The real estate industry is on a strong rebound these months in Turkey, as recent surveys show. During the first months of 2017, close to 130,000 properties were sold all over the country, thanks to a slight decrease in loan interests, but also to a series of tax incentives offered by the government to those purchasing real estate. Foreign investors interested in starting a business in the real estate industry can receive assistance from our law firm in Turkey.
The beginning of spring came with a surprising increase in the real estate sector in Turkey, which marked a 10% growth from the same period of last year. The total number of properties sold all over the country since the beginning of the year rose to 128,923. Cheaper loans and the tax incentives granted by the government have contributed significantly to this growth.
The interest rates for loans contracted for buying a property have slightly gone down since the beginning of the year, as banks have started different campaigns through which individuals were encouraged to buy real estate.
Our lawyers in Turkey recommend carrying out real estate due diligence procedures prior to buying a property.
Not only Turkish banks encouraged real estate purchases, but the government had also announced several measures at the end of 2016. The reduction of the value added tax to 18% and of the fees related to the registration of property titles were incentives Turkish residents took advantage of and bought properties. Moreover, the government also provided for a 0% tax rate for the stamp duty related to real estate transactions.
When it comes to the cities which attracted most people buying properties, Istanbul and Antalya were preferred by foreign citizens living in Turkey. Close to 600 properties were bought in Istanbul and a little over 300 in Antalya. Bursa was the third region registering the highest growth during March with 124 sales.
For assistance in drafting the documents related to buying or selling real estate, please contact our attorneys in Turkey. We can also help foreign investors interested in starting business in Turkey.