This beautiful country is becoming much more popular among investors, potential tourists who would prefer to have their own place for summer vacations near the seashore or beautiful nature. The lawmakers in Turkey try to raise the tourist attractiveness of their country and try to bring the process of how to buy property in Turkey to a high standard being as simple and as transparent as possible in order to make it safe and easy. But for us to better understand the quality of opportunities we would try to walk through upsides and downsides of such possible investment and hopefully in the end you would know more about how to buy real estate in Turkey.
At first, we should consider all the positive aspects of such transaction, and we can name plenty of them without much thought:
- Firstly you could be amazed how easy is it to buy property in Turkey. The whole transaction could take up to a couple of days and may be accomplished through your lawyer or personal representative on your behalf. The laws don’t require your personal presence, and there will be no need for multiple trips back to the country just to sign some papers just to move a process a step further and having a need to sign some more a little bit later. But preferably you should be prepared and have all the needed documents ready for the property sale in Turkey. As we found out that anybody is able to buy some property with ease and comparatively fast and with help of professionals it could be done much faster.
- Also, the climate of the country itself is a huge advantage. The amount of tourist locations close to the sea or near mountains speak for itself. Without considering how to buy property in Turkey there is no doubt about the fact that you will be able to spend a great summer or winter vacation here and enjoy the nature and wonderful view of the land itself. On the other hand that means that the demand on such real estate will always be high, and your investment will always be valuable.
- It leads us to the next possible bonus – such a property could be an investment that generates income for you all year long. You could lend your real estate to the specialized companies that will rent it on your behalf and generate up to 10 % return on the investment rate per year.
- If you are planning to live in such a beautiful country and looking for some property for personal use you gain the advantage in the sense that the real estate you own gives you the right to get a resident card or even become a citizen by a simplified procedure. And even more so you could sell your property later and stay the citizen of the country regardless.
- As an owner of the property you are obligated to pay taxes. At the same time the tax rate in Turkey is considerably low – only 0.2 % of the value of the real estate per year. So if your motivation is to better understand how to buy real estate in Turkey as an investment project – this low tax rate should be a great advantage.
But before you book your flight to Istanbul, and start looking for a wonderful flat, house cottage you should learn about possible disadvantages:
- The main reason for concern would be high volatility of the market and high prices. Only during last year the value of real estate in some regions grew up to 200 %.
- Such rapid growth attracts a lot of attention including the attention of ill willed individuals. Now and then there are reports of different kinds of schemes and crimes committed during real estate sales. So in order to keep your investment as safe as possible you should use the help of specialized companies or consultants that would help you navigate in the local law environment and help you avoid all possible fraud and dishonesty.
- Another problem that is based on the rapid price growth is the possibility of the bankruptcy of the construction company. Before purchasing the flat in the future building you should investigate the past of the company and its reputation. Don’t get excited by the low prices – if you are not careful you could lose all your investment.
- Another aspect of the process you should definitely pay attention to is associated costs that are not part of the real estate deal but have to be paid nevertheless. It consists of different payments and taxes that should be considered. For example – residential property purchase tax, translation services, insurance on the property, utilities connection fee etc.
As a result we could say that Turkey is a very promising country in the field of real estate investments, but it has its own underwater rocks that have to be avoided and possible problems that should be dealt with. In order to make a safe investment or buy some real estate for personal use it is recommended to use the help of a qualified organization or consultant that could help you make all the process trouble-free.