Hi Can anyone please give us any advice about buying in Turkey as I have heard that the Turkish Government have stopped all applications to foreigners at present?
I have copied this extract from the "Turkish news" from a few weeks ago. There is going to be some limit on THE AMOUNT of foreign investment as the article says ie how much one foreigner can own, but nothing more. Would be interested in knowing where you got that info from.
Foreign interest in Turkish real estate
In Istanbul, the social and commercial capital of the country, earthquake fears appear to not have dampened the home-buying appetite. Goldstayn, said, however, awareness among people has improved. "People are really paying attention to whether the building is in compliance with the codes, whether it's built on solid ground. They ask for inspections before they make any move," he added.
Goldstayn predicts that the market will as well thrive in the western and southern parts of the country, where foreigners are interested in acquiring summer homes.
Re/Max recently organized a roadshow in Britain and found interest in buying real estate in Turkey and the Turkish Republic of Northern Cyprus. Individual investors who participated in Re/Max's seminars in London and Scotland were eager to buy houses on the Aegean and Mediterranean coasts for 100,000 to 150,000 pounds. Turkey's European Union prospects are increasing its appeal for investment in various sectors, and real estate is no exception.
According to Turkish Treasury figures, real estate purchases in 2004 accounted for $1.34 billion of a total $2.57 billion foreign direct investment in Turkey.
Goldstayn sees a potential for the Turkish real estate sector to experience a boom along the lines of the ones in Portugal and Spain. "Turkey is viewed as a popular country for investment," Goldstayn said. "Foreigners think their investment will increase in value." Hot destinations are Fethiye, Bodrum and Antalya.
Goldstayn said last year foreigners purchased around 5,000 pieces of real estate in Turkey, more than 90 percent of which were houses, at a total value of more than $1 billion. For the most part, it is the British and the Dutch who are interested in Turkey.
"But foreign ownership is still very low in Turkey compared to Spain, where 1.8 million houses belong to expatriates. Real estate is a major source of income for Spain," he said.
For the time being a Constitutional Court ruling against a piece of legislation that sought to facilitate foreign acquisition of real estate in Turkey has not caused much concern. Many are confident that the government will draft and pass a new law that will secure their rights.
"It takes months for a foreigner to buy a house in Turkey," Goldstayn said. "We understand that the government is drafting a new law."
He said it made sense for the high court to seek to regulate the location and size of land that can be owned by a foreign citizen. "There are a lot of uncertainties. The new legislation has to clarify where a foreigner can and can not own real estate," he said.
"Turkish people can buy real estate anywhere in the world and without any difficulty. It should be the same for foreigners in Turkey
For further info on buying in the Altinkum area of Turkey contact me on thebabeys@yahoo.co.uk
My friend has paid a deposit on an apartment in Side - have you any advice on anything she should be looking into further ie if she decides to sell in a few years can she bring her money back out of Turkey?
many thanks mr bc i found the info on one of the many sites i have browsed over on my pc.every report from family and friends say turkey is a fantastic place to visit im just trying to narrow down my options a little as we have just crossed one place of our list due to the risk involved in buying.cheers gary
Found a bit more info on this story and you are right there does appear to be a tempory suspension on foreigners buying, which must be really hacking off the estate agents in Turkey as they have to wait until September.
Quote from Turkish daily news again:
According to a Registry Office decision following the Constitutional Court's annulment of a previous law, foreigners cannot purchase real estate until a new law is enacted
ANKARA - Turkish Daily News
A new law on foreign ownership of real estate in Turkey is awaiting a Cabinet decision following abrogation of the previous law by the Constitutional Court.
The law was in effect before the annulment decision, with limits on individual foreigners purchasing property of 10,000 square meters and 50,000 square meters for foreign commercial companies.
According to the recently rejected law, suspended until a new version is adopted, the Cabinet had the authority to designate areas of strategic importance for irrigation, energy, agriculture, public use and security that were closed to foreigners. The Cabinet also had the authority to determine the maximum number of foreign sales on a provincial basis within a limit of 0.5 percent of total area of the province.
A joint committee formed of representatives from the justice, finance, public works and internal affairs ministries together with officials from the Office of the Chief of General Staff and the National Intelligence Organization (MIT) will soon start work on the new bill guided by the Constitutional Court's explanations for annulment.
Previous law:
Under the previous law, foreign firms could request permission to buy real estate in areas deemed as tourism, industry and technology investment regions.
A commission that consisted of representatives from the finance, interior, foreign affairs and justice ministries, the land registry offices, the National Security Council (MGK) and the Treasury wrote the bill, specifying criteria that foreigners must meet, before its ultimate rejection by the Constitutional Court.
Companies that required, for business purposes, more real estate beyond the limits had to seek Cabinet approval.
History of foreign ownership:
Foreign citizens have had the right to own real estate on condition of reciprocity in Turkey under various pieces of legislation since 1934. According to data provided by the Registry Office, over the past 69 years, foreigners purchased 37,342 parcels while 15,842 purchases were made during the period in which the latest law was in force -- over the last two years -- from July 19, 2003, when the law was enacted, to July 25, when the Constitutional Court annulled it.
