Real Estate Purchase in Turkey - A Step-by-Step Guide
Buying an apartment - what could be easier? You choose, pay, and enjoy your purchase! Is this what you think? Unfortunately, in reality, this process may not be as quick and pleasant, especially when searching for property abroad, making the task even more challenging.
Buying an apartment in Turkey is no exception. You need to be well-informed about the intricacies of the process, study the country's legislation in this area, assess potential risks, and associated expenses. For an ordinary person who has never dealt with this, the amount of new information can be overwhelming.
So, let's break down the process of buying property in Turkey and whether it's worth doing it on your own:
✓ The first step is to determine the purpose of your purchase. Are you choosing an apartment for your family, for investment with the goal of resale, or perhaps to obtain Turkish citizenship?
✓ After answering this question, you move on to the second step – choosing the area where your future apartment will be located. The choice is not simple because, for example, in Istanbul, one of the most popular cities for relocation, there are 39 districts, each with its own pros and cons. For someone hearing about these districts for the first time, it is usually challenging to assess them objectively and make the right decision independently.
✓ The third step involves selecting real estate options. To do this, you need to review the offers from construction companies (previously selecting the most reliable ones deserving your trust to eliminate potential risks). It's essential to note that many developers collaborate directly with real estate agencies. This means that when searching independently, you might miss genuinely advantageous deals that have been assigned to agencies.
✓ In the fourth step, you begin to check the selected properties. Keep in mind that not all developer sales offices will have Russian or English-speaking staff.
This implies that you will need additional expenses for a translator who will accompany your viewings.
✓ After viewing all the properties of interest, the fifth step is making a decision. The apartment you have chosen needs to be checked for encumbrances and debts. Here, you will again require additional services – ideally, hire a lawyer to conduct a thorough document check. It is very important not to skimp on this, since such verification is crucial. For example, if you are acquiring an apartment with the aim of obtaining citizenship, but the previous owner had already gained citizenship through the same property, you won't be able to do it a second time. Experienced lawyers can help you navigate these and other nuances.
✓ Having selected an apartment and verified its legal standing, in the sixth step, you sign the sales contract. During this process, you will also need the services of a translator and a lawyer.
✓ In the seventh step, you obtain your tax number, open an account with a Turkish bank, and receive a currency exchange certificate. Please note that this process is also associated with numerous difficulties and nuances, requiring the presence of a knowledgeable person. Not every Turkish bank opens accounts for foreign citizens, and even after opening an account, there might be many reasons for the bank to refuse transactions.
✓ Finally, in the eighth step, you make the payment and receive your property ownership certificate (TAPU). This step comes with numerous bureaucratic hurdles that can be avoided with the help of professionals for an additional fee.
In conclusion, it's clear that purchasing property in Turkey can be done independently, but it requires patience, time, and additional financial preparations.
But why go through all this when there's a much simpler solution! You can turn to a professional real estate agency whose specialists will guide you on all matters, help you choose the best area for purchase (as they know absolutely everything about them!), and provide translators and lawyers to assist you throughout the process, and all these services will be free for you. Why? Because the commission for the services provided is paid to the agency by the contractor!
Contact ID Realty, and you'll save time, nerves, and money when buying your dream property in Turkey! With us, you'll receive complete support for selecting and purchasing real estate, its subsequent rental or sale, consultations from specialists, and much more.
In the 1st quarter of 2023, Turkey became the global leader in housing price growth, according to NTV, citing research from the British real estate consulting company Knight Frank. The data shows that property prices in Turkey have increased by almost 133% on an annual basis. Prices increased most significantly in three Turkish cities: Ankara (135.3%), Izmir (133%), and Istanbul (127.3%).
What are the reasons behind Turkey's leadership in this trend? Let's break it down:
✓ Knight Frank cites one of the reasons as a recent tragedy that shook the country. A powerful earthquake that destroyed entire cities also influenced people's desire to move to safer areas. As a result, we can now observe the process of internal relocation of the country's residents, who are investing money in real estate in earthquake-resistant areas.
✓ The rising cost of building materials, most of which Turkey imports (meaning it pays in foreign currency), also leads to an increase in housing prices. Builders cannot operate at a loss and are forced to raise prices.
✓ The cost of available land for construction is also increasing every year. The most desirable and popular areas are already almost entirely built up, making the remaining land within city limits or in places with all the necessary amenities in great demand.
✓ One of the major expenses for developers is transportation. Gasoline prices in Turkey are consistently rising, resulting in a very intensive increase in transportation costs.
✓ Inflation caused by the rapid depreciation of the lira.
The national currency is steadily losing value against the dollar. The government is taking many measures to minimise the losses caused by this fact, but the problem cannot be solved quickly. Therefore, you can observe the constant rise in prices for related goods and services (document processing, construction licenses, etc.).
✓ A decrease in housing stock. After the pandemic, relatively few new real estate was built, so the number of offerings has significantly decreased.
✓ Increased demand for real estate in Turkey among foreigners. A stable economy, excellent opportunities for living, working, and studying, quality healthcare, the possibility of gaining citizenship through investment, and many other factors lead to an increasing number of foreign citizens wanting to live in Turkey and invest in its real estate.
So, modern trends show that the cost of housing in Turkey is increasing rapidly.. Therefore, purchasing real estate in this country can be viewed as a very profitable investment in Your Future – much more profitable than investing in stocks, buying currency, or keeping your money at home. By buying an apartment in Turkey, especially in a building under construction, in just a few years, you can sell it for a much higher price and make a decent profit.
We're always here at ID Realty to provide consultations on purchasing property in Turkey and help you find the most interesting and attractive investment opportunities!
