Finance in Turkey
How to get A Mortgage for Property in Turkey
The housing market here in Turkey is extremely buoyant, making buying property a sensible option. Real Estate is strong compared to elsewhere in Europe, and the Turkish Government simplified the buying process, which is now quick and easy.
When buying a property abroad, you need to gather all the information regarding the country's buying process: the economy, real estate market, and how to pay for the property through payment plans, a mortgage, or self-financing.
Many Expats who want to live here all year round often sell their home to buy the property outright. If they are looking to buy a holiday home, they either re-mortgage their home or look at equity release plans. It is definitely worth looking at all the options available before getting finance in Turkey.
If you want to go down the route of having a mortgage here in Turkey, then Summer Home Real Estate Agency works with a wide range of banks and has team members who speak various languages, including English. As one of the leading Real Estate companies, we work directly with many construction companies to offer you the best deals possible.
So, you've decided that obtaining a Turkish Mortgage is the route you wish to take to finance your new home. There are a few things you need to know before you start, the main one being that some banks will offer a mortgage rate as high as 20%, but in recent years it has been around 12.5%. It pays to shop around the different banks.
Required Documents to Obtain Mortgage
- Application Form
- Notarised copies of your passport
- Or Certificate of Residency (ikamet)
- Official documentation giving an overview of your assets and debts
- Evidence of income-last three months' payslips and your P60 (Uk Citizens only) Or bank statements for the previous three months
- If you are self-employed, the bank might ask to see audited or certified accounts, or a statement of account from your accountant
- A Turkish Tax Identity Number
- A credit report from your own country
- Copy of the title deeds for the property you wish to purchase
The Mortgage
- Many banks offer a fixed rate interest rate on the loan for up to 10 years but can be up to 20 years
- Some banks want 35% down payment
- Borrowing limits range from 5000tl up to 65-70% LTV (loan to valuation)
To Find Out More
If you want to know more about getting a mortgage in Turkey or investing in the real estate market, contact us today for clear and helpful advice.
