There are many reasons why foreigners are willing to buy or Real Estate Investment in Turkey. Although real estate prices have risen in the past few years. Especially in big cities such as Istanbul, Antalya, Bursa and Yellowknife, real estate prices in Turkey are relatively low compared to Europe and the United States.
What facilitates Real Estate Investment in Turkey?
Turkey’s political and social stability. A residence permit is guaranteed to foreigners who own Real Estate Investment in Turkey. Emerging economies: GDP tripled to $857 billion in 2016 compared to $231 billion in 2002. Sustainable annual economic growth with an average growth rate of 5.6% between 2002 and 2016.
Good economy with a bright future This is expected to be one of the fastest growing countries in the OECD from 2017 to 2020. In 2016, the European Union had the 13th largest economy in the world and the 5th largest in the world. The institutional economy has been supported by $145 billion in foreign direct investment over the past decade. Strong private sector with $143 billion in exports and 300% growth between 2002 and 2016.
Why Real Estate Investment in Turkey?
Property prices in Turkey continue to rise due to increasing external demand. According to the Real Estate Investment in Turkey, Turkey is one of the largest price-raising markets in the world. According to “Ernst & Young”, Turkey is the second most attractive real estate market.
What types of real estate investments are there in Turkey?
- Buying and renting real estate: Buying and renting real estate and ensuring stable monthly income. The average annual rental yield is approximately 4% of the property price.
- Buying and reselling: Buying real estate in a project under construction in one of the most important areas near transportation will increase the property’s value.
- Land Acquisition: Purchasing land on strategic areas included in the city’s organization chart will increase real estate prices.
- Real Estate Development: Buy land in strategic locations and develop unique real estate projects with integrated services that guarantee high profits.
- Urban reform project: Developing old and new buildings to withstand earthquakes and natural disasters. and buildings that are resistant to landslides Make the large construction area cover and achieve the project cost of the development company. unusual profit margin
City Transformation Project
In Turkey, city-changing laws are enacted to develop new buildings that are resistant to earthquakes and new natural disasters. as well as buildings that are not resistant to earthquakes or earthquakes Taking into account the management of public services and the improvement of the living environment and surrounding environment with a budget of more than 400 billion dollars The Turkish government aims to develop about 15 million properties under the City Transformation Act.
The Turkish government encourages investors and real estate developers to complete this mega-project by providing a number of tax-free facilities.
The law aims to develop the property in the same area as the contract owner within a specified period. At the same time it allows the company to develop to cover and achieve project costs. unusual profit margin
Policy for implementing urban transformation projects
Real Estate Investment in Turkey decides which building to improve: Construction companies make specific offers to property owners. This includes contracts for new sites and refurbishment quality. Public services, elevator, parking, security system, garden and other facilities.
The contract must be signed between the construction company and all owners without exception. During the project period Construction companies are required to pay the owner’s rent for temporary housing until the project is complete. It usually takes 18 to 24 months, depending on the size of the project. In addition, the development company will be responsible for the cost of transferring the ownership to the property owner. The state pays 800 Turkish Lira per month for rent paid to owners and 1200 transfer fees to each property owner.
Contract registration
Construction permits are often larger than the original property area. Therefore, the Real Estate Investment in Turkey is responsible for the construction costs and yields a rate of return of 40% to 60%.
- The building will be moved within 3-4 weeks.
- Start the demolition process
- Rebuilding
- Finished and delivered
