What is a Sales Contract and a Title Deed? And what's this Tapu I've heard about?
You will come across both the Sales Contract and the Title Deeds when buying your property in Turkey - in fact they are the most important documents in the whole process. The Sales Contract is the legal document stating that, subject to security clearance, you, the buyer, agree to buy the property; the price you agree to pay, and the date by which you agree to pay it. It also states that the seller agrees to sell you the property at the agreed price, and that if there are any undeclared problems with the property or the seller pulls out of the sale, the sale will be annulled and the seller will pay you a penalty fee of £5000 -£10000. Similarly if you pull out of the sale, it states that you will pay the seller the same penalty fee. The sales contract will also include any extras you negotiate with the seller, such as fixtures and fittings. The Title Deed is the legal document of ownership of the property. The Turkish name for this document is "Tapu Senedi", hence the Tapu you may have heard about. Once the property is sold, the title deeds are transferred from the seller to the buyer and that concludes the sale. If there are any restrictions on the property they will be itemised in the title deeds. Therefore it is very important for the solicitor to check the deeds carefully before recommending that the sale proceed. You can also ask to have restrictions placed on the deeds once transferred to you if you wish. In order to have the deeds transferred into your name, the details of the sale will be submitted for security clearance and once clearance has been given, the deeds will be transferred.
Can I purchase property without coming to Turkey?
Yes. Although we recommend to our clients to first view the property, it is also possible to buy using power of attorney. We can represent you and organize all legal procedures on your behalf.
What happens if I buy a resale property and the previous owner ran up debts against it?
When you buy a resale property in Turkey, it is important to have the property checked for outstanding debts by the solicitor. If there are debts outstanding against the property they will be logged at the Title Deeds office. If there is any problem with the property, the solicitor will advise you not to proceed with the sale, and the seller will be required to pay you a penalty fee which is written into the Sales Contract. Sunshine Turkish Homes arranges for this check to take place as standard on all sales to give you complete security.
In the UK, I have drawn up a will leaving my inheritance to my spouse and my children. What laws app
There are two laws that apply to the inheritance of property in Turkey. One is inheritance law and the other is property law. Under Turkish Inheritance Law the inheritance of property by a foreign national is dependent on reciprocity between the two countries involved. As Turkish nationals can inherit property in the UK, UK citizens can also inherit property in Turkey. If you have no will, the property will automatically be inherited by your next of kin (usually your children). If you wish to leave your property to someone other than your next of kin, you should make a will in the UK specifying this. Under Turkish Property Law, foreign nationals cannot own property within a military zone or of more than 30 hectares / 74 acres in area. Therefore your inheritors will need to go through security clearance before inheriting your property. ( If your willed heirs are nationals of a country that does not have a reciprocity agreement with Turkey, any real estate that you have willed to them will be liquidated and they will instead inherit the cash value of your property. The same applies if your heirs cannot inherit the property because it is within a military zone or of more than 30 hectares [Article 35 of the Land Registry Law]. Inheritance tax is payable in Turkey but any tax paid in the UK will be deducted from the amount payable in Turkey. It is generally recommended that you have a will drawn up no matter what your circumstances.
Does my country have a reciprocity agreement with Turkey for ownership of property?
