The real estate market in Turkey is witnessing a remarkable recovery after the fluctuation happened because of the pandemic covid 19.
But, the year 2022 could bring great benefits for real estate investors due to many factors we will discuss in this article. Besides that, we will list the steps you must follow to buy real estate in Turkey 2022.
Turkey runs a number of huge projects that could lead to skyrocketing home prices in Turkey for the upcoming years, which are:
1- Istanbul International financial center:
Istanbul International financial center (IFC) is the new world’s financial hub. This project is one of the greatest infrastructure projects in Turkey. It is a global ecosystem that hosts all kinds of institutions, the financial and non-financial ones, and it provides easy reach to the world markets.
Istanbul was chosen to hold this megaproject because of its strategic location; since it’s the world trade center and the midpoint between two continents, Asia and Europe.
Istanbul now will be competing with the world’s most important financial cities like London, New York, Singapore, Hong Kong, and Zurich.
The project is located in Umrania on the Asian part of Istanbul and is being built on a total area of 3 million 200 thousand square meters.
The general manager of Türkiye Finans states the big turnout of foreigners to be in IIFC in terms of real estate, trade, and production
2- Canakkale bridge:
The world’s longest mid-span bridge, Çanakkale 1915 Bridge, is a suspension bridge being constructed in the Province of Çanakkale. It will be the second bridge in Turkey that will connect Asia with Europe, between Lapseki and Gelibolu.
Çanakkale 1915 is extended on 4,608 meters (15,118 feet) with a mid-span of 2,023 meters (6,637 feet) surpassing the Akashi Kaikyō Bridge in Japan which extended on a total length of 3,911 meters (12,831 ft), the bridge is planned to be put into service on March 18, 2022.
3- Istanbul Canal:
The project of Turkey’s future vision, Istanbul canal, is an artificial waterway 45 kilometers long, 21 meters deep, connecting the Black Sea to the Sea of Marmara, and thus to the Aegean and Mediterranean seas.
The canal aims to minimize shipping traffic and reduce environmental risks and navigational hazards in the Bosphorus. It is projected to have a capacity of 160 vessel transits a day – similar to the current volume of traffic through the Bosporus, where traffic congestion leaves ships queuing for days to transit the strait.
The Istanbul canal will have a lot of financial and investment benefits and will create new job opportunities and it was initially planned to be in service at the end of 2023, in conjunction with the 100th anniversary of the foundation of the Republic.
The real estate market in Istanbul will witness a remarkable rise, especially in the areas surrounding the Canal like Basaksehir.
4- İstanbul-İzmir highway:
The mega highway project, İstanbul-İzmir Highway, covers a total of 426 kilometers, 384 kilometers of highway, and 42 kilometers of connection roads. This bridge reduces the road transportation duration between Istanbul and Izmir to 3.5 hours, serves the densely populated cities such as Istanbul, Kocaeli, Yalova, Bursa, Balıkesir, Manisa, and İzmir, and provides employment for thousands of people. Recently the Turkish Minister of Transport and Infrastructure stated that the highway gives the way for new investment, enhances the tourism and industry in the region, revitalizes the daily life and economy in the region too.
Benefits of buying property in turkey 2022:
1- Obtaining Turkish citizenship :
By buying real estate in Turkey you and your family get the chance to obtain Turkish citizenship. “Turkey citizenship by real estate investment” is the fastest and easiest way to win citizenship among other ways. The law says in order to get Turkish citizenship you must buy real estate in Turkey with a price of $250,000 or more, and the real estate must be held for at least (3) years.
2- High return on investment :
The Chairman Of The Real Estate Overseas Promotion Association (GİGDER) Ömer Faruk Akbal Said: “We Aim And Plan To Reach Real Estate Exports Of 15 Billion Dollars In 2023. We Think That We Can Increase This To 20 Billion Dollars In 2025.” Indicating The High Demand For Real Estate In Turkey In Recent Years.
