With a wealth of property legislation having been passed in Turkey in recent years – including the ‘reciprocity law’ which allows more foreigners to invest in bricks and mortar – never before has buying a property in Turkey seemed such a sound investment.
Not only that but, in contrast to other Mediterranean countries such as Greece and Spain, Turkey’s economy is doing rather well, thank you very much.
Thanks to frequent flights from low cost airlines such as Easyjet and Monarch, tourism is rife too and only expected to increase, bringing with it more prosperity and property for sale in Turkey as time goes on.
So, what do you need to know in order to invest in this ‘land of opportunity’? Here at Oceanwide Properties we recommend taking note of the following:
- Property purchasing entitlement – the Reciprocity Principle
Citizens of certain countries are allowed to invest in property in Turkey (because these countries allow Turkish citizens to do likewise). Check that you’re in the ‘permitted’ camp (this is most EU countries).
These properties, however, cannot be in villages with less than 2000 inhabitants or within a certain radius of a military zone. In addition, if the land is more than 30 hectares then a permit is necessary. In some coastal resorts no building is allowed within 100 metres of the shore.
- Financial outlays
Expect to pay a deposit of up to 25 per cent as soon as the contract for the house is signed and before the deeds of property are approved (this should take around two months). Transactions over £3000 must be completed via a bank or some other approved Turkish lending institution.
Taxes and fees should come in at around five per cent. Ongoing costs will include income tax in Turkey (but not in the UK as well). If your property is in a complex expect to pay monthly maintenance fees too. If it’s a new property you’re buying there will be a utility connections fee.
- Hire a solicitor
A solicitor is invaluable – not just to understand the local property laws, but also for translation purposes. It is mandatory to hire a government approved translator for the actual transfer of the titles at the local Land Registry Office (and at which both you and the seller must also be in attendance).
- Be patient
Once the above has taken place you may be waiting for up to 12 weeks for the application to transfer the property to be approved by the Turkish government.
- Unforeseen factors
Something you’d never have to even consider in the UK but is actually law in Turkey, is earthquake insurance. The cost of this depends on where the property is and its value.
If you’re planning to live in Turkey then you’ll need a residency payment (which you can apply for after three months in the country without leaving).
Turkey has a beautiful climate (compared to the UK and other wet nations) but it can still get quite cold in the north of the country in winter.
If you are considering purchasing a property in Turkey then you’re not alone. According to the most recent report of the General Directorate of Land Registry and Cadastre 12,512 houses and plots of land were snapped up by non-Turkish citizens between May 2012 and April this year.
If you’d like to increase that figure by investing in a property for sale in Turkey then here at Oceanwide Properties in Turkey and the UK we’d be delighted to help you.