How to Buy a Property in Turkey as a Foreigner

Property Buying Guide TURKEY

The A-to-Z property buying guide consists of all steps and terms related to the Turkish Real Estate Sector for foreign buyers.

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Istanbul Homes ® is a brand of Tekce Overseas Gayrimenkul AŞ that is the leading real estate company in Turkey. We know all steps and terms of buying property in Turkey and Citizenship by investment.

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Buying a home in Turkey can seem like a very complicated process for foreign investors. It is because they do not know the process and customs in the country. But, working with professional real estate agents make the process easy and comfortable.

We have delivered thousands of title deeds and keys with zero failure. Our customers completed their buying processes successfully. So our experts prepared an article for you to learn the basic steps of real estate investment in Turkey.

Why Should I Deal with a Real Estate Agent?

First of all, a good real estate agent will ensure that you purchase a property that meets your needs. You will not have any unanswered questions when you work with the right real estate agent.

We strongly recommend this because it may be a complicated process. A foreign buyer does not know where to start and finish and how to handle the process in a foreign country. You can miss some points in the formal procedures. 

You may have to deal with a communication gap caused by a foreign language. So, it is the right choice to work with a local expert who knows your language and the procedures of the country. 

Why Istanbul Homes While Buying a Property in Turkey?

We are the leader in the Turkish real estate market because we do our job professionally since our establishment in 2004. We have brought Thousands of Happy Customers from 84 different countries together with their dream properties. 

We know that sharing the same languages is important. That’s why we speak more than 20 languages. Our customers get service from a professional who speaks their mother tongues and knows their culture.

We guide you through the whole process, and so you do not deal with difficulties and potential conflicts. Buying a property will be a smooth process for you with the services of Istanbul Homes. 

Step-By-Step Real Estate Buying Guide in Turkey

Step-By-Step Real Estate Buying Guide in TurkeyThe buying process starts with learning your purpose of purchase and your budget. Then, we prepare your wish list. It consists of the home features you want, your expectations, and the location.

We select the best properties for you that suit your needs. Our professionals arrange viewing tours to inspect the properties. In the tours, we look at every detail of real estate with you to make sure it is perfect. 

We find the best home for you, and you pay a deposit of 5.000 USD (or Euros). You book the property and fix the price.

Then our company lawyers prepare a sales contract. It consists of the terms and conditions of the transaction between buyer and seller. Before you sign the contract, our experts check again if the transaction is all fine or not.

The buyer makes a down payment within 1 to 4 weeks after the deposit. The remaining amount is paid at the time of title deed transfer. How long it will take depends on many situations, such as whether it is key ready or under construction.

For example;

Contract signing, title deed transfer, and total payment are done within 1 to 3 days if the property is ready to move.

Now, it is time to deal with legal procedures. The first step is to obtain a tax number for financial transactions. It is a personal number consisting of a ten-digit number. Your identity document is sufficient to obtain the number.

Then, we open a bank account on your behalf so that you can make your payments. You can also use the account for automatic bill payments. All you need to open a bank account is a copy of your ID.

Now you are ready to take the title deed of your property and move into your dream home. You can get your title deed yourself. If you cannot, you can give a power of attorney. 

* Power of attorney allows a person (the proxy) to represent or act on behalf of another person (the attorney) in legal matters. The proxy can handle all transactions for the attorney. You can visit our Power of Attorney page to learn more.

At this point, all payments must be completed and all taxes paid. Congratulations, you buy a property in Turkey!

You can look at Property Purchasing Guide to get more information about the buying process.

There are lots of benefits to buying property in Turkey. You can get them by Turkish citizenship by investment. It is a program that brings a good profit with a high return on investment. You can get the details from Turkish Citizenship by Investment.

Turkey is among the most investable countries with relatively low prices and a good return on investment. The portfolio is very wide. So you will find what you are looking for.

As you can see, the purchasing process is much easier than in most other countries. The cost of living is relatively low, too.

The Turkish passport is also among the top 40 passports of the world and grants visa-free easy access to 111 countries. You can read our blog the Benefits of a Turkish Passport.

If you cannot afford the program, a residence permit is the second-best option. After investing in real estate in Turkey, you get a residence permit for two years. You can renew it at the end of every two years. You can apply for Turkish citizenship after staying in the country for five years with a residence permit.

We aim to make your process as easy as possible. We develop new systems and make them compatible with the technology. We use technology for every aspect of the real estate business. That’s why Istanbul Homes is a PropTech company!