Big cities like Istanbul are offering a profitable return on investment for real estate investors, within the last 3 years the housing prices in istanbul, ankara, izmir, antalya, and bursa are increased by 110%, 120%, 120%, 175%, and 102% respectively excluding rental returns.
According to statistics, last month Ankara recorded the highest percentage increase of real estate prices by 11%while Istanbul had the highest rental prices by 7%.
3- High standard of living:
Turkish real estate market is competing with different European real estate markets, the residential and commercial projects are providing a fantastic experience with its luxury amenities and services, strategic locations, high-end finishing units, and many more all at reasonable prices compared with other European countries.
4- The chance to live in a unique location:
Turkey is surrounded by sea on three sides; The Black Sea, the Mediterranean Sea, and the Aegean Sea, which is considered the bridge between east and west. And the unique Mediterranean climate makes Turkey one of the most attractive destinations in the world.
5- Multicultural life :
Turkey is a mix of all religions, races, colors, traditions, and cultures. It is a combination of East and West civilizations, so it is easy to adapt to life there.
Steps of buying property in turkey 2022:
6 steps of buying real estate in turkey (for foreigners):
1- Find the right real estate agency, instead of consuming time and effort looking for properties alone you should depend on an experienced real estate agent who offers real estate tours and can bring the buying process to the high end efficiently and effectively.
2- Once you’ve linked up with an agent you trust, you can begin shopping for homes taking into consideration (the number of bedrooms, the distance to public transportation and bus stops, the building and property features, The home’s overall condition, proximity to social facilities like stores, pharmacies, schools, etc..).
3- To avoid wasting time, While you are looking for real estate your real estate agent must prepare all the documents needed for the title deed transferring process like issuing tax ID numbers, opening a bank account in turkey, notarizing, and certifying translations of your Identity document or passport.
4- choose the appropriate real estate and Negotiate its Price:
In this step, the Sales representative is responsible to bring the best price for you and must make sure that the agreed purchase price and sales conditions of the property are listed in the contract. Note : the process starts officially by paying the agreed deposit and signing the Real Estate Sales Promise Agreement.
5- Payment/Money Transfer; The Turkish government imposed a new regulation in 2022 regarding real estate buyers who want to get Turkish citizenship, this regulation states that; the buyer must deposit the amount of real estate price in a local bank that operates in turkey, and the amount must be in a foreign currency, in turn, the central bank sell and convert the money through the local bank into the Turkish lira, after that it can be transferred to the seller. Note: you must mention the owner’s name on the payment description and the name must be identical to the one on the title deed and the bank account too. And you should mention general information about the title deed like tapu type, property address, property side, etc to avoid any possible fraud.
6-Closing The Deal, In the last step you will receive the title deed and prepare the Turkish citizenship file for you and your family.
Important procedures to follow during the buying process:
1- It is necessary to obtain permission from the military authorities in the region before you can purchase real estate.
2- Your country must be one of the countries, whose citizens are allowed to acquire real estate in Turkey. Citizens which are forbidden to own real estate in Turkey are Syrian, South Korean, Romanian and Cuban.
3- Foreign natural person, who is allowed to acquire, may acquire any real estate in areas where private property is allowed such as residence, workplace, land, field, etc.
4- The property must be free of any situation that prevents its sale including mortgage or limited real rights.
5- The total area of immovables that a foreign person can purchase in Turkey cannot exceed 30 hectares.
6- Foreign natural persons may not own real estate within military forbidden zones and military security zones. However, they are allowed to purchase real estate within special security zones upon permission of the governorship.
7- Total acquisition by the foreign natural person may not exceed 10% of the total area.
Our OG Investors team is committed to making better real estate investment decisions by using advanced analytics and detailed knowledge regarding the real estate market, the property area, title deed status, the procedures of transferring ownership, etc. Our unique understanding of shifts in investors’ needs, familiarity with real estate market trends, and experience in real estate investments let us help you in making their critical decisions. As well as we are responsible to conduct all the transaction processes (selling, buying, lease, or renting).