REAL ESTATE PURCHASE IN TURKEY FOR FOREIGNERS
It is possible for foreigners to acquire real estate in Turkey within legal limitations.
According to Land Registry Law Article 35, natural persons of foreign nationality, who are citizens of the countries determined by the President of the Republic, may acquire real estate and limited real rights in Turkey, in terms of international bilateral relations and in cases where the country’s interests so require.
With the change made in 2012, the acquisition of immovable property by foreigners is facilitated and the reciprocity requirement for acquiring immovable is abolished.
Legal Restrictions on Real Estate Purchase by Foreigners
There are some conditions and legal restrictions for foreigners to acquire real estate. Conditions for foreigners to purchase real estate;
- The total area of immovable acquired by real persons of foreign nationality and limited independent and permanent rights in rem cannot exceed ten per cent of the area of the district subject to private property.
- The sum of the acquired immovable and the independent area cannot exceed thirty hectares per person throughout the country. The President is authorized to double the amount that can be obtained throughout the country per capita.
- Foreigners cannot acquire or rent immovable property in military forbidden zones and security zones.
Foreigners can acquire all kinds of immovable in terms of quality, provided that they comply with these restrictions. Information can be obtained from the Embassies/Consulates of the Republic of Turkey and the General Directorate of Land Registry and Cadastre regarding the relevant countries determined by the President. A clear list of the relevant countries is not published, as confidentiality is essential on the subject.
About Foreign Legal Entity Acquisitions In Turkey
According to the provision of Article 35, which took its final form by amending the Article 35 of the Land Registry Law No. 2644 with the Law No. 6302 published in the Official Gazette dated 18.05.2012 and numbered 28296;
“Commercial companies with legal personality established in foreign countries according to the laws of their own countries, can acquire real estate and limited real rights only within the framework of the provisions of special laws. Those other than these trading companies cannot acquire real estate and limited real rights cannot be established in their favor. The restrictions in this article do not apply to the establishment of immovable pledges in favor of these trading companies and foreign real persons.”
Accordingly, the provisions of the special law mentioned above are;
- Tourism Encouragement Law No. 2634: Ministry of Culture and Tourism will be able to decide to allocate real estates in cultural and tourism protection and development zones and tourism centres to foreign tourism enterprises.
- Law No. 4737 on Industrial Zones: The Ministry of Science and Industry may grant easement or use permits to foreign companies in regions allocated as “Industrial Zones”.
- Petroleum Law No. 6326: Companies established in accordance with the legislation of foreign countries may have “Oil Rights” according to this Law and may rent the land required for oil processing from the Ministry of Finance, request an easement right or obtain a right of use. In addition, even if the relevant lands are subject to private ownership, these companies will be able to request easement / lease by agreeing with the private owner; If this agreement is not realized, it will be able to demand the expropriation of the relevant land.
Furthermore, even if companies established in accordance with the legislation of foreign countries cannot acquire real estate within the scope of any of the above Laws, they can overcome this obstacle by establishing a company in Turkey.
Feel free to contact Antalya Lawyer Ceren Topcu İncetaban for detailed information on the subject.
Other Limitations on the Acquisition of Real Estate by Foreign Companies
The limitations on the acquisition of real estate by foreign companies are as follows;
- The size of the real estate acquired by a company cannot exceed 30 hectares and cannot exceed 10% of the privately owned areas in the district where it is located.
- If the trading company established in accordance with the foreign legislation has purchased land/land, it has to carry out a project on that real estate and will have to submit the relevant project to the Ministry for approval within two years.
- Foreign trade companies are required to obtain permission from the relevant commands for the immovable to be purchased within the military forbidden zones and military security zones and from the provincial governor for the immovable within the special security zones.
If foreign legal entities acquire real estate in violation of the conditions specified above or fail to fulfil their obligations, they will be required to liquidate the real estate within one year. Otherwise, the relevant real estate will be liquidated by the Ministry of Finance and the amount obtained will be paid to the beneficiary.
Contact Antalya Lawyer Ceren Topcu İncetaban and her Antalya Law Firm to avoid loss of rights.
What are the required documents for foreigners to obtain immovable property in Turkey?
✓ The title deed document of the immovable or the information of village/neighbourhood, island, parcel, building, and independent section.
✓ The person who wants to acquire the immovable must have a passport or identity document.
✓ The Real Estate Market Value Certificate of the real estate must be obtained from the relevant municipality.
✓ There must be a compulsory earthquake insurance policy for buildings (housing, workplace, etc.).
✓ Up-to-date photograph taken within the last 6 months, including 1 of the seller and 2 of the buyer.
✓ If there is a party who does not speak Turkish, a sworn translator and two witnesses.
✓ In case of transactions with a power of attorney issued abroad, the original or certified copy of the power of attorney together with its translation.
Matters to be Considered in Real Estate Purchases by Foreigners
During the acquisition of real estate by foreigners, it is necessary to check that there are no restrictions on the real estate such as mortgages, foreclosures or an obstacle to sale.
Further, foreigners must submit the project related to the unstructured immovable (land, field) they have purchased to the relevant Ministry for approval within two years. This project is approved by the relevant Ministry by determining the start and completion time and sent to the land registry office where the immovable is located to be recorded in the declarations section of the land registry. The relevant Ministry monitors whether the approved project is carried out within the prescribed period.
Illegally acquired real estate by foreigners, real estate used contrary to the purpose of acquisition that is determined by the relevant Ministries and administrations, real estate for which is not applied to the relevant Ministry in due time or whose projects are not realized within the period, shall be liquidated and converted into value if they are not liquidated by the owner within a period not exceeding one year.
For detailed information on the subject, you can contact our Antalya law firm lawyers experienced in real estate law.
Foreign nationals who comply with the legal conditions listed above should make a preliminary application with the necessary documents to the land registry office where the real estate is located. The land registry office examines whether the real estate and the foreigner who wants to buy it meet the necessary conditions for sale.
In case of deficiencies that can be corrected within the real estate purchase conditions of foreigners, the application shall be put on hold. If the appropriate conditions cannot be met, the application will be rejected.
In case of rejection of the application by foreigners during the purchase of real estate, an objection can be made to the Regional Directorate in the place where the title deed directorate is located.
In Brief, real estate acquisition by foreigners is possible within legal limitations. Although it may seem easy and clear, this procedure requires expertise and attention. For this reason, you can get support from our lawyers who are experts in real estate law in order to avoid loss of rights. Do not hesitate to contact Antalya Lawyer Ceren Topcu İncetaban and her Antalya Law Firm for legal assistance.