In order to own or inherit property in Turkey as a foreign national, your country needs to have a reciprocity agreement with Turkey. (See In the UK, I have drawn up a will leaving my inheritance to my spouse and my children. What laws apply to my property in Turkey?) Countries listed in the Annex 1 list have a full reciprocity agreement with Turkey, and nationals of these countries can own and inherit property in Turkey. Nationals of Annex 2 countries cannot own or inherit property in Turkey. Nationals of Annex 3 countries have reciprocity for building acquisition only. The rights of nationals of other countries will be considered on a case-by-case basis. If you have any questions regarding your rights to own or inherit property in Turkey, you should address them to your embassy. Top ANNEX - 1 1. ANDORRA 2. ARGENTINA 3. AUSTRALIA 4. AUSTRIA 5. BAHAMAS 6. BANGLADESH 7. BARBADOS 8. BELGIUM 9. BELIZE 10. BENIN 11. BOLIVIA 12. BOSNIA-HERZEGOVINA 13. BOSTWANA 14. BRAZIL 15. CAMEROON 16. CANADA 17. CAPE-VERDE 18. CENTRAL AFRICAN REPUBLIC 19. CHILE 20. COLOMBIA 21. COSTA RICA 22. COTE D'IVOIRE 23. CROATIA 24. DENMARK 25. ECUADOR 26. EL SALVADOR 27. ENGLAND 28. ESTONIA 29. FINLAND 30. FRANCE 31. GABON 32. GERMANY 33. GHANA 34. GUINEA 35. GRENADA 36. GUATEMALA 37. GUYANA 38. HAITI 39. HONDURAS 40. HUNGARY 41. IRELAND 42. ISRAEL 43. ITALY 44. JAMAICA 45. JAPAN 46. KOREA, SOUTH 47. LATVIA 48. LIECHTENSTEIN 49. LITHUANIA 50. LUXEMBOURG 51. MALAWI 52. MALAYSIA 53. MALI 54. MALTA 55. MAURITANIA 56. MAURITIUS 57. MEXICO 58. MONACO 59. MOZAMBIQUE 60. NETHERLANDS 61. NEW ZEALAND 62. NICARAGUA 63. NIGERIA 64. NORWAY 65. PANAMA 66. PARAGUAY 67. PERU 68. PHILIPPINES 69. POLAND 70. PORTUGAL 71. SAN MARINO 72. SENEGAL 73. SINGAPORE 74. SOMALIA 75. SOUTH AFRICAN REPUBLIC 76. SRI LANKA 77. SPAIN 78. SWAZILAND 79. SWEDEN 80. SWITZERLAND 81. TANZANIA 82. THE REPUBLIC OF DOMINICA 83. TURKISH REPUBLIC OF NORTHERN CYPRUS 84. UNITED STATES OF AMERICA 85. URUGUAY 86. VENEZUELA 87. YUGOSLAVIA(SERBIA-MONTENEGRO) ANNEX - 2 1. AFGHANISTAN 2. ALGERIA 3. ARMENIA 4. BURMA 5. CAMBODIA 6. CUBA 7. CZECH REPUBLIC 8. ERITREA 9. ETHIOPIA 10. FIJI 11. ICELAND 12. INDIA 13. INDONESIA 14. IRAQ 15. KOREA, NORTH 16. KUWAIT 17. LAOS 18. LIBYA 19. MALDIVES 20. MONGOLIA 21. NEPAL 22. NIGER 23. OMAN 24. PAPUA NEW GUINEA 25. QATAR 26. SAUDI ARABIA 27. SLOVAKIA 28. SUDAN 29. SURINAME 30. THAILAND 31. TUNISIA 32. UNITED ARAB EMIRATES 33. VIETNAM 34. YEMEN ANNEX-3 1-AZERBAIJAN 2-BAHRAIN 3-BELARUS 4-CHAD 5- CHINA 6-EGYPT 7-GEORGIA 8-IRAN (With the conditions of five-year residence and permission of relevant Ministeries) 9-JORDAN 10-KAZAKHISTAN 11-KENYA 12-KYRGIZISTAN 13- MACEDONIA 14-MOLDOVIA 15-MOROCCO 16-NAMIBIA 17-ROMANIA 18-RUSSIAN FEDERATION 19-SLOVENIA 20-TAJIKISTAN 21-TURKMENISTAN 22-UGANDA 23- UKRAINE 24-UZBEKISTAN
Do I have to pay any maintenance money if I own property in a complex
There is an annual charge for the houses in the complex for maintenance of the pool and wages of the security and regular upkeep. This would be approximately between 100 and 250 pounds a year.
Are the properties in Turkey freehold or leasehold?
All the properties we sell are freehold properties as it is almost impossible to find leasehold property in Turkey.
Can we take our money back out of Turkey if we sell our property?
Yes, you are able to take money back out of the country in pounds sterling. Via a bank is the preferred option, as this registers the money both arriving into and departing from the country.
Can the Title Deeds have more than one name on it?
Yes, it can. It can have as many names as you wish on it. We will need passport copies, full names and addresses of all those whose names are to appear on the Title Deeds
If I own a property in Turkey, is there a limit to the amount of times I can come to Turkey to use
No, there is no limit.