PropTech is a combination of property and technology. It refers to the future of the Turkish property market. PropTech consists of digital real estate marketing strategies, smart homes, construction technologies, future cities, etc.

TeleProperty is one of our PropTech practices. It is an online property buying. Buyers can purchase a home just by using their smartphones or computers. For more information, you can look at the TeleProperty page.

How Do You Finance a House Purchase in Turkey?

How to Buy a Property in Turkey as a ForeignerYou can finance your home purchase by getting a mortgage in Turkey. After choosing your property to buy in Turkey, you can apply for a mortgage with the required documents at the bank.

The bank will not provide a mortgage for the sales amount in full. So, it is advised to prepare some cash for the down payment. 

You can handle the mortgage application with TeleMortgage. Our system allows foreign property buyers to complete their mortgage application process online. You do not need to be in Turkey in person for the transactions.

Another option is cryptocurrencies for property payments. Paying with crypto-currency is being more popular day by day. Istanbul Homes has been the leading company to use crypto in real estate sales in the Turkish real estate market. You can read Pay with Bitcoin for the details.

Money transfer is a significant issue, too. There are many different channels, such as banks and money transfer institutions, to transfer money from one country to another. Each institution has a different commission rate. 

We recommend that you ask for the opinion of your agency before making money transfers to Turkey. Your agent will advise you on the best way with his experience.

Istanbul Homes ® - How to Buy Property in Turkey?

FAQ - Frequently Asked Questions about Purchasing Property in Turkey

Istanbul Homes ® answers the most asked questions from real estate buyers. We have years of experience in the Turkish real estate market. So, our experts know the right answers to all your questions. You can see more questions on our WikiProperty page.

Property Ownership

Q: Can a foreign company buy property in Turkey?
A:
Foreign companies (legal entities) cannot directly buy property on their behalf. A foreign legal entity must first establish a company in Turkey. This Turkish company may acquire property ownership.

Q: Is property ownership in Turkey freehold or leasehold?
A:
All properties in Turkey are "freehold".

Q: What is a title deed (Tapu) like?
A:
A title deed (TAPU) is a document that proves and protects the ownership rights of real estate. It shows the location, size, type, and owner of a property. Learn more about title deeds in Turkey.

Q: How many people can share a title deed?
A:
There is no limit to the number of people whose names can be written on the same title deed.

Q: What happens to my property when I die?
A:
The properties you buy in Turkey are freehold. So, your family members inherit your properties after your death.

Financial Issues

Q: Do banks charge me when I open a bank account in Turkey?
A:
No, there is no cost of opening a bank account in Turkey.

Q: Is it time-consuming to open a bank account in Turkey?
A:
Unlike most other countries, transactions are much easier and less complicated in Turkey. You can open a bank account within an hour when you get to the bank with ready documents.

Q: Are state banks more secure than private banks in Turkey?
A:
No. All banks in Turkey are subject to state banking law. There is no difference between state banks and private banks in terms of security.

Q: Can someone withdraw money from my bank account with a power of attorney?
A:
Yes. Banks accept POA for financial transactions in Turkey. So, your proxy can withdraw money from your bank account by showing a valid power of attorney.

Q: How is the general cost of living in Turkey compared to European countries?
A:
You will find most items up to 50% cheaper than the European countries and the USA. But, electrical items are the most expensive ones when compared to these countries. Read more about the cost of living in Turkey.

Q: Can foreigners get mortgages from Turkish banks?
A:
Yes. We have completed mortgage processes with %100 success for foreigners since our establishment in 2004.

Q: Is it advantageous to get a mortgage in Turkey?
A:
It depends on the interest rates of the buyer’s home country. If your residential country provides mortgages with lower interest rates, you can prefer getting the mortgage in your country. You can also consider buying properties with an installment from construction companies.

Q: What is the LTV (loan–to–value) ratio in Turkey for foreign property buyers?
A:
In Turkey, the LTV ratio is 50% for foreign real estate buyers. It means you can get a mortgage up to 50% of the sales price of the real estate. But, you should already have the remaining amount for the down payment.

Q: Can I get a mortgage in Turkey if I do not have a bank account in Turkey before?
A:
Yes. Foreigners can use housing loans in Turkey. There is no obligation to have an account in advance. Following the banking application, the mortgage is offered in the main income currency of the borrower.

