Although there is a current currency issue in combination with high inflation, Turkey has a high GDP, a dynamic economy and a young population. The devaluation of the Turkish lira caused the demand for Real estate in Turkey to increase dramatically. There is a high demand of local and foreign investors.
Turkish Citizenship by Investment
In 2018 a regulation went into effect, which allows foreign investors to obtain Turkish citizenship if they purchase a property (or multiple properties) in Turkey with a total value of minimum $ 250.000 Dollar. This became a great opportunity for many foreign investors.
Capital gains on property in Turkey
Purchasing a property in Turkey has proven to be a good investment already for many years.
A general capital gain of around 5% in dollars per year is quite common, depending on the area and the characteristics of your property in Turkey.
Property purchase procedures in Turkey
Since the process of property purchase in Turkey can be quite fast, real estate in Turkey is a perfect investment option for foreigners. In comparison with many other countries, purchasing a property in Turkey can be organized in a quite short timeframe. The whole process from selecting the right property to the transfer of the title deed can be arranged in less than 2 weeks. It is advised to work with a licensed agent at all times, in order to avoid certain risks.
Reason for purchasing a property in Turkey
A huge percentage of property purchases are made by tourists who are enchanted by Turkey’s lifestyle, elegance and economic attractions. Being one of the most popular destinations for international real estate investors, Turkey continues to increase in popularity every year.
When is the Best Time to Buy a Property in Turkey?
Many real estate brokers will encourage you and mention; “now is the time to buy!”
A maybe more suitable answer is: when you find the right property, in the right location, at the right price, and within your budget. A more extensive reply on when is the best time to buy a property in Turkey takes into consideration other important issues such as:
The weather in spring time is always perfect in Turkey. Therefore, this period is suitable for visiting properties, and to see your future holiday house or residence during good weather conditions. While the spring and summer season is the most popular time to buy a property in Turkey, some people choose to purchase a property in the winter time.
From our experience we can say that in general it has a slight advantage to purchase a property in the winter time. The reason for this is that there are in general fewer transactions in the winter time. This means a property buyer has a better negotiation position during this period. Furthermore, all procedures will take more time during spring and summer time.
Turkish Lira Exchange Rate
This period the Turkish Lira is in an official crisis against the Euro or Dollar. This can be an advantage for foreign property buyers, and it is possible to find reasonable deals because of this situation. The value of your local foreign exchange rate in comparison with the Turkish lira can save or cost you a significant amount of money.
It is always good to follow international news and foreign policies which can affect the Turkish Lira. Aegean Locations can provide you some up to date information regarding this topic as well.
It is always advised to check the exchange rates of the sending foreign bank, and receiving Turkish bank when making transfers of substantial amounts. Aegean Locations is assisting all our international clients with this activity, and is in close contact with the receiving bank.
Off Plan Properties in Turkey
Off-plan properties can be described as properties which are not finished yet and still in the construction phase (or even before the construction phase). In general, all developers provide a detailed overview with 3D impressions, floor plans and material lists. The property buyer selects a project based on their research and reputation of the developer.
Aegean Locations works with a limited amount of reliable quality construction companies in İzmir and Çeşme. We are assisting foreign investors throughout the whole selection and purchase process.
The advantages of buying Off-Plan:
- Wide selection and to Customise: Purchasing a property Off-Plan offers the property buyers to select from a range of different units, locations and customisable interiors.
- Building Guarantee: Buying off plan direct from the developer provides property buyers building guarantees.
- Payment Plans-Instalments: Off-plan purchases are in general characterized by a deposit in the beginning, in combination with a payment plan till the completion of the project.
This payment plan provides instalment payment terms, and gives the buyer time to plan and save.
- Favourable Prices: In the construction/development sector industry it is quite common that off-plan properties are competitively priced in order to attract sales and generate funding. To generate more initial sales momentum most developers, incentivize early purchases with substantial discounts, usually far below the market value in comparison with the prices offer after completion.
- Capital Gains: In general, it takes at least 1 or 2 years for a development project to complete. Since the buyer purchases the property below market value, significant upward capital gains can be realised.
- Resale Earnings: There are a lot of investors worldwide who benefit from early purchase discounts, and sell their investments after the completion of the construction. This can be a very profitable business. Aegean Locations can make a clear overview from the most reliable projects, with the best quality. Furthermore, we have extensive know how of the reliability, and background of the best construction companies in İzmir and Çeşme.