Do I need earthquake insurance?
This is a statutory government requirement. All new buildings must have earthquake insurance. Additional cover can be obtained, however is not a legal requirement. We are able to advise you on reputable Insurance companies in the area
Do I need a solicitor and how do I find one?
The short answer is - you don't have to but you should. In Turkey, the solicitor you instruct to oversee your sale will perform the same duties as a conveyancer in the UK: check the title deeds of the property, confirm there is no outstanding debt against the property and verify the terms of the sales contract. If there are any unfair or restrictive clauses in the contract the solicitor will draw these to your attention and recommend against buying the property. It is perfectly legal to buy a property without going through a solicitor but unless you are familiar with Turkish, and conveyancing, and Turkish conveyancing, you could find that £250 saving you made looks like less of a good deal when you find you are liable for the previous owner's bank loan! Our company can recommend some that are well known and experienced.
What is the advantage of buying property in Turkey?
Since Turkey has been given the date of October 2005 for starting negotiations to become a member of E.U., you will be able to double and even triple your investment within a few years. Real estate prices are still very attractive in comparison with E.U. countries, take your chance to make a good investment for your future. And with the last changes in the regulations on property ownership for foreign citizens, buying a property is a lot simpler now and living cost is incomparably cheap compared to the majority of European countries
Can I have a bank account in Turkey?
Yes, you can open bank accounts in Turkey. Your passport will be required for this transaction. Also cash machines are available everywhere in Turkey
How long does it take to own the property?
The process of obtaining the title deeds takes approximately two-three months. A military check is also made for all foreign people before the title deeds are authorised.
Will it be a good investment to buy a property in Turkey?
Potentially, purchasing a property in Turkey is a great investment opportunity because prices are much cheaper than the prices in Europe. Turkey is also about to become an EU member in the next few years. After this happens, we anticipate that the prices will increase.
If I purchase a property in Turkey, do I have to come to Turkey many times?
Will it be possible for me to obtain enough leave from work? If you purchase through us, we manage the sale for you. You would only need to come over to Turkey once
Am I able to purchase property in all parts of the country?
Except military zones foreigners may purchase land and property in Turkey under their own names, and a recent change in Turkish legislation (i.e.in the article 35 / dated July 3, 2003) permits foreigners to buy a property outside the boundaries of a municipality, i.e. council district (Belediye) and within a village or rural area as well.
How Can I Get to Bodrum?
Turkey is 3.5 hour flight from the UK. It is now possible to fly all year round direct to Bodrum, Dalaman and Antalya..
What is Inspection Trip
As we are not tied to any one developer we suggest you take an independent viewing trip, where we can give you totally unbiased advice on a far wider range of properties than would have otherwise been available. We can however arrange your accommodation at preferred rates and provide all your transfers. On arrival in Turkey, you will be met at the airport by one of our team from the Turkish offices and taken to your hotel. They will help organise an itinerary for your stay, arrange viewings for the properties in which you are interested and answer any questions you may have. You will be shown the whole locality; it's amenities and topography in order for you to make an educated choice of both property and area. For the duration of your visit, our team will be on hand to make your stay as enjoyable and informative as possible. A two-three day stay should be sufficient, although sometimes it may be more appropriate to take a week, depending on seasons and flight times
Can you please teel me more about 'Buying Procedure' ?
It is relatively straightforward to buy property in Turkey. Foreign Nationals are permitted to purchase a property in their own name is the property is located outside a Military Zone.
Once you have decided on your property purchase, Sunshine Turkish Homes will help agree the Sale with the Seller, confirm the sale price and agree deposit and payment terms. Sunshine Turkish Homes will draw up a Reservation Agreement which will be signed by both the Seller and the Buyer and a non-refundable reservation fee can be paid to secure the reservation. (the reservation fee will be refunded if the seller does not continue with the sale or if the property does not have the correct Title Deeds)
Appoint a Solicitor – Your Solicitor will verify the Sellers details, check the Title Deeds (TAPU) for the property you are buying, check that the Seller actually owns the property, checks that building licenses and permissions are in order and checks if there are any ‘charges’ on the property (see note 3) . She/He will also draw up a full terms & conditions Contract, manage the payments, apply for your Military Permission (see note 1), act as your Power of Attorney (see note 2), complete the transfer of the Title Deeds (TAPU) to your name and register you for electricity and water connections.
