Property Buying Process in Turkey: From Offer to Tapu

Finding the property is the exciting part. Maybe you’ve spent three or four days with us looking around Bodrum or Istanbul. You’ve seen villas you liked, apartments you didn’t, changed your mind about locations and probably drunk more Turkish coffee than you intended.

And then you walk into one property and say, “This is the one.” So, what happens next?

For many international buyers, this is actually the part that causes the most uncertainty. You understand viewing properties and you understand eventually receiving the keys. It’s everything in between that feels unfamiliar:

• How do you make an offer in Turkey?
• When do you pay a deposit?
• Do you need a lawyer?
• When do you open a Turkish bank account?
• When does the seller get paid?
• What is a DAB?
• When do you receive your Tapu?
• How long does all of this actually take?

The good news is that buying a property in Turkey can be surprisingly quick. The important thing to understand is that the property buying process in Turkey probably won’t work quite like the process in your home country.

And that’s OK. Our job is to make the complicated bits happen in the background while you enjoy the exciting bit: buying your new home.

Step-by-Step: Property Buying Process in Turkey

Step 1: “We Want This One”

Let’s imagine you’ve found a villa advertised for $1.2 million and you’ve decided you’d like to offer $1 million. This is where the buying process really begins. And this is also where Ayşegül comes into her own.

Negotiating property in Turkey is different from negotiating in Britain, Europe, the United States or the Gulf. Turkish negotiations can be surprisingly personal, and simply charging in with the lowest possible offer can have exactly the opposite effect to the one you intended.

Ayşegül’s approach is rather different. She’ll normally sit down with the owner or developer, preferably without the buyer beside her for the first conversation. There will almost certainly be Turkish coffee involved. And then she starts negotiating. As Ayşegül puts it, sometimes you have to “play on the heartstrings.”

That doesn’t mean we don’t negotiate hard. We do. It means understanding how to negotiate in Turkey. Property is personal here, even when the seller is a developer, and sometimes making somebody feel good about the home they’ve created gets you considerably further than marching into the room with your size-11 boots on.

Step 2: Agreeing the Price and How You’re Going to Pay

Price isn’t necessarily the only thing we’re negotiating. We also need to agree how the purchase is going to work. The property will normally be negotiated in the currency in which it is advertised. That might be Turkish lira, US dollars or euros. Then we discuss the payment terms.

You’ll hear the expression “cash price” frequently in Turkish property. This doesn’t mean arriving at the developer’s office with a suitcase full of banknotes. It simply means a direct purchase without a developer payment plan.

A developer might, for example, offer a property for $950,000 with 50% payable now and the remaining 50% spread over 12 or 24 months. Or perhaps you’d prefer to offer a lower amount in return for paying the entire purchase price without a payment plan.

All of that is part of the negotiation. With a resale property, things are usually simpler. We agree the price, what is included in the sale, the expected completion arrangements and any other important terms, and then we can move forward.

Step 3: The Handshake Deposit

Once we’ve agreed the deal, the next step is normally a relatively small deposit to confirm the agreement and take the property off the market. We call this the handshake deposit.

The amount depends on the property and the deal, but something in the region of $5,000 to $10,000 is fairly typical in the transactions we handle. The money is normally transferred directly to the seller or developer’s bank account with the appropriate payment reference.

For a resale property, we may prepare a straightforward sales agreement between buyer and seller. If you’re buying directly from a developer, the developer will normally have their own contract and terms and conditions.

This is the moment when the property goes from “we really like it” to “we’re buying it.” It’s also the point where we need to establish exactly what sort of purchase we’re dealing with, because from here the road can split slightly.

Are you simply buying, buying brand new, or buying for citizenship? The underlying property purchase is broadly the same, but there are three slightly different journeys we need to consider:

• If you’re simply buying a resale property as your home, holiday home or investment, we can move directly into preparing the foreign-buyer paperwork.
• If you’re buying a brand-new property, there is an important VAT question we need to look at before Tapu.
• And if you’re buying specifically to qualify for Turkish citizenship by investment, we have another important job before we proceed towards completion: making sure the property and transaction meet the requirements for that route.

Buying a Brand-New Property? Let’s Look at VAT First

VAT, or KDV as it is known in Turkey, is relevant when buying qualifying brand-new property. It isn’t something added to an ordinary second-hand property purchase in the same way.

With a new development, however, VAT matters. Depending on the property, VAT can vary and may be included within the developer’s advertised price or charged separately.

