Turkey is a fertile environment for investment in its various sectors, and since the beginning of the current decade, the t.

Important information: The real estate market in Turkey

Date:

Thursday, January 12, 2023

Turkey is a fertile environment for investment in its various sectors, and since the beginning of the current decade, the t.

Important information about the real estate market in Turkey:

Turkey is a fertile environment for investment in its various sectors, and since the beginning of the current decade, Arab investors have taken Turkey as a gateway towards investment, the most prominent of which was real estate investment , as the Arab investor went to buy apartments in Istanbul and search for apartments for sale in Turkey and villas for sale in Asian Istanbul , that strategic Turkish city Which is the backbone of real estate investment in Turkey.

Why Turkey?

Turkey enjoys economic and political stability, and its economy is thriving to achieve a qualitative leap and rapid development, as Turkey was ranked as the second fastest growing economy after China.

It is considered one of the best tourist places in the world. As it attracts foreign and Arab tourists due to the beauty of its nature and its huge archaeological treasures, its features are spread in most Turkish cities, especially the city of Istanbul, which includes the most beautiful tourist places in Turkey .

Turkey's vast geographical area, climate diversity, large population, and strong infrastructure play a key role in providing a suitable investment climate for any type of investment.

All these factors encouraged Arab businessmen and investors to head towards Turkey, and in recent years Arab investors have focused on the Turkish real estate market, where high rates of buying apartments were recorded in Turkey, and the Gulf countries occupied the first ranks for the highest rates of purchase . The Saudis went to Turkey and invested their money in buying apartments in Istanbul and other Turkish cities.

Real estate investment in Turkey:

Investment options in Turkey vary, and buying real estate in Istanbul is safer and more successful. What are the types of real estate investment in Istanbul?

Hotel apartments: The hotel apartments system is quick to rent, since Istanbul is an important tourist city and tourists flock to it throughout the year, so choosing apartments for the hotel system will be successful. Most construction companies for hotel complexes also grant a rental guarantee for several years with an excellent profit return.

Office apartments: Office apartments provide a high profit return. These real estate properties are characterized by the ease of renting and a long-term contract, because the tenant establishes an office and a headquarters for his work, and his stay there will last for years so as not to lose his clients who are accustomed to the location of his headquarters.

Real estate in Istanbul under construction: We advise you to buy a property in Istanbul within projects under construction, where the purchase price is much lower than the price of the property after the completion of construction and building works, and therefore the return from resale will be large between 25% and 35%.

Real estate tax in Turkey:

Real estate title tax:

The title deed tax is imposed upon registering the title deed at the Real Estate Registry Department in Turkey , and its value is equivalent to 4% of the price of the property specified in the sales contract, and it is usually paid equally between the buyer and the seller.

Municipal tax fees:

Turkish municipalities impose annual fees of 0.03% of the value of the property on real estate established within the area under the municipality's service, which is equivalent to $30 per year for a $100,000 property. This tax is paid for the services provided by the municipality to the area.

Seismic and natural disaster insurance fees:

An annual tax paid by the owner of apartments in Turkey to insure his home against natural disasters, and it is equal to $ 2 for each square meter of the apartment area. The value of the natural disaster insurance tax varies according to the location of the property.

Real estate inheritance law in Turkey:

The real estate inheritance laws in Turkey depend in their principles on the location of the property. That is, the law applies to real estate within the borders of Turkish lands, real estate, and immovable property, while the laws of the deceased's country apply to his movable property.

Who are the direct heirs of real estate property in Turkey:

The first heirs are the husband or wife. According to Turkish law, the wife inherits half of what the husband left.

The children inherit half of the real estate left by the father, and the shares of males and females are equal.

In the event that the deceased had no children, the father and mother are determined as heirs to the deceased, and if the father and mother were not alive, his brothers inherited from him. As for the grandchildren, they are specified at the end of the list.

If there are no heirs to the deceased, then all his property goes to the Turkish government. It is worth noting that the Turkish government relies on the official will, if any. The will must be certified at the notary.

The inheritance shall be distributed after the deceased has been cleared of his obligations (bank debts, installments, mortgages), if any.

What is inheritance tax?

The law applies an inheritance tax like any other country, but the inheritance tax is relatively low in Turkey. The tax is between 1-10% of the value of the property, and its rate is determined according to the value of the property.

Important tips before starting your investment in Turkey :

- The real estate market is linked to the Turkish local market and is affected by it.

- Choosing large cities with a large population for its stability.

- Focusing on the area of the apartment, as the apartments are in the form of a room and a hall, and two rooms and a hall,

Three rooms and a hall, is the fastest.

- If your investment is in rent, then the annual profitability return in the city of Istanbul, for example, ranges between 4-8% and rises in the case of

Tourist rental.

- Focus should be placed on the real estate area and the services available therein from the transportation network and infrastructure, as these are the most influential factors in increasing the annual profit rate.

FCC Real Estate Investment and Development Group in Turkey offers you more than 200 projects in Istanbul within important vital areas, suitable for all your housing and investment choices. All you have to do is contact our advisory team to get free real estate advice and enter the world of real estate investment from its widest gates.

Important information: The real estate market in Turkey

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