Buying a house in Turkey as a foreigner: rules, process, costs

Buying a house in Turkey as a foreigner: is it allowed?

Yes. Turkey allows buyers from the UK and Europe to buy apartments, houses and land in their own name. Military zones and sensitive areas are excluded, and for land there is a cap: at most 30 hectares per person nationwide, and in any one municipality foreigners together may own at most 10 per cent of the area. For an apartment or a house with a garden, that plays no role.

You need no residence in Turkey and no residence permit. You do not even have to be in the country for the purchase: buying by power of attorney is possible, and we are at the appointment for you.

What is different from back home

No notary needed for the transfer

At home, a notary or solicitor is usually part of a house purchase. In Turkey the transfer of ownership happens directly at the land registry office, the Tapu (title deed) office. Buyer and seller or their representatives sit at one table, a sworn interpreter translates, the fee is paid, and the new Tapu is issued. With complete documents it is done in a day. You need the notary for the power of attorney and for certified translations, not for the purchase itself.

The Tapu is the ownership

Ownership only arises with the entry in the Tapu, the land register. A purchase contract or a deposit are agreements, but not ownership. That is why we read the Tapu before any payment: who is registered, what area, what type, what encumbrances. More in the guide to Tapu and Iskan.

The valuation report

For the transfer to foreigners a report from a licensed surveyor is mandatory, from about 5,000 lira. It establishes the value and is a good check against inflated prices.

DASK

The earthquake insurance DASK (compulsory earthquake insurance) is required for every building, and without DASK there is no electricity connection. DASK costs little and is renewed every year; we take it out with you.

Iskan and building permit

Iskan (occupancy permit) is the certificate of habitability issued by the municipality. With it the municipality confirms that the building was built as permitted. Without Iskan, electricity and water do not run regularly in your name. Something similar exists at home in another form, but here it is often the difference between a good and a bad purchase. We check the building permit and Iskan for every property before you pay a deposit.

Tax number and bank account

For the purchase you need a Turkish tax number and a Turkish bank account through which the purchase price runs. You get both in one morning, and we come with you.

What is the same

The land register is public and reliable, as in the rest of Europe. Mortgages, attachments and easements are listed in it. There is property tax, there is a building management with a monthly levy, called Aidat (monthly service charge) here, there are developers with payment in instalments and second-hand purchases from private sellers. The mechanics are the same, only the order and the papers are different. And as at home: whoever reads the documents beforehand buys with a clear head.

The steps

1. Clarify the goal: holiday home, residence or investment, plus budget and region.
2. View properties. We have been there beforehand and send you photos, video and our opinion.
3. Check the documents: Tapu, building permit, Iskan, encumbrances. We take care of that.
4. Preliminary contract and deposit, in writing and translated.
5. Tax number and Turkish bank account.
6. Valuation report and DASK.
7. Appointment at the land registry office with a sworn interpreter, payment, new Tapu.
8. Handover: keys, electricity, water and internet in your name.

After the appointment at the land registry office you usually sit in the café opposite, with the new Tapu on the table, and the first thing people do is take a photo of it for the family.

Costs

The additional costs are roughly 4 to 5 per cent of the purchase price. The biggest item is the Tapu fee of 4 per cent of the declared purchase price; by law buyer and seller pay 2 per cent each, in practice the buyer usually pays, and that is negotiable. On top come the valuation report from about 5,000 lira, DASK, interpreter and the power of attorney at the notary. For a new build from a developer, VAT between 1 and 20 per cent may apply, depending on size and status. Running costs are property tax of about 0.1 to 0.3 per cent of the cadastral value per year and, in a complex, the Aidat. The cost calculator gives you a first figure, and the details are in the guide to additional costs.

One more point we tell you right at the start: the price in the Tapu should be the price you pay. Sometimes a lower value is suggested to save fees. That comes back to bite you on resale and with the residence permit, so we do not do it.

Residence and citizenship

A house in Turkey does not give you a right of residence by itself, but it can be the basis for a residence permit. Minimum values and closed districts change, and we check this before the purchase. More in the guide to moving to Turkey. Citizenship by investment is available from 400,000 US dollars of property value with a three-year holding period.

What we take on for you

We listen and search in our network. We look at the property on site before you see it. We check Tapu, building permit, Iskan and encumbrances and work out the additional costs for your property. We are with you at the notary, the bank and the land registry office and help with the tax number, account, translation, DASK, electricity, water and internet. The advice costs nothing, and if a property is no good, we tell you.