Property management in Turkey

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Property management in Turkey

We advise all our clients to consider adding 5% - 6% to the property purchase price to cover all expenses and additional costs that must be paid after the sale.

Taxes and general fees related to buying a property in Turkey are low when compared to other European countries such as Spain or France. We advise all our customers to consider adding 5% - 6% to the property purchase price to cover all expenses and additional costs that must be paid after the sale, while in other countries this percentage can reach 10-20% in exchange for additional fees and fees.

All property taxes are of the same value for Turkish citizens or foreigners, and in general they can be classified into the following main points:

Title deed tax:

Also known as the real estate purchase tax, it is paid only once to the bank in the Turkish government through the Land Registry Office, when the house is registered in your name and the title deed begins to be issued for your home. The value of this tax is 4% of the estimated value of the property, and if you are planning to buy from a project under construction, this amount will not be due until the completion of the construction of the project.

Annual property tax:

Once you own a property in Turkey, whether you are a foreigner or a Turkish citizen, you will have an annual property tax "EMLAK vergesi" that must be paid to the local municipality at the beginning of each year, and its value is 0.002% of the property value registered on the title deed copy.

Property insurance:

In Turkey there are two types of property insurance: compulsory and non-compulsory. Compulsory insurance consists only of earthquake (or disaster) insurance, known as DASK. This amount must be paid after registering the property in your name, and its value depends on the size of the property, and it must be renewed every year.

Capital gains tax:

Capital gains tax must be paid if the property is sold during the first 5 years from the date of purchase, and it is calculated at 35% of the difference between the current value of the property and its value when it was previously sold. If any property is sold after 5 years from the date of its purchase, this tax is exempt from the law and it is not due from the seller.

Other expenses:

It relates to water, electricity and gas subscriptions, which must be paid one time only, in addition to other expenses related to the Internet and television, which are completely optional. Also, you must pay some small monthly fees for cleaning, security, and maintenance services provided by the housing complex. And this amount is determined by the complex management after the completion of the delivery of the project.

Editing: Binaa Real Estate ©