Basic Steps to Buying Property in Turkey
In Turkey, as in any other country there are the usual potential pitfalls of which to be aware. For example,
many properties do not have titles or planning permission or have simply been constructed illegally. For these reasons and the fact that Turkey is fairly new to the overseas property scene, it is extremely important to use a quality agent and independent local solicitor to guide you through any potential problems, check all the relevant paperwork and do all the other necessary legal work.
Our clients can rest assured that all due diligence and property checks have been undertaken on the developers and their developments before we offer them. This will be backed up by your legal advisor in Turkey.
Once you have found your ideal property in Turkey, a reservation fee of usually around €3000 is required to remove it from the market for you. Your appointed legal advisor will then carry out the relevant searches on the property.
The reservation fee is treated as part of the payment towards the property in question, and generally deducted from the first payment, which you will make when signing the contract. The first payment can be anywhere between 20% to 50% depending on the payment terms set down by the developer and of which you will have been made aware before reserving your property.
With off-plan property purchases in Turkey the buyer may be expected to pay a number of stage payments throughout the construction process, or a single payment when signing the contract and with the remainder on completion.
All funds should be paid through your appointed solicitor (including your reservation payment), who will pay the developer only when he or she is satisfied all legal and other conditions have been met.
There are no restrictions for EU nationals wishing to buy in the coastal resorts or major cities of Turkey.
Easy step guide for those physically in Turkey viewing:
- Choose and reserve the property of your choice
- You will visit the solicitor, along with the sworn translator and the contracts will be drawn up, while you wait, in both Turkish and English.
- The translator will go through the Turkish contract with you. If you are then satisfied, the solicitor, translator, developer and yourself will sign the contract.
- Your solicitor will then start the process of applying for Army clearance. (Military Permission as its sometimes called).
- You will then visit the Notary, together with the legal translator.
- To save you having to travel back to Turkey to sign legal documents, you should give 'power of attorney' to your solicitor.
Completion: Transfer of Title Deed:
At completion both buyer and seller should meet in person at the local land registry office for the transfer of the title deed. This process usually takes place in a day and the solicitor and/or agent will oversee the proceedings. Foreigner buyers are required to have an official translator present to certify the registration. Of course you need not visit Turkey to reserve/purhcase a property. Power of Attorney can be organised without you be physically present.There are a number of extra charges applicable to purchasing a property in Turkey
- Solicitor: Up to £1000.
- Military Permission application: Varies according to Municipality, but budget for approx. £890
- Deeds Office Administarion Fee: £150
- Power of Attorney Notary fees: £185 approx.
- Stamp Duty: 3% of the registered property value (paid on completion)
- Translation Fees for Deeds Office: £25 approx
- Compulsory Earthquake Insurance: £40 to £115 approx. depending on value registered.
Capital Gains Tax
Not applicable if you do not sell your property within first five years.Are you interested in buying a property in Turkey? Yes, then contact us today by clicking here or call us on ++44 (0)1304 822 639.
