following is the process that should be followed when buying
property in Turkey. Please be aware that the fees quoted are
approximate and that these procedures may change.
1. Once you
have decided to purchase a property, you should ask for a
photocopy of the deeds and go to the Land Registry Office
(Kadastro), which has the maps of the area, and check the
deeds against the area map to see if everything is in order.
The parcel number must correspond to the map. Maps cannot
be photocopied so it is a good idea to do a rough drawing
of the building, the land it is on, the properties and streets
surrounding it and take it with you to compare to the map.
It is important you do this so that you end up buying the
property you want to buy and not some other less desirable
property. The parcel should also show an outline of the building
you are going to purchase. If there is no building shown on
the land you will need to go to the municipality and see if
it is possible to get building permission (iskan) in the future,
if the building permission isn't available it may be the case
that the owner has just not bothered to get permission or
that there are some illegalities regarding the land or building/s.
2. If all is
in order at the Lands Registry Office and both parties agree
on the price and conditions a deposit is then decided upon
(usually 10%). However if the price of the property has been
reduced the seller may ask for a higher deposit or full payment.
Foreigners are often asked to pay a deposit as the seller
has to wait three months for the buyer to get permission whereas
if they sold to a Turk the transaction would be completed
in a few days.
A contract (protokol) is then drawn up and authorised by the
notary * see step 8 for another method of drawing up the contract.
The real estate agent is paid their 3% commission at this
3. You then
take out compulsory earthquake insurance on the house; the
price depends on the size of the house. Cost: approximately
$45 for a $100 000 house
this the Land Registry Office will provide a document that
gives the details of the land/property, this document will
be sent to the military along with your other documents. Cost:
5. A notarised
copy of your passport, 2 passport photographs, a copy of the
earthquake insurance and the document from the Lands Registry
Office is then sent to the military where they will check
whether you are able to purchase land in Turkey. The 'reciprocity
principle' must apply between the country of the person wishing
to purchase the property. In other words, if a Turkish citizen
can become the owner of real estate in your country, then
the same right applies to you in Turkey. In addition they
will check that the property is not near a military zone.
This process can take up to 4 months. As of July 2003 foreigners
are able to buy in areas that do not have a municipality.
6. Whilst waiting
for the permission to purchase or at some stage in step 1
you should get a tax number from the Tax Office (Vergi Dairesi)
which is on the Bodrum highway next to Garanti Bank you will
need this to open a bank account with a Turkish bank(to transfer
payment for the property to)
7. When the
permission is given the agent or your lawyer will inform you.
At this stage you should inform your agent of when you will
be in Bodrum to exchange deeds they in turn will notify the
relevant parties. You should remind your lawyer to check if
there are any outstanding bills to be paid on the property
and that they insist on the payment of these by the owner.
Your funds for the property purchase should be transferred
into the country through a Turkish bank at least a week before
you exchange deeds. The funds being transferred should be
specifically identified, for example: transfer purpose for
the purchase of Land in Gumusluk Title Deed No. 3467. Keep
all receipts to prove the original purchase.
8. Then you
go to the municipality and they will give you a document that
shows the price of the house. If you have drawn up your contract
through the notary the price shown will be the real price
of the house. However most people draw up the contract through
a lawyer so that when they go to the municipality the price
paid for the house and the price given by the municipality
that will be written on the deeds will be different. As an
example, a house for $30 000 will be written on the deeds
as $12 000. The fees at the deeds office will be 3%, which
is $360. This is done in order to reduce the tax paid to the
A lot of foreigners don't feel comfortable with this as they
feel it is something illegal. However this is common practice
in Turkey. It is up to the buyer whether they want to put
a lower amount on the deeds or not. If you decide to do this
you cannot have your contract authorized at the notary, in
this case you can appoint a lawyer to draw up the contract.
9. You then
go to the Deeds Office (a translator employed by the deeds
office will be present) and the property will be transferred
into your name. The fee at the deeds office is around 3% of
the price that is written on the property title. (The translator's
fee is included in this). The usual process is that you go
to the deeds office on the morning of the day you intend to
exchange the deeds, pay the fees and they will then give you
an appointment in the afternoon for the exchange of the deeds.
Final payment for the property usually takes place after the
deeds have been exchanged but this depends on your agreement
with the seller.
10. After you
have purchased the property you should put the electricity,
water and telephone bills in your own name. This will cost
approximately $60, $45 and $15 respectively.
you should register with the local registrar (muhtar).
The Real Estate fee does not include the payment of any of
the above fees.
The agent is usually involved in steps 2,3,4,5,6,7 and 8.
It is recommended that you appoint a lawyer to draw up the
contract and carry out the research explained in steps 1 and
9. The list of lawyers below is provided by HM Consul at the
British Embassy, Ankara. However neither Her Majesty's Government
nor any official of the Consulates take any responsibility
for the competence or probity of any firm/advocate on the
list; or for the consequence of any legal action initiated
or advice given.