Taxes you incur when buying a property in Turkey:

Updated: Dec 13, 2019

Taxes in Turkey
Taxes in Turkey

It is well known that in any purchase process of any product in any country, the buyer shall have or incur certain duties and taxes.

This is exactly the case when buying a property in any country, but in this context, we will talk specifically about Turkey's property taxes.

Before addressing the issue of real estate taxes and their types in Turkey, 

You shall know that the tax laws of foreigners wishing to buy property in Turkey are the same for Turkish citizens as well.

When buying a property of any kind in Turkey, the buyer, seller or both have certain fees related to the transfer of ownership of the property, insurance, etc. So,

What are these taxes?

Property Registration Tax:

It is also called the “Tabu” tax and this tax is incurred when transferring the ownership of the property from the seller's name to the name of the buyer and the registration of the property formally in the name of the new owner in the Land Registry Department.

This tax is 4% of the total price of the property and is paid 50% between the seller and the buyer.

Annual tax on the property:

An annual tax levied on the new owner of the property, ie the buyer regardless of his nationality, and it is called in Turkey "Emlak Vergi" and is equivalent to 0.003 of the full value of the property and is paid to the municipality where the property is located.

To clarify the idea further consider that you bought a property in Turkey that worth $ 100,000, then the annual tax will be equal to $ 300. 

Property Tax:

It is a one-time tax, such as the property registration tax, which relates to the expenses of extracting official papers and the legal processing of the contract by the so-called Noter or notary and other matters, and the value of this tax is 3.9% of the full property price.

Insurance Fees:

These are fees for routine and necessary procedures when buying a property in Turkey

Related to insuring property against natural disasters such as earthquakes and accidents,

 It is worth mentioning that these fees are mandatory in Turkey

It is calculated according to the area of the apartment, office or property in general

and is paid to an insurance company specializing in these matters.

Service fees for the property:

These are fees related to water, electricity and gas services at home, which are small amounts paid in specialized directorates to provide these services to you and then start paying monthly bills on a regular basis.

These amounts are insurance that can be recovered if you want to stop these services in case of selling the property, for example.

The positive side when buying a property in Turkey is the presence of a large number of reliable and good real estate companies that can help you accomplish all these things fully and legally without any problems and in a way that preserves all your rights as a foreign owner in Turkey.

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