Property in Turkey
So, you’ve decided to buy property in Turkey and want to know what’s next. First, congratulations are due because Turkey has mass potential for investors in the real estate market. Compared to many other countries, Turkish homes are relatively cheap because of the country’s late entry into a structured, value-based market.
It was not until the early 21st century that mortgages were available in Turkey, and this sparked a mass construction boom, so buyers are also entering into a healthy industry with an extensive portfolio. Before you start looking at the masses of property though, there are some other factors to consider.
1: Get Your Affairs in Order
Get your financial affairs in order so you don’t burden yourself with unrealistic purchases. Know your net worth, current assets, and financial obligations, to calculate an exact budget. While Turkish mortgages are available to foreigners, the repayment terms are costly and high. Whatever your source of money is, it needs to be readily accessible because the process happens quite quickly. Also factor in, roughly 9% of a purchase price towards buying costs.
2: Know Your Reason for Buying
As well as knowing your financial status, you should know your exact reason for buying. This prevents you choosing a property that is unsuitable for your needs and wants. If you are looking for a buy to let investment, this largely dictates the area that you will buy in. Ideally, it should be a touristic area for short terms rentals or a busy business district for long term lets.
If you are looking for a permanent home in Turkey, a spacious property with a good kitchen and bathroom should be your priorities. Many expats buy larger properties in case family come over to visit them but usually, end up downsizing within a couple of years because the extra rooms are just not practical. Know your reasons for buying, and this will largely dictate where and what is available.
3: Location is Everything
When it comes to location, choose wisely. There is a possibility that your favourite holiday resort, in winter, comes to a grinding halt when bars, hotels, and restaurants close down because of the lack of tourists. The large districts of Fethiye, Antalya, and Bodrum are ideal for permanent living because life carries on regardless.
Your budget also partly dictates location. For example, when it comes to buying property in Turkey, the coastal resort of Altinkum offers some of the lowest prices in the country because the infrastructure lags behind other places. While the upscale market of Kalkan mainly focuses on luxury homes for the discerning buyer.
If you haven’t yet chosen your location, contact us with details of your prosed budget, and we will send a selection of properties for sale across the country. This will help to compare what you will get for your money in different locations.
4: View the Properties
If any of our properties catch your eye, we can send further details and photographs via email. The next step after that though is to view the properties. As well as seeing them with your own eyes, you can also get a good estimation of yearly running costs, meet the neighbours, and explore the local district to see how close a property is to bus routes, supermarkets, doctors, hospital, post offices, bars, and restaurants. You will also meet our local office staff who will assist with the buying process. Most of our clients at the time of viewing have many questions, and this is a perfect time for us to answer them.
5: Make an Offer
Once you’ve decided on a property, this is when we step in to help with formalities. We have already checked all paperwork related to the property is in order, so will contact the buyer to confirm a deposit or offer. The transaction will be in Turkish lira, so we give advice about converting and transferring your funds. We also start the process for a military check. This is purely a formal procedure, and you will need to contact a lawyer and translator. We can recommend companies or you can source your own.
6: Move In!
Buyers often move into new builds straight away, but for resale property, they generally have to wait until the title deeds are signed over. Our local office staffs assist with details such as electric connection or changing names on utility bills. If you have bought an apartment on a complex, introduce yourself to the complex manager who manages communal facilities according to the condominium law. At the time of signing for your deeds, DASK insurance (compulsory earthquake insurance) is needed, and if you intend to use the property as a buy to let investment, this is the time to start marketing your rental. Also read our buyer guide for buying property in Turkey.
7: Make a Will
So the hard work of buying property in Turkey is over, and you are now the pride owner of a home in the sun. The next step is to contact a lawyer for a will. The inheritance laws are different in Turkey, and it is wise to make yourself familiar with them.
8: Organise Your Annual Running Costs
To budget accordingly on a monthly basis, it is a good idea to organise your annual running costs. While bills like television licenses don’t exist in Turkey and the council tax payments are relatively small, you may still want facilities such as the internet and telephone. If you plan to live here all year round, factor in the annual costs of your residency permit and health insurance.
Further Information: We hope this article has provided a detailed look at the process of buying property in Turkey, but if you have any more questions, just contact us via email or telephone.
Istanbul
