property in Turkey Without Paying Taxes – Learn How!

In 2017, the Turkish government, aiming to make the country more attractive to foreign investors, abolished VAT (Value Added Tax) on real estate purchases made by foreign buyers.

Of course, in order not to pay VAT, foreign property buyers must meet specific criteria:

- Purchase the property using a foreign currency.

- The property should not be sold within three years after receiving the ownership certificate (Tapu) to avoid resale tax and to retain the citizenship acquired through the property purchase.

However, there is a crucial point to consider: to qualify for Turkish citizenship, an investment of at least $400,000 in Turkish real estate is required. It doesn't matter if you buy one or multiple apartments for this amount. Only the purchase of the first apartment is exempt from VAT; subsequent purchases require payment of the tax. Considering that apartments are usually acquired for investment, it makes sense to pay the lowest possible price. How can this be achieved? There are two options:

Certain properties are included in the "City Renewal" program, which allows both foreign and Turkish buyers to benefit from VAT exemptions. However, finding these properties can be challenging, especially for those without experience in the market.

Experienced real estate agents can offer deals where developers cover a significant portion of the VAT, reducing the tax rate from the standard 20% to either 1% or 10%. These exclusive offers are not easy to find independently, as they require in-depth knowledge of local constructions and their promotions and special offers.

To optimise your savings and simplify the process, we recommend using the experience of ID Realty specialists. We will identify a property that aligns with your specific requirements and secures the lowest tax rate for you. Furthermore, our services do not involve any extra charges, as our commission is directly received from the developer/contractor himself.