Buyers will be delighted to know that expenses when buying property in Turkey are low compared to other countries. Still, knowing exactly how much extra you will pay, makes the process smoother, so we have listed expected costs below. Prices are set in Turkish lira and are rough guidelines. When you ask about any particular property for sale, we prepare a detailed payment plan, so you know exactly what to pay and when.
Expenses when Buying Property in Turkey
The Land Registry and Cadastre Directorate (Tapu ve Kadastro Genel Müdürlüğü) charges 3% of the property value at the time of signing for your title deeds. In Turkey, declared property values adhere to local council price brackets and these are often less than the sales price. The land registry also charges a one-time processing fee of 260 TL.
Agent, Lawyer, POA and Translator Fees
Istanbul homes charge 2% + VAT in agency fees, but occasionally off-plan and new construction homes are sold without agency fees. At the time of signing for your title deeds, you will need a certified and registered translator, who charges approximately 100 Euro. If you cannot attend in person, a Power of Attorney costs roughly 500 TL.
We recommend using an independent lawyer and can recommend reliable choices if you don’t know of any. Lawyers charge 1% of the property purchase price or a minimum of 1.200 Euro and 18% VAT.
Electricity, Water and Telephone Connections
The electricity industry is privatized in Turkey, so one-time connection fees vary from district to district. Connection fees apply to off-plan and newly constructed homes and a rough figure is 550 TL. This reduces to 400 TL if you have bought a resale home and just need to transfer the name. These prices include a security deposit of 53.60 TL.
Water connection is a set fee of 525 TL, and a first-time connection of a landline telephone varies from 15 to 20 TL. Please note to get a landline, you need to have a Turkish residence permit.
Annual Property Tax
Every home must pay a yearly property tax which is 0,2% in metropolitan municipalities and 0,1% in non-metropolitan areas. Commercial properties pay 0,4% in urban districts and 0,2% in non-metropolitan areas. When signing for the title deeds, the seller must ensure there are no property tax debts.
By law, every home must have DEPREM sigorta that are earthquake insurance. The amount depends on the size of your property. An annual policy for a two-bedroom house measuring 75 square meters is roughly 150 to 200 TL depending on the insurance company used. Added but not legal insurance costs include fire, theft, damage and contents.
This article details expenses when buying property in Turkey, but our article about the cost-of-living lets you know how much to budget for monthly groceries, and running costs. We are also available via email, phone or by dropping into one of our offices if you want to speak to a local sales rep about investing in the Turkish real estate market.