Qualifying foreign buyers purchasing a brand-new property can potentially benefit from Turkey’s VAT exemption. Once we have the purchase contract and the necessary property documentation, we apply to the tax office for the VAT exemption certificate. The tax office looks at the buyer, the contract and the property and, where the purchase qualifies, issues the appropriate exemption certificate.

The important practical point is that we deal with this before Tapu.

If you’re still in Turkey and we have enough time, we can help you start the process while you’re here. If you’ve returned home and appointed an independent lawyer under Power of Attorney, the lawyer can deal with the appropriate procedure for you.

In our experience, we normally allow around two to three weeks where this process is required, although timing can vary.

We don’t need you to become an expert in Turkish VAT law. We simply need to establish whether VAT applies to the particular new property you’re buying, whether it is included in the agreed price and whether you qualify for the exemption. Then we deal with it.

Buying for Turkish Citizenship? There’s Another Check First

If you’re buying specifically for Turkish citizenship by investment, we take a slightly different route once the deal has been agreed.

Once we’ve negotiated the price, agreed the deal and paid the handshake deposit, the contract can be made subject to the property satisfying the appropriate citizenship requirements. This is where the GEDAŞ valuation and official citizenship property checks come into the process.

The application is initiated through the seller’s Web Tapu system and the property goes through the required government-authorised process. It is an independent official process used for the citizenship transaction.

In our experience, we generally allow around five days for the initial stage and inspection to be arranged, although it can take longer, followed by approximately another 10 working days for the report and associated process to work through the system.

That means a citizenship purchase will normally take longer than somebody simply buying a holiday home. But the important thing is that this time is spent before we complete the purchase.

The citizenship application itself comes afterwards. At this stage, we are making sure the property transaction works for the citizenship route before you complete it. Once everything is in order, we carry on with the purchase.

Step 4: Tax Number and Turkish Bank Account

A foreign buyer needs a Turkish tax number for the purchase process, and this is something we arrange with you. We normally need your passport details and some basic personal information, including your mother’s and father’s first names.

Importantly, we work from the passport you used to enter Turkey. Obtaining the tax number itself can be remarkably quick. In a straightforward case, we can often have it organised in around an hour.

Next comes the Turkish bank account. We work with banks accustomed to international property buyers and accompany our clients through the process. Typically, you’ll need your passport, Turkish tax number and proof of your home address, such as a recent utility bill. Allow around half a day for the banking appointment rather than trying to squeeze it between lunch and your flight home.

What Can We Actually Achieve During a One-Week Buying Trip?

Quite a lot. Let’s say you arrive for seven days. You spend Saturday and Sunday looking at properties with us. By Monday and Tuesday you’re doing second viewings and narrowing down the shortlist. On Wednesday, you walk into the villa and say, “This is the one.”

Ayşegül goes away and negotiates. Perhaps the offer is agreed that afternoon. We arrange the handshake deposit and the appropriate agreement. On Thursday morning, we deal with your tax number. Thursday afternoon, we go to the bank.

By Friday, if everything has gone smoothly, we’ve already completed a surprising amount of the work. So what should you do with your last day? Go to the beach.

Although experience tells us there’s a reasonable chance you’ll ignore that advice and ask us to take you looking at sofas, kitchens, curtains and interior designers for the house you’ve only just agreed to buy. That’s fine too.

What If I Need to Fly Home?

This is extremely common. You’ve come to Turkey on a buying trip, found the property, negotiated the deal and now real life is calling. At this point there are two routes. You can return to Turkey later and complete the purchase personally, or you can appoint an independent Turkish lawyer under a carefully drafted Power of Attorney to complete the necessary procedures on your behalf.

A lawyer isn’t automatically required simply because you’re a foreigner buying property in Turkey. However, some international buyers prefer independent legal representation, and it can be particularly convenient when the buyer will subsequently be making a residency or citizenship application.

We regularly work alongside independent Turkish lawyers in Bodrum and Istanbul, but they are deliberately independent from James & Ayşegül. We think that distinction matters. If you’re paying somebody to provide independent legal advice, they should be precisely that: independent.

Buying by Power of Attorney

For many of our clients, Power of Attorney is the easiest route. They’ve come to Turkey, found their property, enjoyed the buying experience, negotiated the deal and paid their deposit. They don’t particularly want to book another flight simply to sit in a bank and sign paperwork.

Under an appropriately drafted Power of Attorney, their independent lawyer can deal with the authorised parts of the purchase process on their behalf. Depending on the authority granted, that can include banking and documentation, completing the Tapu transaction and then moving on to the residency or citizenship application where applicable.

