Many Foreign Visitors Have Taken A Great Interest In Buying Property In Turkey, As Well As Foreign Investors Have Chosen Turkey To Set Up Their Real Estate Investments Since The Country Provides them Huge Benefits.
But foreign investors and buyers are afraid of buying or investing in real estate in Turkey due to the increasing number of fraudulent reports regarding real estate, which is mostly due to lack of information.
We will discuss today the real estate fraud and title deed fraud definitions, the types of real estate fraud in Turkey, and the solutions to avoid them.
What is real estate fraud?
Real estate fraud is where one person or party gives false information or makes false representations of the information regarding the real estate at any phase of real estate transaction in connection with the purchase, sale, rental, or financing of real estate property.
What is deed fraud? And what is deed forgery?
Deed fraud or Title Deed fraud happens when scammers record fraudulent deeds, mortgages, or similar activities against a property without the owner’s knowledge or consent. And deed forgery or forged title deed is a title deed not signed by the real owner, but rather by someone else claiming to be the owner without the real owner’s knowledge or consent.
What are the types of real estate fraud in turkey?
Value fraud occurs when the seller of the property asks for a very high or very low property price rather than its actual value. With the increasing number of fraudulent reports regarding real estate in Turkey, recently, property inspection reports have become mandatory. In the case of buying and selling a property in Turkey, a verified inspector must evaluate the property and give the actual value of it.
In order to have full knowledge about property prices in turkey, you can read the full article Property prices in turkey 2021-2022
Title deed fraud:
title deed fraud occurs in several types; if an individual pretends to be the true owner of the property attempt to sell a property that does not belong to them, present a fake title deed, record a mortgage without the owner’s knowledge, or if the buyer became the owner of property rather than the agreed one.
How To Verify That A Property Does Not Have Any Hidden Problems?
You can check the property status by sending an email to the Directorate of Land Registry in Turkey email@example.com, calling +90 3122128883, or by visiting ( https://parselsorgu.tkgm.gov.tr/ ) to inquire about the real estate by entering information on the city, district, quarter/ village, map section, and plot. Thus, basic information on real estate, including status on the ground can be accessed from anywhere in the world online.
Real estate brokers fraud:
some brokers or agents may misrepresent a property through age, background, dimensions, and defects, or even use a false license or provide the buyer or seller with fake credentials to further their activities or scams. Another common property scam in Turkey is when travel and tourism agencies pretend to be real estate brokers and charge a person additional fees for various issues.
Turkish citizenship obtaining fraud:
In order to obtain Turkish citizenship, the total value of your real estate belongings in Turkey must reach $250.000 and above, but some real estate agencies may convince clients to buy real estate regardless of its value, under the pretext of being able to obtain Turkish citizenship.
Payment and bank transfer fraud:
there are two options to make the payment in cash or through money transfer which must be officially transferred to the real owner/construction company’s bank account. But some property scammers may give the wrong bank account to a person or company rather than the real owner.
How can I make sure that the bank account owner is the real property owner?
The name of the owner of the tapu must be written on the title deed and the name must be identical to the one of the bank account owner.
Note: To avoid any possible problems during the money transfer process, you should mention general information about the title deed like tapu type, property address, property side, etc.. and owner name in the description box.
Fake real estate photos:
some real estate owners or agents might present photos that do not belong to the property itself, just for attracting clients.
How to avoid property scams or real estate fraud?
Here Are Some Tips to avoid property scams and buy real estate safely:
1- Construction Companies:
Construction companies are not able to start any project, without first applying for the building permit license (Yapı Ruhsatı), issued by the local zoning and planning department. As a result, before you decide to purchase real estate in Turkey make sure the project has such a license and is not built outside the legal zones or doesn’t adhere to building regulations.
2- The Title Deed:
The title deed verifies the property owner and contains all details related to the property itself like location, type, and size. In order to find the original owner of the title deed and check whether the property is in a mortgage or has a debt, you should take the title deed copy of the related property to the Land Registry and Cadastre office (TKGM) where the property is located, and inquire about it. Or you can send an email to firstname.lastname@example.org with a copy of the title deed.
3- Our OG team recommends you do some research or consult knowledgeable people like us to collect information about a specific construction company or which construction companies in the region are reliable. And it is preferable to contact a qualified and certified building inspector where the property is located. Building inspectors are professional builders, surveyors, or architects who will provide you with a standard property report that indicates the real estate situation if it meets building code requirements and it can highlight significant repairs or costs that may be required in the future. As well as it can increase your negotiating power, potentially saving you thousands of Turkish liras.
The main objective of mandatory earthquake insurance (DASK) is to reduce the physical damage in case of an earthquake that you may face and may not be able to do on your own, so you can follow your life naturally after the earthquake.
To know more about the real estate buying process in turkey you can read the article
Finally, we can say that if you get the full knowledge about the real estate market in Turkey and the buying and selling process there, you will enjoy a great opportunity for residing or investing. Our OG team can provide you with consulting and assistance to make the right decision and avoid scams, and help you during the transfer of ownership and after the purchasing process too.