Firstly, your dream home is freehold and buying a property in Turkey is straightforward and simple if you know how, with Turkish law being based on the Swiss constitution and law. Under a bi-lateral agreement between the UK and Turkey, recent changes in Turkish law allow British citizens to buy property in designated areas which we cover. The payments on your purchase contract usually fall into four sections, and although they can vary from builder to builder, we will help you whatever it is.
Your passport details are required to purchase a Turkish property along with a local tax number. We will take you to the tax office to obtain a local tax number for you. Your tax number is also required to open your bank account in Turkey. You will also need two recent photographs (4cm x 6cm); you can get them in Turkey but it maybe useful to get two sets before you travel to Turkey.
Although it is not compulsory to use a real estate lawyer to buy a Turkish property, we strongly recommend you do. We have a panel of independent Turkish lawyers should you choose to use one based both in Turkey and the UK. A lawyer will typically charge £500 - £1,000 for their services, to this you need to add the purchase tax (3% on the declared value of your property in Turkey (Increased from 3.3% to 4% in September 2012 & decreased from 4% to 3% in 2017.), accommodation tax, water and electricity connections charges, notary fee and translation fees. Depending on the value of your property you should typically allow £1,500 for all these fees and costs. Ask for a quote from a lawyer before you use them. Should you choose not to use a lawyer the cost will be about £800.
Once you have signed the contract on the Turkish property you wish to buy, you can transfer the money into our HSBC clients account in the UK or transfer the money directly from your own bank. If you are going to transfer the money directly from your own bank we recommended you use a specialist commercial foreign exchange company for the best exchange rates.
Banks in the UK do not generally give you the best commercial rates. Please contact us, we will be happy to give you details.
Spot Blue sell property in Turkey at the price the builder/developer charges for new property, so no commission from the purchaser is payable to Spot Blue. However, in common with all property agents in Turkey, Spot Blue charges a sales commission of 3% of the purchase price for resale property.
Dependent upon the Turkish Government offices it may take up to 6 months to receive the final Freehold Title Deeds (Tapu) for your Turkish property. First your application goes to a regional Tapu office then to a Military Head office in Izmir to check the property is not in a restricted or Military Zone. This is really a formality and when everything is approved, it takes just one day to complete the property transfer. Once approval has been granted you go to the Tapu office with a translator to sign your freehold ownership documents. A new law for non-residents came into force on 7 January 2006 which is intended to speed up the process. Although the formalities take 8 to 12 weeks, once you have paid a significant part of the purchase price most builders will let you take possession.
Once your application has been approved by the Government and the military, both the vendor and buyer must be represented at the Land Registry Office for entry of the Title Deed into the Land Registry. Most buyers prefer to go to Turkey to attend personally, although it is not necessary as you can appoint a Power of Attorney to attend in your place. This can be your lawyer if you have used one, a husband/wife, partner, our office staff in Turkey or anyone else you trust. There are various forms that are required before completion, but they are quite straightforward and we will be pleased to help.
You can pay all your household bills on your property in Turkey by standing order, much the same as in the UK. However with the cost of living being about a quarter of the UK, typically £40 per week for a single person and £60 per week for a couple (for example council tax is about £80 per annum), you will not notice them so much!
Once your Turkish property is registered in your name, it is advisable to update your UK will referring to your new home. Your UK will is legal in Turkey, but if you want belt and braces it is advised to make a will in Turkey. Our office will be happy to supply details of lawyers. It is not necessary but will help to avoid delays.
At present, if you sell your Turkish Property within the first 5 years (the law changed form 4 to 5 years in Jan 2007) of your ownership there is a 15% sliding scale property capital gains tax due on any profit. After 5 years it is capital gains free. Any tax paid to the Turkish government will be offset in the UK due to the Reciprocal Taxation agreement between Turkey and the UK.
When you finally get your deeds it is advisable to insure your Turkish property (preferably by paying in Euros, as most of the big European insurers operate in Turkey) - our Turkish office will be pleased to help you to arrange it (or see details on our links page).
Mortgages in Turkey are now available to all EU residents who wish to buy property in Turkey, although still at an early stage of development. Register Now with Spot Blue more information.
If you need a mortgage to buy a property in Turkey, the easiest and simplest way to raise the money is against your own property in the UK. Most of our clients go to their existing lenders who are normally happy to consider a loan against their UK property, especially if they have had a successful payment record with them. If you need independent advice we have a panel of authorised Independent Financial Advisers (IFA) who can usually help. From our years of experience we know it is absolutely essential to have your finances in place before you go to look at property in Turkey. We have seen too many people return home unhappy, disappointed and frustrated having found their dream home and being unable to do anything about it because they had failed to get their finance in place before going on a buyer's viewing trip. Remember your home is at risk if you raise money against it.
The rental income will depend on many different factors:
There are many letting agencies who will help arrange to rent out your Turkish property, but beware, like all letting agents throughout the world, they can be very expensive. Most of our clients use web-based letting agencies which are very successful. In our opinion the most profitable way is to rent your property out to family, friends and work-mates (you will be surprised how many will want to know you). A simple advert in the local paper or a one page web site also works well. Always get a large deposit and arrange a flight as part of the rental package. If you buy through Spot Blue we will help you arrange it (or see the links page for further details)
Most European health insurances are accepted in Turkey, and many hospitals have very good interpreters. English is spoken in most doctors' surgeries (although you can get most common European medicines without a prescription at the pharmacy), and if you need special medication you can check for availability at the pharmacy first. The standard of medical and dental care is very high, and both regions have several new purpose built hospitals.
You can stay for a maximum of three months in Turkey with your 90 day a multi entry tourist visa, however to replace this with a residents visa, you need to apply for this visa within 1 month of first entrance. A resident's visa is issued for a period of 12 months before you need to renew it. Instead of applying for a resident's visa you can simply leave the country for 24 hours, and then return on another standard 3 months visa. (On the Mediterranean Coast most people take advantage of a trip to Northern Cyprus, which is only a 3 hours ferry ride from Alanya, and on the Aegean Coast a short ferry trip to one of the many Greek islands, for example Rhodes or Kos). You will require a residents' permit should you want to have a phone or buy a car. Ensure you have plenty of passport-sized photographs before you start applying for one.
In the Ottoman Empire, tapu was a permanent lease of state-owned arable land to a peasant family. The family head acquired the usufruct of the land and was able to transmit this right to his male descendants upon his death. In return, he pledged to cultivate the land on a continuous basis and to meet a series of fiscal requirements and obligations to fulfill specific services to the state or to the sipahis. The term was also used to indicate the title deed that certified tapu rights.
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