A large proportion of the international transactions we currently handle use this route, particularly where citizenship or residency is involved. Some clients essentially tell us: “I’ve chosen it. I’m buying it. Let me know when my Tapu is ready.”

Step 5: Getting Your Purchase Funds into Turkey

If you’re completing personally, the next stage is normally transferring your purchase funds from your home country into your Turkish bank account. This is the part of the timeline we can’t control.

We’ve seen international transfers arrive remarkably quickly, sometimes within 24 hours. Others can take several working days or longer depending on the originating bank, intermediary banks, compliance checks and the country the money is coming from.

So when somebody asks us, “Exactly how many days will my purchase take?”, the international banking system is one reason we don’t promise an exact number. Once your money has cleared and is available, however, we can move.

Step 6: Coming Back for Your Tapu

Let’s assume you’ve chosen to complete the purchase personally rather than through Power of Attorney. Once the funds are available, we arrange the completion process and invite you back to Turkey. We normally suggest allowing five working days.

Sometimes everything can happen remarkably quickly. But this is Turkey, and giving ourselves a sensible window means nobody spends their holiday staring nervously at tomorrow’s flight time while waiting for an official SMS.

Before you arrive, we’ll already have been preparing your Land Registry paperwork. We’ll send you the foreign-buyer documentation that needs completing, explain what photographs and documents are required and make sure you know what to bring back with you.

The aim is that when you arrive, we’re not starting the process. We’re finishing it.

Step 7: The DAB: The Bit That Can Sound Rather Scary

Foreign property purchases in Turkey involve an official foreign-exchange procedure commonly referred to as the Döviz Alım Belgesi, or DAB. This is handled through the banking system.

In simple terms, the required foreign currency is processed through the Turkish banking system and converted into Turkish lira for the property transaction, with official documentation identifying the buyer and the property the money relates to.

This can occasionally be the moment when a buyer looks at us slightly nervously. “Hang on. My $300,000 has just been converted into Turkish lira and is being processed for the seller, but I haven’t got my Tapu yet.”

We understand why that feels strange.

The important thing is that the DAB documentation forms part of the official paperwork required before the foreign buyer’s Tapu transfer can be completed. It isn’t an optional banking adventure we’ve invented to make your Monday morning more exciting. It’s simply part of buying a home in Turkey as a foreigner.

And this is a good example of what we mean when we talk about taking away the noise. You absolutely should understand what is happening to your money. You don’t, however, need to spend your holiday learning the internal workings of the Turkish banking and Land Registry systems. That’s what we’re here for.

Step 8: The Land Registry Processes the Purchase

Once all the required documentation is submitted, the Land Registry processes the Tapu application. We work with experienced Tapu professionals who help us prepare the documentation and process the application. Buyers who want additional independent legal due diligence can, of course, also instruct their lawyer to carry out the appropriate checks.

If you’re buying the property simply as a home or investment, a separate citizenship valuation isn’t part of this ordinary purchase route. If you subsequently need a valuation report as part of a residency application, that can be dealt with as part of that separate application process.

And then eventually comes a strangely exciting moment in almost every Turkish property purchase.

• Your phone beeps.
• The SMS has arrived.
• Your Tapu file is ready to proceed.

The message provides the information required for the applicable property transfer taxes and Land Registry fees to be paid. How those transfer costs are divided between buyer and seller can form part of the property negotiation. Sometimes they are split in the usual way; sometimes a developer or seller agrees to cover more of them; sometimes the buyer takes on more as part of the overall deal.

This is Turkey. Almost everything is part of the negotiation. Once the relevant amounts are paid and the appointment is confirmed, we’re ready for the final step. It’s Tapu time.

Step 9: The Five-Minute Meeting Where You Become a Homeowner

We meet at the Land Registry. The seller is there. You’re there. We’re there. And, as we’re talking here about international buyers who don’t speak sufficient Turkish to conduct the official transaction themselves, we arrange the required sworn translator.

There is normally time for another Turkish coffee or tea while we wait for the appointment, because some traditions are apparently unavoidable.

When your appointment is called, the authorised parties enter the signing room. The sworn translator explains the transaction and makes sure you understand the official declarations being made. Your identity and documentation are confirmed, the seller and buyer complete the required formalities and the signatures happen.

We don’t go into that room with you unless we are legally authorised to be there. It’s the official bit. And then, sometimes only a few minutes later, you walk back out. The Tapu is in your name.

After all the property viewings, Turkish coffees, negotiations, passports, banks, forms, foreign-exchange paperwork and mysterious text messages, the moment when you actually become the legal owner can feel remarkably simple.

