Types of Real Estate Taxes in Turkey & How to Pay for Them?

  • by Al Khail Real Estate Broker
  • 2 years ago
  • turkey
  • 1
Types of real estate taxes in turkey & how to pay for them

One of the most important markets in Turkey is the real estate market and the Turkish government seek to develop its economy with it. To enter the Turkish real estate market, the government gives investors all facilities that encourage them. One of the reasons that make Turkey a good place to live is this.

Both Turks and foreigners have to pay taxes of the real estate market. The fact is, there are no taxes imposed on foreigners only. In this article, we are looking to check the types of real estate taxes and the ways to pay them.

Types of real estate taxes in turkey & how to pay for them

What is the property tax in Turkey?

As an owner of a house, land, or shop in Turkey you have to pay the Property Tax to Municipality.

Types of real estate taxes in Turkey

As we said before, there are no taxes imposed on foreigners only. But there is something that makes it rumored that it is a fraud by someone who exploits foreigners. These foreigners have no knowledge of real estate laws in Turkey and don’t know about the tax system there.

Don’t worry about the facilities offered by the Turkish government at the moment of buying real estate in Turkey because they don’t conflict with real estate taxes. When you compared the real estate taxes of other countries especially in Europe with the real estate taxes in Turkey, there are competitive advantages and strong facilities in Turkey.

For this reason, many people migrate to Turkey annually and they succeed to get Turkish citizenship by using one of the ways offered to obtain Turkish citizenship by the Turkish government. However, obtaining Turkish citizenship also has its own advantages and disadvantages, but it is obvious that its advantages are greater than its disadvantages.

Property taxes in Turkey are divided into three types:

  • One-time payment taxes
  • Yearly taxes
  • Monthly taxes (monthly maintenance AIDAT)

Below we examine the types of property taxes in Turkey:

Types of real estate taxes in turkey & how to pay for them

Real estate one-time payment taxes in Turkey

As mentioned above, there are 3 types of property taxes in Turkey, and the first one on our least is real estate one-time payment tax. Real estate one-time payment tax is divided into two categories, which are reviewed below.

1. VAT, real estate tax in Turkey

This kind of tax depends on the type of property, area, level of design, and construction ranging from 1% to 18%. VAT will not be the same on any other city’s apartment if you get a property for sale in Istanbul Asia and so on. This range is not calculated on the total area but also on the net area of the property.

If you want to get rid of it, the Turkish government offered a surprise on condition. This law was issued on February 2017:

The abolition of VAT on the purchase of real estate in Turkey is the right of foreign investors, or Turkish expatriates living and working outside Turkey for more than half a year. Where this tax exemption is applied on condition on payment of the value of property in foreign currencies. And not to sell the property at least one year from the date of purchase.

This type of tax is only applied in Turkey.

2. Tapu, real estate tax in Turkey

It is paid when the title deed is registered at the Land Registry Office. The percentage of this kind of tax is approximately 4%. This tax includes small properties such as apartments, houses, and villas. You will need this tax if you want to get an apartment for sale in Bursa or other Turkey properties.

Types of real estate taxes in turkey & how to pay for them

Fees payable upon registration of title:

Other amounts you have to pay to register the title are as follows:

  • To get a stamp on behalf of the buyer $60.
  • For the translation of your passport to the Turkish language to be certificated $50.
  • The property transfer fee, payable upon receipt for the transfer request $200.
  • If you do not speak Turkish and you want a translator to accompany you in finishing the proceeding $100.

Real estate yearly taxes payment in Turkey

The second type of property tax in Turkey is real estate yearly taxes payment. This type of tax includes a payment type called Municipal tax. This is defined below.

Municipal, real estate tax in Turkey

In return for the services provided by the Turkish municipalities, you pay once every year this kind of tax. It is calculated at about 0.03% of the property price.

Types of real estate taxes in turkey & how to pay for them

When do you have to pay your tax?

In May and November, you have to pay every year. The total amount is divided equally into 2 installments.

What is the deadline for the property tax?

1 st installment deadline 31 st on May 2and the installment deadline is 30 th of November.

How can you pay property tax in Turkey?

The Municipality your property belongs to directly you can pay. You can pay online with your ID and account by going to the Municipality website. To do this, you have to go to Municipality after title deed registration, and make a registration with your name following 3 months.

Monthly real estate tax in Turkey

(Monthly maintenance AIDAT). For per square meter is calculated 2-5 Turkish lira. This is the cost of a swimming pool, gardens, playgrounds, environmental cleanliness, maintenance, and other important services. This kind of tax is paid to companies supervising the residential complex in return for the services provided by the company to the residential complex.

Types of real estate taxes in turkey & how to pay for them

Insurance of real estate in Turkey against natural disasters

It is to secure your property against natural disasters such as earthquakes. It equals $100 Approx.

Real estate Taxes in Turkey

Thank you for accompanying us until the end of this article. In this article, we investigated the types of taxes on property in Turkey.

As you know, you need to know everything before buying a property in Turkey as a foreigner. Because there are always people who use your little information to deceive you. So try to check everything before living in Turkey.

If you are also looking to buy a property in Turkey, our experts at Alkhail agency can help you make the right decision. You can get in touch with us via WhatsApp.

Types of real estate taxes in turkey & how to pay for them

Join The Discussion

Compare listings