The process of selling a house in Turkey is quite simple:
- Find a reputable real estate company with a zero-defect delivery record and a strong marketing network for local and international buyers.
- Discuss your needs and preferences with the representative. Discuss the commission fees and scope of service you will need to sell your home.
- Sign a contract with the real estate company.
- The company will market your property and show it to potential buyers.
How Does the Real Estate Sales Process Work in Turkey?
The real estate company will market your property and show it to potential buyers. Upon completion of the agreement, the real estate agent will help you complete the sale by delivering the following documents to the land registry office:
- Copy of your proof of ownership (TAPU)
- Notarized ID (translated copy of passport)
- Your Turkish tax ID
- 2x passport photos
- Compulsory earthquake insurance (known as DASK insurance)
- Municipal value certificate
The property valuation report (mandatory) must be ready before making an official sale application to the land registry office.
It should be noted that the Land Registry will check that you are up-to-date on all your municipal property taxes due (if not paid) to complete the sale of your property. Don't forget to disconnect your electricity, water, gas, and internet connections to your property after completion of the sale (and get back the initial deposit you paid when you first connected services).
What Are the Legal Steps While Selling Property in Turkey?
A lawyer will organize all of the relevant documentation and prepare the sale contracts. Not that the ability to agree on the appropriate terms and conditions for your property sale is a stressful and delicate process for foreign nationals and legal advice is crucial to avoid issues arising later. To make the sale process smooth and fast when selling property in Turkey, a lawyer will usually provide the services listed below:
- Initial consultation meetings and following them up.
- Set meetings between the property buyer and seller to agree on the terms and conditions (as instructed by the client).
- Pay the municipality tax on behalf of the client.
- Obtain the official property value report from a registered property evaluator.
- Translate the survey report to English.
- Handle the total money exchange between the client and the seller (if requested).
- Make the sales tax payments to the government.
- Arrange the sales contract on behalf of the client (both in English and Turkish).
- Represent the client at the closing procedure via PoA.
- Alter the sale contract upon request.
- Obtain DASK (obligatory earthquake insurance) for the subject property.
- Finalize the sale at the land registry office.
- Finalize the real estate agent’s payment and obtain a receipt for the same (both in English and Turkish).
- Cancel electricity, water, or gas connections of the property.
- What Do the Real Estate Sales Cost in Turkey?
The cost and taxes to sell your property in Turkey may vary depending on your region and the choice of real estate agent (for their fees). However, you can expect to pay the following when you sell your property:
- Real estate agent fee
- Notarization costs
- Two percent (2%) sales tax on agreed sales price
- Earthquake insurance (You should already have it, but if you don't have it, you'll need to buy it before you sell it.)
- Property appraisal costs and property survey report costs
- Potential capital gains tax if you sell your property for more than you bought it
- Optional: Renovation and/or home improvement costs that may be required before selling your home
What Is Capital Gain Tax in Turkey?
Capital gains from the sale of assets in Turkey are subject to 20% corporate tax. Capital gains are based on the difference between the net book value of the assets on the balance sheet and their selling price. There is 18% VAT on the sales price.
How to Find A Buyer for Your Home in Turkey?
Choosing the right real estate agent in Turkey is very important. There are many Turkish real estate agents around. Prefer a well-established agency with someone who has a deep knowledge of the field and a wide market audience. Check out their website, see how many other properties are being promoted, and note if they are in your area.
Read property descriptions; are they straightforward to read? That indicates what yours will look like if you choose them. Ask the rep how they intend to promote your home if they run advertising campaigns, use real estate portals, social media, or blogs - the more exposure, the better!
Tip: While many people believe that registering a property with all local agents will lead to a faster sale, this is not necessarily the case. A resident agent with a strong internet presence will spend time and money promoting your villa or apartment and getting to know you and all the home's key selling points. Local agents are less likely to spend money on additional online promotions. It's usually best to try a private deal or register your property with no more than a few agents for the best results.