Taxes and Expenses

1. Real Estate Appraisal Report Fee

Before the title deed transfer, foreign buyers must obtain a real estate appraisal report validated by the Capital Market Board (SPK). The cost of this appraisal report varies depending on the city and complexity of the property. On average, buyers can expect to pay around 6000 TL for the report. The completion time for the appraisal report is typically 2-3 days.

2. Title Deed (TAPU)

The Land Registry and Cadastre Directorate charges a fee of 4% of the property value at the time of signing for the title deed. It’s important to note that the declared property values in Türkiye adhere to local council price brackets, which are often lower than the sales price. Additionally, buyers must pay one-time processing fees, including Doner Sermaye Harcı and Tapu Kadastro Harcı (Revolving Fund Fee and Land Registry Fee).

3. Agency Fee

According to regulations, the real estate agent fee is 2% of the sales price plus VAT, which is charged to the buyer. However, Suite Global Estate does not charge you a real estate agent fee for new flat sales.

4. Translator and POA Fees

During the title deed signing process, you will need a certified and sworn translator. The fees for translators and Power of Attorney (POA) services vary depending on the language and length of the content.

5. Electricity, Water, and Telephone Connections

When it comes to electricity and water subscriptions in Istanbul, the fees vary from district to district. For electricity subscriptions, you will need to pay connection fees, deposit amounts, stamp taxes, and file fees. Please note that a Turkish residence permit is required to obtain a landline.

6. Property Insurance (DASK)

By law, every property in Türkiye must have earthquake insurance, known as “DEPREM SİGORTASI” (DASK). The cost of property insurance depends on the size of the property. For example, an annual policy for a two-bedroom house measuring 75 square meters typically ranges from 400 TL to 600 TL. In addition to earthquake insurance, there are other optional insurance policies available for fire, theft, damage, and contents.

7. Annual Property Tax

Property owners in Türkiye are required to pay an annual property tax. The tax rate is 0.2% for properties in metropolitan municipalities and 0.1% for non-metropolitan areas. Commercial properties have slightly higher tax rates, with 0.4% in urban districts and 0.2% in non-metropolitan areas. Before completing the title deed transfer, sellers must ensure there are no property tax debts.

8. Lawyer Fee

While it is not mandatory to hire a lawyer when purchasing property through Suite Global Estate, we highly recommend it, especially for complex transactions or for those interested in the citizenship process. The cost of hiring a lawyer for property-related services in Türkiye typically ranges from € 2,000 to € 3,500.

9. Stamp Duty in Türkiye

Stamp duty, also known as the Türkiye property buying tax, is calculated as 4% of the assessed value of the property. The assessed value is usually around 60% of the purchase price. Foreign buyers only need to pay stamp duty upon the registration of the property title deed in their name. However, if you are purchasing an off-plan property, you won’t need to pay stamp duty until the construction is complete.