Real estate prices in Turkey are relatively low compared to other European countries. That combined with its bid to join the EU and its constant supply of sunshine makes it an attractive investment opportunity for holiday makers and expatriates alike. There are properties to fit various budgets and needs in Istanbul. You can get a single bedroom apartment for $70,000 or opt for a luxurious sea view villa for $1500,000. Either way, you’ll need some local real estate agents to help you with your purchase and legal matters. Below are some to get you started.

Estate agents

There are numerous estate agencies or specialised websites in Istanbul. You can try the following:

• http://www.midasplc.com/
• http://www.buypropertyistanbul.com/
• http://www.turkishpropertypeople.co.uk/
• http://realestate.emlakjet.com/

Solicitor fees

Solicitor fees are typically about 1000EUR. Other fees to be aware of during property buying include:

• Land Registry Fees: The ‘Property transfer Tax’ needs to be paid to the registry office and amounts to 3% of the value of the property as declared on the deed. There are additional charges that will account to about 200EUR.
• Public Notary Fees are not always required but can cost the buyer about 130EUR
• Transfer of water, electricity and telephone can amount tot a further 70EUR.

In short, it will be wise to allow between 3-5% of the price of the property for additional charges.  For more information on property buying in Istanbul, please click here: http://www.rightmove.co.uk/overseas-property/Turkey-guide.html

Mortgage

DHB is a Dutch Bank that offers Turkey Mortgage. A service that allows expatriates financing options on real estate that's less than ten years old in Turkey. Click here for more details. http://www.mortgageforturkey.co.uk/

Tax

Property taxes are the same for foreign and local nationals. Annual Real Estate Tax rates for cultivated land, uncultivated (for building) land, non-residence-purpose buildings, and residential buildings are 0.1%, 0.3%, 0.2%, and 0.1%, respectively. With regards to real estate in Turkey, following taxes or compulsory insurances need to be taken into consideration:

• Personal income tax (based on rental income and capital gains)
• Inheritance and succession tax
• VAT (if a commercial delivery takes place)
• Real estate tax (similar to the Council Tax in the UK)
• Real Estate Acquisition and Purchase Levy (at the time of purchase or sale)
• Stamp Duty (if a contract with a monetary clause exists)
• Environmental tax (collected through water utility bills)
• Corporate tax (in case of a commercial transaction of a company)
• Earthquake insurance (a nationwide contribution rate is applied)

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