For example;

Before opening a bank account, they evaluate your credibility according to your statements. If it is positive, they proceed by opening an account immediately.

Q: Can I pay for the property by cheque?
A:
In Turkey, cheques are not accepted as a way of payment for real estate purchases. We only accept cash, bank transfer, and bitcoins.

Before Purchase

Q: Can I get a tax number online in Turkey?
A:
Yes. You can also get it from tax offices in every city and district in Turkey.

Q: What happens if I lose my tax ID number?
A:
A tax number can be easily reprinted in Turkey. However, we recommend keeping a copy to avoid unnecessary work.

Q: How long can I use a tax ID number in Turkey?
A:
Tax numbers do not have a validation period in Turkey. You can use it throughout your life.

Q: What are the taxes regarding real estate in Turkey?
A:
They are state property tax, environmental tax, and wealth tax. They are relatively low.

Q: Is an appraisal report necessary? What does the appraisal process involve and how long does it take?
A: Appraisal report
keeps from overpriced property sales. When one buys a house, Land Registry and Cadastre ask for SPK validated Valuation Report. It is a proof document showing that the purchase was made at the correct price. 

Your contact person is the Real Estate Valuation Department of the Land Registry and Cadastre Office. The process takes 3-6 days.

Q: How long is an appraisal report valid?
A:
The land registry offices require the appraisal reports prepared within the last three months. We help our customers to renew their reports free of charge when the validity period of the reports has expired.

During Purchase

Q: What is the general buying process in Turkey?
A:
After the deposit is paid, we do the title deed checks. A contract is prepared between the seller and the buyer. It consists of the details of the completion date, payment schedule, terms, and conditions. 

After all parties sign this, the down payment is paid and an application is made to the Land Registry Directorate. You can receive the deed within 2-3 working days. You can give a power of attorney to complete all required paperwork if you need it.

Q: On a new development, what is the average deposit required? Can I pay in installments?
A:
You normally pay a 10% reservation fee and then 30% as a deposit within four weeks. 

Most developers offer stage payments, usually with a degree of flexibility based on your terms. Stage payments are lump-sum payments to be paid after each construction stage. This will be decided at the time of purchase. You can see the list of properties with installments from the construction companies.

Q: Who sets the price of the property?
A:
If you are purchasing a property on new development, the price will be set by the developer. Regardless of agent commissions, you must pay the same price with whoever you buy from, either directly or through a third party.

Q: What documents are required for title deed conveyance?
A:
You need:
• Appraisal report
• Passport translation at the notary public
• Power of attorney (if needed)
• 2 photos
• Local tax number
• Bank account

Q: How long does the title deed conveyance process take?
A:
It generally takes one day after the application. It may be delayed one day or two, depending on the workload at the title deed offices.

Q: What is Title Deed Escrow (Tapu Takas)?
A:
Title deed escrow is an alternative way of title deed conveyance in Turkey. The buyer pays the money to the seller through Takasbank. Takasbank is the central clearing and settlement institution in Turkey.

A confirmation report is sent to the buyer that the deed transfer is successful. Then, the money is transferred to the seller.

Q: What is hypothec?
A:
Hypothec is a charge on property in favor of a creditor. In Turkey, hypothec on title deed is used when buyers owe a measure of cash to sellers. It is removed from the title deed when the obligation is paid.

Q: Is it obligatory to have an interpreter to give a power of attorney in Turkey?
A:
Power of attorney is a serious decision because you let someone else act on your behalf. All documents are also in the Turkish language. So, it is an obligation to have a sworn interpreter. The interpreter translates the information on the papers for you before you sign.

Q: Can I give a power of attorney if I am not in Turkey?
A:
Yes. You can give a power of attorney at Turkish embassies. Notary offices also prepare a power of attorney if your country is a part of The Hague Apostille Convention.

Q: Can I get a residence permit in Turkey (İkamet Tezkeresi) if I buy a property?
A:
If a foreigner owns property in Turkey, he/she gets a residence permit. It is renewed every two years if he/she keeps the ownership.

Q: Do I need a residence permit to buy a property in Turkey?
A:
No. But, a residence permit gives some advantages. Our expert team helps you get your residence permit if you want.

Q: Are there English-speaking lawyers in Turkey?
A:
Yes. There are reputable English-speaking lawyers/solicitors. We can introduce them to you during your viewing tour. You can read more about lawyer and solicitor supports.

