Purchasing property in Turkey comes with interesting benefits such as becoming a Turkish citizen, enjoying full medical coverage, having access to pension programs, and enjoying free education reimbursement plans.
Thanks to the Turkish citizenship by investment program that was launched in 2017, foreigners can purchase property in Turkey. The current quote is $250,000 in property to be eligible for the program.
That being said, investing in property is a lot more than pointing at a random piece and buying. You need to know where you wish to purchase and why. For example, most foreigners prefer to purchase property in leading provinces such as Antalya, Bursa, and Ankara.
Besides location, the price also plays an important role in the selection process.
The closing costs are very important and can be broken down as follows:
Besides the closing costs for property purchase, there are after-sale costs to consider. A yearly property tax is levied on all properties and varies between small and big cities. For example, the yearly property tax for residential properties in big cities is set at 0.2% while that in small cities is set at 0.1%. For commercial properties, it is set at 0.4% for big cities and 0.1% for small cities. For a piece of land in a big city, you will be looking at a 0.6% tax while a small city will call for a 0.3% tax. For farms in big cities, the tax is set at 0.2 % while in small cities; it is set at 0.1%.
There is also compulsory Insurance (DASK) which covers things such as natural disasters. This fee varies between 100 TL and 300 TL (depending on the property size) and is paid annually.
Other fees to consider include the Agency fee (standard at 3%; but some agencies offer this service for free), rental income tax as well as the notary public and translator fees.