And then we get to the really good bit. The keys.

How Long Does All of This Actually Take?

For a straightforward purchase where the property is ready, the money is available and the paperwork is in order, buying in Turkey can be surprisingly quick. For example:

If James wanted to buy Ayşegül’s house for 20 million lira, he might offer 19 million. Ayşegül might say 19.5. They agree, the money is already sitting in a Turkish bank and the official title process can move extremely quickly.

Foreign buyers have some additional requirements, particularly around banking and foreign-exchange procedures, so for a straightforward international purchase we generally think in terms of approximately two weeks once everything is moving, rather than promising a particular completion date.

• The first week can easily be your buying trip: find the property, negotiate the price, pay the handshake deposit, obtain your tax number and open the bank account.
• The next stage involves transferring the funds, completing the relevant foreign-buyer procedures and preparing for Tapu.
• If you’re buying a new property and require the VAT exemption process, that can add time.
• If you’re buying for citizenship, the GEDAŞ valuation and associated official process add another stage before we want to complete.
• If your bank decides to spend a week asking where your money came from, that adds time too.

So there isn’t one magical number of days that applies to every buyer. There is, however, a process. And once you understand that process, it becomes much less intimidating.

What Changes with a Brand-New Property?

There is one more practical difference with a brand-new home: handover. With a completed resale property, once the transaction has completed and the keys have been handed over, you can potentially start using your new home immediately.

We’ve genuinely had clients who were so excited that they moved in with little more than a blow-up bed. No curtains. Hardly any furniture. But technically, they were home. With a brand-new property, we normally have another job to do around handover: the snagging list.

We go through the property and identify the little things that need finishing or correcting. Paintwork, doors, joinery, fittings, bathrooms, appliances, air conditioning, heating and outside areas all need checking.

In our experience, completing a typical snagging list can take around three weeks, although every property and developer is different.

There’s another peculiarity of a newly completed Turkish home. Equipment may physically be installed without having been formally commissioned. But the relevant supplier or service engineer may still need to attend and activate or commission the equipment, because that can be the point from which the manufacturer’s guarantee starts.

Then there’s furnishing. That isn’t really part of buying the property anymore. That’s the beginning of the after-sales journey. And that can take three days, three weeks or three months depending on what you want to do.

Tapu in Hand. What Happens Now?

Strictly speaking, once the property is legally yours and you have the keys, the buying process is finished. Our relationship with you isn’t.

We help our clients with the practical transition into ownership. That can include electricity and water arrangements, introducing you to the management of your sitesi or complex, explaining maintenance fees and helping with furnishing, contractors and the endless little questions that come with owning a home somewhere new.

If you’re buying on a managed complex, we’ll introduce the management team and make sure they know there is a new owner. Quite often this also means being added to the inevitable residents’ WhatsApp group, which may be the true moment you know you’ve become a Turkish homeowner.

Some clients need virtually nothing from us after completion. Others refurbish the entire villa. And some are still messaging us six months later: “James, we’re buying a new washing machine. Can you help?” Yes. Of course we can.

What About Residency?

One thing we deliberately haven’t mixed into this guide is the residency application itself. Buying the property and applying for residency are two separate processes.

If you intend to use your property as part of a Turkish residency application, we establish that from the beginning so that we know what you are ultimately trying to achieve. Depending on the application and current requirements, a separate property valuation report may be required for the residency process.

The same principle applies to citizenship. We need to make sure the property works for citizenship before you buy it, which is why the GEDAŞ process appears earlier in this guide. The actual citizenship application follows afterwards.

Buying in Turkey Isn’t Like Buying at Home

This is probably the most useful thing we can tell you before you begin. Don’t arrive expecting Turkey’s property-buying process to resemble Britain, America, Germany, Dubai or wherever else you’ve bought property before. It won’t.

Some things that look complicated are actually remarkably straightforward. Some things that sound as though they should take five minutes somehow involve three cups of tea and an afternoon.

There will be Turkish paperwork. There will probably be an SMS you become strangely excited about. That’s Turkey. Our job isn’t to make you understand every telephone call, conversation and piece of bureaucracy happening behind the scenes. Our job is to blur out the noise.

You should understand your purchase, your money and the important decisions. But you should also be able to enjoy buying your home.

• Is this the right property?
• What’s our best offer?
• Do we want the furniture?
• When can the family come?
• What are we doing with the garden?
• And where are we putting the sofa?

Ayşegül can worry about the Turkish negotiation. We’ll worry about getting you from “We love this house” to “These are your keys.” You get to enjoy the exciting bit.