How to buy property in Turkey: primary and secondary market

Buying real estate in Turkey

Buying real estate is a significant process that involves many aspects, especially when it comes to the primary and secondary markets. This article will discuss how to properly purchase a home, as well as explore all the innovations and associated costs related to this step.

Popularity of properties under construction

International investors are particularly fond of real estate in Turkey that is still under construction. This is because the prices of such apartments are often more favorable compared to completed projects. The option to take advantage of long-term installment plans also significantly increases the attractiveness of investing. Throughout the construction process, the value of housing in the country can rise by15-25%that serves as an additional incentive to make a purchase.

The process of property registration

When the construction work reaches the stage of completing the foundation and framework, the developer submits documents to the cadastral service to divide the property into separate apartments. This stage is usually carried out when ready.30-50%Upon completion of this procedure, the developer receives documents for each apartment, allowing new owners to become the rightful owners of their square meters.

Discussion of the terms of the deal

After selecting a specific apartment, the buyer arranges a meeting with a representative of the developer or the owner, where all the details of the transaction are discussed. During this meeting, an official contract for the purchase of the property is drawn up, which includes:

• final cost;
• payment scheme (especially relevant is the option for interest-free installments);
• completion deadlines for the project;
• individual client preferences regarding interiors;
• rights and obligations of both parties;
• terms of warranty and penalties in case of delay in the completion of construction.

For each week of delay, the developer will have to pay compensation.

Initial payment and the consequences of refusal

After signing the contract, the buyer must make an initial payment within a week, which amounts to30% to 50%from the total cost of the apartment. The terms of the contract guarantee that the price of the apartment will remain unchanged, even if the property is not yet ready. If the buyer decides to withdraw from the deal, they will face a penalty of5% to 30%From the cost of the property. It should be noted that the rules and amounts of fines are set individually by each developer.

Completion of the deal

Once the total amount for the apartment has been paid, the payment process can be made either in cash at the construction company's office or via bank transfer to the developer's account. Then, documents are submitted to the cadastral service to register the property rights in the name of the new owner. This usually takes no more than2-3 working daysthat makes the process quite fast and convenient for the customer.

Obtaining documents

Ultimately, the new owner receives all the documents confirming their ownership rights and can happily enjoy their new home in beautiful Turkey.

After receiving the ownership document

After the new property owner receives the document confirming their ownership rights (tapu), they need to register their information with the local administration. This procedure is called biename. Next, they should obtain the technical passport for the apartment, which is referred to as ferdi iskan in Turkey.

Issuance of a technical passport

In most cases, this action can be carried out without the direct involvement of the buyer. This is usually handled by developers or real estate agencies that are involved in the transaction. However, in order for the document to be successfully processed, it is necessary to have a completion certificate for the building, known as an "iskana." This certificate is created by the developer and is a crucial element for the legal registration of the property. The prices for obtaining a technical passport range from1200 liraabout190 euros) until1800 liraApproximately290 euros).

Connection of utilities

Once all the technical details are settled, it will be necessary to arrange contracts for connecting the main utilities, such as water and electricity.

In a situation where a property is being sold "turnkey," the purchase agreement must include a complete list of furniture, appliances, accessories, and other inventory that will be transferred to the new owner.

Comparison of buying in the secondary market and new buildings

The process of buying property on the secondary market is similar to purchasing new housing from a developer. Once a potential buyer makes their choice, a sales agreement is drawn up, which is signed by three parties: the buyer, the seller, and a representative from the real estateagency.

This documentation records:

• price;
• terms of the deal;
• due dates.

The agency conducts a check of the property for its legal purity, and after the contract is signed, an advance payment is usually made, the amount of which ranges from 500 euros to 10% of the total property value.

Transaction procedure

Next, the date of the main transaction is set, and all participants in the process must attend. At the time of the transaction, the agency sends all the necessary documents to the cadastral office, and usually, within 2-3 days, the procedures for changing ownership rights are initiated.

Payment for real estate on the secondary market is made directly on the day of the transaction, and the funds can be transferred either in cash or transferred to the bank account of the seller. In advance it will be necessary to reissue contracts for the connection of such services as:

• water supply;
• electric power supply.

General requirements for buyers

As for the general requirements when making a purchase, regardless of the market in which the transaction takes place, buyers are required to haveforeign passportand a notarized translation of this passport intoTurkish language.

You can get a translation done at any notary office in Turkey, and the cost is about180-200 Turkish lira(which is approximately 30 euros). A tax number can be obtained completely free of charge from the Turkish State Tax Office for just10 minutes.

Cadastral valuation expertise

Since April 2019, in accordance with new legislation, a mandatory cadastral valuation appraisal of real estate is required for all transactions and transfers of property rights in Turkey. Typically, this appraisal is conducted after the sales contract is signed.

The expert report contains complete information about the property being purchased:

• plaza;
• technical specifications;
• plans;
• internal and external parameters;
• availability of all permitsto the object;
• cadastre value;
• information about the presence of mortgages, liens, or encumbrances.

Cost of the expertise

The cost of the expertise ranges from1000up to (160 euros)1500 lira(240 euros) depending on the company that is accredited and has the necessary licenses from the Cadastral Office to perform this valuation. This service is usually the responsibility of the buyer.

Conclusion

In conclusion, it can be said that the process of buying real estate in Turkey, whether in the primary or secondary market, requires careful analysis and an understanding of all the details. I hope that my review will help you better navigate this complex yet fascinating process.

Buying property on the primary market

Buying property on the primary market has its advantages:

• Savings:Prices during the construction phase are usually lower than for finished homes.
• Long-term installment plan:The option of installment payments makes investments more accessible for many.

Nevertheless, it is important to remember all the stages, starting from signing the sales contract and ending with receiving the title deed. Special attention should be paid to the terms of the deal and deadlines to avoid unpleasant surprises.

Purchase of secondary real estate

On the other hand, buying a secondary property can be a safer choice. It is immediately ready to live in, which saves you from waiting for construction to be completed. However, it also hides its own risks, such as mortgage encumbrances or lack of necessary documents.

Therefore, despite the apparent simplicity of the process, it is important to exercise caution and verify all information.

Key points

Undoubtedly, knowing all the nuances will help avoid difficulties and make your purchase as close to perfect as possible:

• The right approach:choosing a reliable agency.
• Understanding Rights and Obligations:This will help you confidently navigate all stages of the deal.

And, ultimately, enjoy your new home in beautiful Turkey. Remember that every decision requires a thoughtful approach and deep analysis, and then your investment will become a reliable step towards a happy life in a new place.