Taxes and Fees when Purchasing a Property in Turkey

Real estate taxes and fees in Turkey

Main Taxes and Fees Related To Buying Property in Turkey

Taxes and fees related to buying property in Turkey are considerably low when compared to other countries in Europe and major capitals in the world, and as a matter of complete frankness to clients, Alhuda Real Estate Company advises all customers to consider adding 5% - 6% to the purchase price of the property In order to cover all expenses and additional costs that must be paid after the sale, while this percentage can reach 10-20% in other countries and regions in exchange for fees and additional fees, it should also be noted that all ownership tax in Turkey is the same value both for Turkish citizens or Foreigners.

The title deed tax is known as the property purchase tax. It is paid only once through the bank to the Turkish government through the land registry office when the property is registered in the name of the customer and the issuance of the property deed for the house is "an apartment, villa ... etc". The value of the property tax in Turkey is 4% of the estimated value of the property, and if the client plans to purchase from a project under construction, this amount will not be due until the completion of the construction of the project.

Annual Property Tax in turkey

When you buy a property in Turkey, whether you are a foreigner or a Turkish citizen, you must pay the annual property tax "EMLAK VERGISI" as it is paid to the local municipality at the beginning of each year and its value is 0.002% of the value of the property recorded on the copy of the title deed.

Property insurance in Turkey

Property insurance in Turkey is divided into two types: compulsory insurance and non-compulsory insurance.

DASK is considered mandatory insurance that must be paid during the registration of the property in the name of the new owner and its value is estimated according to the size and type of the property and its payment is renewed annually.

Capital gains tax in Turkey

In the event that the property is sold in Turkey during the first 5 years from the date of purchase, the capital gains tax must be paid as it is calculated at a value of 35% of the price difference when selling the property and its value when purchasing it.

In the event that the property is sold after 5 years from the date of purchase, this tax is exempted by law and will not be due from the seller.

Additional expenses

There are expenses and expenses related to the use of water, electricity, and gas. There are also entirely optional expenses, which are expenses related to the Internet and television.

There are also some small monthly fees, which are in exchange for services that the property owner gets from the project's housing complex management, such as cleaning, maintenance, security, swimming pools, sports halls, etc.