Property in Turkey - FAQs

• Will the property in Turkey be freehold? All the properties we sell in Turkey are freehold, which will be verified by a solicitor. The buyers should be aware that a large amount of properties in Southern Turkey are sold without Title Deeds, as they were built without planning permission. Also, there are different types of Title deeds in Turkey the foreign buyer should be aware of, especially when he buys from a small developer or re-sale property in particular. Do not let the above put you off from buying a property in Turkey! We carefully select our developments and the construction companies we work with. We also recommend to always using a solicitor when buying property in Turkey! We can recommend several UK based solicitors who specialise in this specific area.
• What are the restrictions for foreigners buying a property in Turkey? There are areas in Turkey where a foreign national cannot buy a property, especially if it is near the military zones or in the rural areas. A good solicitor would be able to advise you on this issue. All our off plan or brand new developments are suitable for foreign purchases, as most of our buyers are British.
• What are the additional costs of buying a property in Turkey? The buyer will be paying for legal fees, including solicitor's fees which are variable; wealth tax (depending upon the area), stamp duty and purchase tax of 3%, half of is normally paid by the Turkish property developer, but varies. The latter amount is based on the title deeds. Furnishing of the new property up to a high show room standard would be in the region of £5,000 to £10,000, but can be done significantly cheaper if you buy goods on the market
• What are the costs of living in Turkey? The cost of living in Turkey is significantly cheaper compared to UK and other Western European countries. Your bills would be at least 50% cheaper than in UK. The annual ongoing taxes would be approximately 0.3% for land and 0.1% for property, depending upon the location of your property in Turkey. It is significantly higher in inner city areas. The solicitor involved in the purchase process would be able to verify this for you.
• What are the standard of healthcare and its costs? The standard is quite high, although all foreigners have to pay for their medical treatment. Reciprocal private health cover is available from the UK, which will be accepted in the private hospitals. Enquire about this before you receive the treatment.
• Can a foreign national work in Turkey? Yes, providing the relevant permissions is obtained. We do not assist with finding employment in Turkey; therefore e-mails related to this issue will not be answered.
• What are the standards of education in Turkey? The standards are high as well as a wide choice of schools and colleges are on offer - both private and statutory free schools. International schools are private. There is a wide choice of universities in Turkey. Our colleges on the ground would be able to answer your questions relating to the nearest schools during your viewing trip to Turkey.
• Are there any restrictions to repatriate income or proceeds out of Turkey? No, you can take the proceeds of the property sale or rental income out of the country without a problem. Restrictions apply to the commercial property.
• What are the advantages of buying an off-plan property in Turkey? The off-plan or a newly built property in Turkey from a reputable developer comes with guarantees. In the recent years the standards of the construction in Turkey have improved dramatically and the property will be given quality assurance. You will not require a surveyor, but they are a must when you consider buying a pre-owned property in Turkey. The property normally goes up in value during the period of construction. You would have good capital growth by investing in a newly built property in Turkey. The prices in Mediterranean Turkey have gone up by nearly 50% in the past two years.
• How long does the whole process of buying a property in Turkey take? As a general rule, the whole process takes not more than 2-3 months. By Turkish law you would be required to be present at the Registry (Tapu) on exchange of the Title Deeds. Alternatively, you can issue your solicitor with a Power of Attorney and he will do it on your behalf.
• What is the buying process in Turkey? Normally a reservation fee is left with the estate agent to take the property in Turkey off the market, whilst the solicitor is checking the Title Deeds. At this stage the contract is drawn between he seller and the purchaser, which determines the payment terms, the date of completion and terms and conditions of sale. When the solicitor is satisfied with the documents produced and is checked, both parties sign the contract and the deposit is paid. You would also need to apply for the permission to buy from the government and several security checks will be done. This is normally done by a developer or a solicitor. It is a pure formality. The rest is done a by a solicitor.
• What documents are required to purchase a property Turkey? Passports of the buyers will be required, which will be translated and its translated copy will be notarised in the Notary public. The translated copy will be checked by the army to ensure that the buyer has not got a criminal record or was not involved in activities against Turkey.
• What are the costs of buying a property Turkey?
  

• The main costs of buying a property in Turkey are:
• Estate agency commission charged to the buyer is 3%.
• 3% of the purchase tax (similar tax to UK stamp duty)
• Land registration costs (approximately £120)
• Annual property taxes at the rate of 0.1% and 3% for land developments.
• New properties or when buying a property off-plan in Turkey are exempt from annual property tax for 5 years following their construction
• There are also administrative costs that depend upon the complexity of the buyers requirements. Solicitor's fees vary in different parts of Turkey.
• As a rule, the costs of buying a property in Turkey should amount to about 10% of the purchase price; however they will be lower on newly built property as it is exempt from the Stamp duty.

• What are the most popular locations for buying a property Turkey? The most popular locations to buy a property in Turkey are concentrated around the costal areas, just like in Spain. Properties for sale in Cesme, Bodrum and Kusadasi are very popular due to their proximity to Adnan Menderes and Bodrum Airports. Mediterranean areas of Turkey - Fethiye, Kalkan and Kas are the most popular on the West coast. Property in Fethiye area is less expensive than Kalkan. In the south of Turkey Alanya is another hotspot for property buyers.
• What taxes are payable if you decide to sell your property in Turkey at a later date? Property sales are not subject to any VAT. When it comes to selling your Turkish property, there is a transfer tax of 3%. It is based on the declared value of the property in Turkey. Unusually it is significantly lower than the actual sales price. In practice the sales tax is shared between the buyer and seller, but it is up to both parties to agree on that.
• What is Tapu? A Tapu is a Title Deed for a property in Turkey. It is possible to apply for the deeds with the copies of passports, although there is now a time limit concerning retrieving them. It is advisable to issue your solicitor with a power of attorney, so he can collect them at any time. The power of attorney is easier to arrange when you are in Turkey.

courtesy of our friends at http://www.turkishhomes4sale.com