Obtain a Tax Number - This can be done before your decide on a property to purchase. You need a Tax Number to purchase a property and to open a Bank Account in Turkey. Sunshine Turkish Homes or your Solicitor will assist you with this.
Military Permission – Your appointed Solictor will register the sale at the Land Registry office and apply for your Military Permission (see note 1). You do not need to be present if your have appointed your Solicitor or a third party to act on your behalf (Power of Attorney - see note 2). Your Solicitor will be required to settle the Military Permission Fees. (see fees & charges).
Transfer of Title Deeds - Once Military permission has been granted, your Solicitor will arrange for the Title Deeds (TAPU) of the property you are buying to be transferred to you name. You do not need to be present if you have appointed your Solicitor or a third party to act on your behalf. Your Solictor will be required to purchase mandatory Earthquake Insurance for you and pay the necessary purchase taxes. (see fees & charges). If you or your Power of Attorney are not Turkish, you will require the official Translator to be present.
Once you have successfully purchased your property, your Solicitor will arrange for the connection of electricity and water. She/He will also register you with the local Municipality (council) for the payment of annual property tax. (see fees & charges). You should now arrange for your House Insurance.
Note 1 – Military Permission. To purchase a property in Turkey you require Military Permission. This procedure checks if the property you are buying is outside a Military Zone or not. They will also carry out a character check. If the property you are buying is inside a military zone then you will be required to form a company in Turkey. Your Solicitor will assist you on this matter. As a guideline – parts of Bitez and Turgutreis are inside military zones, as are the towns of Yahşi, Bağla and Akyarlar. Peninsula Property Services will check if the property you intend to buy is inside or outside of a military Zone before you proceed with your purchase
Note 2 – Power of Attorney. If you are not able to be present in Turkey at each stage of the purchase process, then you should appoint your Solicitor to act on your behalf. Where possible, the Power of Attorney should be arranged in Turkey before you return back to your country as it is costly and time consuming to arrange from overseas. The Power of Attorney is completed at a Noter’s Office and you must have an official Translator present. The cost for the Power of Attorney varies according to the services you wish your appointee to act for on your behalf. (see fees & charges). You will need the following:-
Note 3 – Placing a ‘Charge’ on a Property. (also called a ‘lean’, ‘spottage’ or ‘hypotek’). When a Turkish national purchases a property it is normal to make full payment and complete the transfer of the Title Deeds (TAPU) in one day. However, this is not possible for Non-Turkish citizens because of the time taken to gain Military permission. It is normal in this circumstance for the Seller to ask for full payment or stage payments from the Buyer before the transfer of the Title Deeds. To protect your money, a ‘Charge’ (optional) can be placed on the property at the Land Registry office. (see fees & charges) This protects the money you have paid and ensures that the property cannot be sold to a third party without your money being refunded and a pre-agreed penalty being paid by the Seller to the Buyer. Your Solicitor will manage this on your behalf. When purchasing your property, your Solicitor will check to ensure that a ‘charge’ has not previously been placed on the property you are buying.
Fees and Charges (please note, all fees & charges are provided as a guide and are subject to change without notice)
Agency Fees – 3% of the Purchase Price (unless otherwise advised – some properties at 0%)
Solicitor Fees – 750 £
Passport Translation - Noter Fee YTL80 per passport. Translator YTL80 per passport.
Power of Attorney – Noter Fee YTL120–400, depending on content/number of Buyers.
Placing a ‘Charge’ on the property – 1.2% of the amount being protected (purchase price plus any agreed penalty)
Land Registry Fee (transfer of Title Deeds) – 1.5%- 3% of the TAPU value as set by the Municipality – this is much less than the purchase price.
Admin fee –
Translator Fee – 100 £
Earthquake Insurance – depending on site
Annual Property Tax – 0.10% of the TAPU value (new properties exempt for 5 years)
Military Permission Fee – depending for completion of the Maps required, plus the Municipality charge.