Guide to Real Estate Acquisition and Citizenship for Foreigners in Turkey

PURCHASING REAL ESTATE & GAINING CITIZENSHIP

Essential Guide for Foreign Nationals Purchasing Property in Türkiye

Ownership of property in Turkey is solidified once registered with the land registry departments.

Initial property contracts, created by notaries or by individuals in documented form, don’t directly lead to a property transfer. They’re merely agreements to transfer ownership in the future; the property’s ownership doesn’t alter immediately due to these documents.

Before beginning formalities at the relevant land registry department, one should ensure there are no constraints like mortgages or liens on the property that could hinder its sale.

You can research properties online via parselsorgu.tkgm.gov.tr, which allows you to search using details such as city, district, and plot. This portal gives a snapshot of the property’s present condition from anywhere globally. However, owner details remain private.

Foreign individuals aren’t mandated to possess a residence permit to purchase property in Turkey. Moreover, foreigners obtaining property in Turkey get extendable short-term residence permits according to Law No. 6458 on Foreigners and International Protection.

To purchase property in Turkey, both the interested party and property owner must approach the General Directorate of Land Registry and Cadastre. They can also utilize the 24/7 Alo 181 Call Center or book an appointment via randevu.tkgm.gov.tr, avoiding in-person visits.

Conversely, Turkish firms with overseas funding should start their application process at the local Provincial Directorate of Planning and Coordination (PDPC) where the property lies. After getting approval from PDPC, their next stop is the Land Registry Department. They can proceed in-person, by mail, or email.

Comprehensive Details

In Türkiye, foreigners aiming to buy property fall under:

  1. Non-native individuals
  2. Overseas corporate entities
  3. Turkish enterprises with foreign funding

Laws pertaining to property acquisition by foreign individuals and entities are laid down in Article 35 and 36 of Law No. 2644, respectively.

The Cabinet of Ministers specifies which countries’ citizens can buy property in Turkey, sometimes adding acquisition conditions if required.

Legal Limitations on Property Purchase by Non-native Individuals

Foreign individuals, upon approval, can buy any type of property where it’s permitted.

If such a property lacks prior construction, foreign owners must submit a development plan to the appropriate authorities within two years.

Non-natives can own up to 30 hectares of property across Turkey. In special circumstances, the Cabinet can sanction larger areas.

Acquisitions or rentals within military areas are off-limits to foreigners. Yet, properties in designated security zones can be obtained with the governor’s approval.

In a district, the total land foreign individuals can own should not surpass 10% of the total permissible private property area.

Property Acquisition by Foreign Legal Entities

In Turkey, only commercial enterprises, established as per their homeland’s laws and possessing a legal identity, can acquire property. However, other entities, like foundations, are restricted from property ownership and rights.

Foreign trade companies can sometimes be exceptions, especially when international treaties or specific laws are in play. Relevant laws include Law No. 6491, Law No. 2634, and Law No. 4737.

NOTE: Mortgages have a unique clause where no limit exists on the property for foreign entities and individuals.

Property Rights for Foreign-funded Companies in Turkey

Companies in Turkey, based on foreign ownership conditions, can acquire property for operations mentioned in their founding documents.

If such property lies in a military area, it requires the General Staff’s approval. If it’s in a specific security region, the governor’s permission is essential.

Once approved, the governor’s office notifies both the company and the Land Registry for the subsequent processes.

Certain procedures, like creating mortgages and property transfers due to mergers, don’t need the governor’s authorization.

Gaining Turkish Citizenship via Property Investment

Foreign nationals can achieve Turkish citizenship via a special procedure by purchasing real estate valued at or above USD 400,000.

To qualify, they must:

  1. Buy property worth a minimum of USD 400,000.
  2. Clearly indicate this purpose during the acquisition, and commit to retaining the property for at least three years.

After completing the land registry processes, foreigners can apply for residency or citizenship with the appropriate certificate.

Special Paths to Citizenship

As per the amendment in Law No. 5901 on July 28, 2016, certain investors and Turquoise Cardholders might be eligible for Turkish citizenship, based on the President’s decision.

Criteria, as highlighted in the 2018 regulations, include:

  1. Making investments verified by the concerned ministries.
  2. Hiring at least 50 employees.
  3. Investing in banks, bonds, real estate funds, or private pension systems, with specific conditions for each.

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