Turkish Property Sales
Can I borrow money in the UK to purchase my Turkish property?
Currently it is not possible to arrange a mortgage to be secured
on a Turkish property from a UK lender. If you need to arrange
finance then you will need to remortgage or extend a mortgage
on a UK based property or other asset. Once you have purchased
your Turkish property you will be able to raise finance on it
through Turkish banking institutions. The interest rate however
a linked to the Turkish Lira is higher than in the UK.
Can all foreign nationals purchase property in Turkey?
Most foreign nationals can purchase property in Turkey. Agreements
are usually reciprocal between governments.
What will be my buying costs on top of the purchase price?
The costs on top of the purchase price will be
As a rough guide lines these usually work out as an additional
4 to 5% on top of the purchase price.
How negotiable are the advertised asking prices?
Unlike most things in Turkey property prices are not subject
to bargaining. Advertised prices like in all property markets
are open to offers being made and the agent should be able to
advise you on what is a sensible level of offer.
How can I pay the deposit to secure my property?
There are several ways you can pay the deposit money
-
Cash or travellers cheques
-
Cash withdrawal on a credit card over the counter in a
bank
-
Money transfer from your account in the UK to an account
in Turkey
Is self explanatory but not always practical depending on the
amount of cash you need to bring with you.
For this to work sucessfully the local banks must accept your
card. As a general Visa is fine, but Maestro is not accepted
locally. You will need to tell you credit card company that
you plan to make a large cash withdrawal otherwise they can
stop the transaction for security checks.
Not all UK money institutions will accept a fax or phone authorisation
for a foreign transfer. You must check with your bank or building
society before you come to ensure this is possible and if so
what documentation they require. Many sellers will accept a
goodwill deposit from you when you are here. This would be around
£1,000 to £2,000 pounds with the understanding the
balance of the 10% will be transferred to Turkey within 10 days
of your return to the UK. A good will deposit is non refundable.
Can I open a Turkish bank account from the UK?
It is not generally possible to open an account at a Turkish
bank from the UK. You must be present at the bank to open the
account and require your passport plus one other form of identification.
You do not need to place funds in the account but most banks
levy a small administration fee for setting up the account.
Are transactions completed in Sterling or Turkish Lira?
Generally most property transactions in this region are completed
in Sterling. If the property is advertised in Sterling then
the contract and payment will also be in Sterling. Euro or Dollar
are equally acceptable and the rate of the conversion will be
agreed at the contract date.
How long will it take to complete the purchase?
The main determining factor for completion is the arrival of
the military permission for the purchaser. The application for
the permission is made by the agent or lawyer through the local
land registry office. Once the application is made all parties
have to sit and await its return. Currently the time taken is
around 10 to 16 weeks
Do I have to return to Turkey for the completion?
Unless you have arranged for your power of attorney to be given
to the agent/lawyer or friend then yes. The transfer of the
title deed of the property is a process completed face to face.
How do I arrange power of attorney?
Power of attorney is arranged through the Notars office. You
will need to visit this office along wth the person to whom
you are giving the power of attorney and accompanied by an official
translator. The Notars office is open Monday to Friday only,
so allow time for arranging this, if this is your preferred
method of completion
Is a UK power of attorney acceptable?
Generally no. Some Turkish based legal firms can arrange for
you set up a power of attorney once you have gone back to the
UK but it is expensive and complicated. We therefore advise
you to arrange it in Turkey if at all possible.
If later I sell my property can I take my funds out of Turkey?
Yes. There is no restriction on foreign money movements into
or out of the country.
