What is Iltizam? An overview of the real estate system in Turkey.

Real estate is an important part of Turkey's economy and offers numerous opportunities for both investors and owners. However, there are various concepts and practices in this field. In this article, we will take a detailed look at the question "what is iltizam?" and analyze the real estate system in Turkey.

1. What is iltizam?

First of all, let's clarify what the term "iltizam" means. Iltizam refers to the leasing of property for a specific period under a rental agreement, after which the building is returned to the owner.

2. The History of Iltizam

The concept of iltizam originally emerged during the Ottoman Empire and was used for tax collection purposes. Over time, it became widely applied in real estate transactions.

3.

The term "iltizam" can take several forms, each of which has its own characteristics.

• 3.1 Conditional obligation.In this case, the owner rents out the property for a predetermined period, after which the tenants are required to return it.
• 3.2 Obligation with revenue sharing.Here, tenants and property owners agree to share the income generated. The tenant pays a portion of the rent to the owner.
• 3.3 Transmitted obligation.In this case, the tenant has the right to transfer the lease to another party, which creates additional investment opportunities.

4. Advantages and disadvantages of iltizam

This system offers a number of advantages for both owners and tenants, but it also has some drawbacks.

• 4.1 Advantages.Owners receive a stable income. Tenants have the right to use the property. This approach offers investors the opportunity for long-term financial benefits.
• 4.2 Disadvantages.Tenants cannot fully manage the property. Owners have the right to terminate the lease at any time. There may be risks due to changes in the market.

Thus, iltizam as a type of lease significantly impacts the real estate market in Turkey, providing both attractive opportunities and certain risks. This makes it an important element for investors and property owners looking to optimize their use of real estate in the country.