Q: What are the costs of buying a property in Turkey?
A:
Some are title deed conveyance tax, Land Registry and Cadastre circulating capital fee, notary, and translation costs. All expenses of property purchases are explained on our purchase expenses page.

After Purchase

Q: When can I move into my property?
A:
Your keys will be delivered on the title deed conveyance day. You can move into your new home after the title deed conveyance.

Q: What is DASK?
A:
DASK (Doğal Afet Sigortaları Kurumu) is compulsory earthquake insurance for utility subscriptions in Turkey. A DASK also covers your losses after an earthquake.

Q: Is there a property management service in Turkey?
A:
Yes. Some companies provide property management services in every city.

Q: How much is the property maintenance fee in Turkey?
A:
The maintenance fee varies depending on the complex features. When there are more facilities in the complex, maintenance fees can increase. We inform our clients about the maintenance fee during the viewing tours.

Q: How can I furnish my new home?
A:
Many developers offer furnishing packs. If you wish, you can buy a furnished property or we can offer a place to buy. A furniture tour for your new home is one of our free aftersale services.

Q: Why would I need a Turkish residence permit?
A:
A residence permit will make all your transactions easier when you are in Turkey. It also avoids visa costs.

Q: How can I ensure my property in Turkey?
A:
Property insurance is made according to the features of the property. Insurance companies will present their offers when you give them the necessary information about your home. 

After confirming the price, they will complete the insurance purchase. Property insurance is one of our aftersales services. Learn detailed information about property insurance in Turkey.

Q: How will I pay my utility bills in Turkey?
A:
There are bill payment centers almost in all neighborhoods in Turkey. Also, you can make automatic payment orders for your bills. We assist you in this as a free after-sales service.

Q: What are the costs when I want to resell my property?
A:
If you have owned the property for five years or more, you are exempt from property profit tax. You need to make sure that all bills are paid up to date.

Q: Can I rent out my property?
A:
Yes, Turkey offers good investment chances with a high return on investment. We follow up the process for our customers as a free after-sales service. Check rental income guaranteed properties and holiday homes.

Istanbul Homes

Q: Who prepares Istanbul Homes’ sales contract?
A:
Our sales agreements are prepared by our company lawyers.

Q: Can I rely on the sales contract in case of any unexpected situation?
A:
The contract clarifies the terms of the agreement between the buyer and seller. In case of any dispute, the contracts can be put into the process.

Q: What does the sales contract include?
A:
It includes everything that both parties agree on during the negotiation. Istanbul Homes' sales contract saves both parties' rights by acting as a referee.

Q: What is TeleProperty?
A:
TeleProperty is an Istanbul Homes service where buyers can buy their dream home online. If you can not travel due to some reasons but want to buy a property in Turkey, you can call to arrange your online viewing tour.

Q: Can everybody sell property in Turkey?
A:
Yes. Waiters, jewelry, and leather dealers are the most well-known property sellers in touristic regions of Turkey. However, going through a professional company avoids undesired results. 

Istanbul Homes ® is a registered real estate company at the Chamber of Commerce of Istanbul.

Q: Why should I use a real estate agent?
A:
It has several advantages. Firstly, you can reach a wide range of properties that match your criteria and not just one specific developer. Then you will benefit from our experience and a fully staffed office to support you when you return home.

Q: What other services do Istanbul Homes offer?
A:
Istanbul Homes provides the best customer service at every step of your property-purchase process. You can visit Before and After-Sale Services for the details.

Q: What is the Real Estate Agent Service fee?
A:
In Turkey, the real estate agent fee is determined by the laws. Whenever a property is sold, registered and licensed real estate agents are entitled to receive a 2% service fee from the buyer and the seller separately on the actual selling price of the property.

Q: Why is Istanbul Homes the leader in the Turkish Real Estate Market?
A:
Istanbul Homes is a professional real estate company. We work with our company values and business world principles. Our customers express their gratitude to our company after experiencing the professional service of Istanbul Homes. You can read our Company Profile.

Q: Why should I take a viewing tour with Istanbul Homes?
A:
Istanbul Homes offers a smooth property purchasing process. You get service from professionals. They speak your language and know your culture. You will save time by using the experience of our company.

Q: How are the viewing tours with Istanbul Homes?
A:
An important part of our service is the personalized viewing tours we arrange for every customer. Each tour is unique and designed to fit the requirements of our clients. The keyword is service.

We prepare a wish list according to your expectations. We find exactly the type of property and locations that you are interested in. Then, we go to the properties to inspect them.