During this period, real estate purchased by foreigners totaled 9.584 million square meters.
British purchase more real estate:
The same data shows that foreign nationals from 58 countries purchased real estate, with British citizens ranked first. Over the last two years, 8,625 British citizens bought 6,333 real estate parcels, followed by 3,210 Germans, who bought 3,482 parcels.
Hope that helps.
For info on buying in Akbuk and Altinkum area contact me on thebabeys@yahoo.co.uk.
many thanks bc will try to keep my eye on the situation with the hope all will be resolved before our visit in october, any info you come across would be most helpfull. cheers gary
There shouldn't be any trouble at all with the new law being passed, so October should be a good time to visit Turkey and at the end of the tourist season you may pick up a good deal.
If you woulld like details and pictures of my recent purchase of a villa for £32000 then email me at thebabeys@yahoo.co.uk and I can attach photos and give you details of the licensed agent (very few are licensed) I used.
Hello, I have just got back from Turkey. I paid a deposit on a villa at the beginning of June and am due to complete on it shortly, as I cannot purchase as a foreigner at present, the purchase in now going to be made in my Agents name and later transferred into mine. This is possible, as my German agent has lived in Turkey for 11 years and has Turkish citizenship. They are going to draw up a legal document showing that I am loaning them the money for the purchase. Only problem with doing it this way is that you get taxed twice, but they are getting the current owner to pay on lot of the tax, as he wants his money, if he doesn't pay the tax, then he will have to wait for his money. It is in has best interest, as he is only getting such a good price for the villa, due to us foreign buyers. An excellent website I have found is: http://home.btconnect.com/TURKISHECONOMY/ccrt_decision.htm I also found out that they had a similar problem to this last July, when they closed the Land Registry for a month or so.
I am traveling to turkey at the beginning of February '06 with the view to purchase an apartment. Looking in the Bodrum area. Would really appreciate any help and advice.
Thank you
where can i get simple and straight forward instructions in how to plumb in a bathroom and kitchen sink
Originally posted by philomena/2: I am traveling to turkey at the beginning of February '06 with the view to purchase an apartment. Looking in the Bodrum area. Would really appreciate any help and advice.
Thank you
I have a friend who has bought in Turkey. She has had no problems at all. I'm seeing her today so will ask her for some details of Agents and Solicitors etc. She did not buy in Bodtum, however she bought 3bed, 3bath, for 34K, with garden back and front and near to sea. It's not a new build. built around 1994 I think.
Parliament's General Assembly passed a much-anticipated law that establishes rules by which foreigners can purchase and own property in Turkey, despite some opposition arguments that the rules were tantamount to selling the country.
According to the law foreigners will be able to own property in Turkey subject to certain restrictions. The land purchased cannot exceed 2.5 hectares but can be increased to 30 hectares by Cabinet decree.
Foreign foundations, associations, cooperatives, communities and groups are not allowed to purchase real estate in Turkey.
The Cabinet will be responsible for approving the purchase of land by foreigners and foreign companies in areas that are strategically important vis-à-vis agriculture, energy, irrigation, protected habitats or that possess religious or cultural significance.
The Defense Ministry will be required to submit a list of military zones, special security areas and other prohibited zones to the Land Registry Office.
CHP deputy from Istanbul Birgen Keleş claimed the law would allow not only foreign nationals and foreign companies but also foreign state agencies to purchase property in Turkey.
Public Works Minister Faruk Özak said in an address to the assembly that as of April 15, 2005 foreigners had purchased 25,307 hectares of land, of which 21,160 were purchased by Syrian nationals prior to 1939. He said between 2003 and 2005 approximately 1,000 hectares were sold to foreign entities
The law will be retroactive to July 26, 2005.
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-------------------------------------------------------------------------------- For great deals in Altinkum region of Turkey contact jeff@akbukestate.com
Having just returned from Turkey yet again to find out what the current situation is with our property/land we purchased October 2004. It seems that the law changes are as follows: If you bought land/property in rural areas not covered by the local council you cannot get deeds in your own name unless you register as a company. The set up costs quoted varied wildly from £250.00 to £3,000 plus a monthly accountant cost of around £100.
At first like alot of people we assumed we would be OK as all our paperwork was submitted before July 2005 when they halted the buying process. But it seems they keep moving the goal posts- this is not good for a country who is trying to get into the EU - basically loads of people have bought prior to July 2005 in good faith and this should be honoured. It is nothing less than the Spanish Land Grab!! We spoke to people who have bought land in the hope of building their dream homes who can no longer do this. It also seems you get a different answer depending on who you speak to. You also have to remember those who have bought in countryside/rural areas may not be able to sell so easlier now to other foreigners who may not want to go to the trouble of opening business etc. This new law as far as I can see has taken the country backwards and not forward! New laws could had been quite easy by limiting land sizes depending in certain areas.
