Buyer Information

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Buying Property

From decision to transfer of ownership

Once you are satisfied that the property meets your requirements and the price is suitable, the process of transferring ownership begins.

When the sale and purchase conditions have been agreed with the owner or with his/her agent, you are advised to sign a contract covering all important relevant issues in the presence of a Public Notary (“Noter” in Turkish) in the area. Before signing the contract, you should obtain an English translation from a sworn translator. You are advised to get both Turkish and English versions of the contract stamped by the Public Notary.

Although current regulations state that this type of contract is not compulsory and that it is sufficient that the declarations of both buyer and vendor are made to the Title Deeds Registry Office for the transfer of ownership to be carried out, a strong sales & acquisition contract will enable you to protect yourself from potential risks.

If the contract you have prepared includes a “price clause", then both you and the vendor will have to pay a Stamp Tax of 0.75% of the value stated in it. If no value is stated, then you will pay only the notary fee.

To take the property off the market, you will need to pay a deposit of 10% of the purchase price. The timing of payment of the remainder is negotiable between you and the vendor. In some situations interim payments may be required.

As the next step, both buyer and vendor (or their legally authorised agents) apply to the Title Deeds Registry Office for transfer of ownership. Upon application, the office in question does a search on your behalf to ascertain whether or not the property is in a military or security zone. Local military authorities are asked to identify the property's exact status and once it has been confirmed that the property is outside military and security zones, your application is automatically accepted.

If the area of the land you intend to buy exceeds 30 hectares, then the approval the Ministerial Council is required.

Finally, you are given an official ownership document called the Title Deeds.

Documents requested by the local Title Deeds Registry Office

During the application, the buyer must provide the local Title Deeds Registry Office (“Tapu Sicil Mudurlugu” in Turkish) with the following:

i. Passport and/or ID Card of the buyer,
ii. Two recent passport (4cm x 6cm) photos of the buyer,
iii.  An acceptable Power of Attorney.

The vendor and the agent or solicitor to whom Power of Attorney has been given will also have to provide documents of their own.
 

What is a Title Deed?

A title deed (“Tapu Senedi” in Turkish.) is an official document which shows you have ownership rights over the property. The owner's full name and photograph, and detailed information about the property appear on this document.

Furthermore, you may request any restriction to be placed on the real estate while it belongs to you. In that case, the restriction is also shown on the document.

Declaration of the acquisition

According to current legislation, the owner of a property has to declare the acquisition to the municipality by the end of December in the year the acquisition takes place. This is for tax purposes. Real Estate Tax for the property in the year of acquisition is paid by the vendor whereas the consecutive years' taxes are paid by the buyer (new owner).

Companies buying property

Companies established in Turkey by foreign nationals (FDI companies) are subject  neither to military check/approval, nor any area/size limitation. This is the same as for companies owned by Turkish citizens.

Commercial companies established in countries with which reciprocity agreements have been made, have a longer procedure to follow. Their application to the local Title Deeds Office is forwarded to the General Directorate of Title Deeds (Tapu ve Kadastro Genel Müdürlügü (TKGM) in Turkish), the parent organization. Then, TKGM double checks the application with the Ministry of Foreign Affairs, to learn if the purchase is allowed under bilateral international agreements. When the Ministry has confirmed this, the company becomes eligible to buy the property.

In order to apply to the Title Deeds Registry Office, Companies established in Turkey in line with the Foreign Direct Investment Law have to issue an authorisation document prepared by the Commercial Registry Office on their behalf. This document principally covers the name/title of the company, the names of the authorized representatives, and whether the type/legal status of the business allows the property purchase. Commercial companies established in countries with which reciprocity agreements have been made, have to submit an officially stamped authorisation document. If any power of attorney is to take place, then two recent passport photos of the agent and an acceptable Power of Attorney are required.

How to make payments

In accordance with current regulations, any monetary transaction which exceeds YTL 8,000 (approximately £ 3,000) has to be made through banks, private financial agencies or the Post Office (PTT).

Making your payments through the systems mentioned above will enable you to document your property-buying transactions. In the case of any dispute or undesirable occurrence, you will be able to make use of these records.

You can make your payment in GBP, Euro, USD, New Turkish Lira (YTL) or other convertible currencies sold or purchased by the Central Bank in Turkey. If you want to carry out your transactions in New Turkish Lira, then you are advised to convert your currency into YTL in Banks, Private Finance Organisations or authorised Bureaux de Change  in Turkey.

Important Points to consider when buying a property