Turkish real estate: changes for foreigners
From 04.03.2019, new rules for real estate ownership for foreign citizens entered into force. According to the amendments to the law, the cadastral value of Turkish real estate is now considered not to be the minimum recognized in a particular region, district, quarter, but according to a specialist.
It means that:
- Before the procedure for the transfer of ownership, the seller or realtor must order an assessment of the property. In practice, it takes 1 day to receive a report with an estimated cost.
- The cadastral value has increased, respectively, the purchase tax (up to 31.12.2019 3% of the cadastral value) has become a bit more expensive for the buyer. For example, if the design of an apartment a month ago would have cost you 1000 Euro, now the design of the same apartment will cost 1500 - 2000 Euro. Depending on the city, district and the property itself.
At first glance, in this innovation, it seems obvious only cons for property buyers: an increase in the duration of the purchase procedure and the cost of registration. But, in fact, the new law protects the foreign buyer as much as possible from possible frauds on the part of the sellers.
How - let's analyze in more detail:
⭐️ All potential property buyers in Turkey know what Tapu is (property ownership). But almost no one knows what Iskan (technical passport). About Iskan, we have a separate article in our blog, where the importance of this document is detailed. Before the new law, a foreigner, through ignorance, easily acquired a property without a technical passport. As a result, experienced problems like household (for example, payment of utility club rooms with all residents of the complex), and financial (fines, difficulty with resale, etc.). Now a copy of the claim, if it is available, must necessarily be in the expert's report. That is, having received the report of an expert after a real estate appraisal, you will know for sure whether the residential complex has Iskan or not.
⭐️Also in the report on the property will be:
- Cadastral data of the plot on which the object is built
- Address (it was not even registered in Tapu, which caused many questions and doubts among foreign buyers)
- Photos of the house / residential complex with a mark on the apartment for sale
- Photos of the apartment itself
- Apartment layout
- The area of land assigned to this apartment
- Description of the district and neighborhood where the object is located
Expert report - this is your protection from major errors and problems from dishonest realtors and sellers. Yes, for this protection you overpay the state for 500-1000 euros more. But be sure of your right choice at 100%.