Risks when buying property in Turkey: a complete guide for buyers

The Turkish real estate market attracts tens of thousands of foreign buyers every year — and this is hardly surprising. Attractive prices, a warm climate, the possibility of obtaining a residence permit or citizenship, and high rental yields all make Türkiye one of the most popular destinations for real estate investment. However, behind this outward attractiveness there are real risks that you need to understand before you sign a contract and transfer funds.

This article is not an attempt to frighten you or discourage you from purchasing. It is an honest analysis of the risks faced by foreign buyers in the Turkish market, together with practical tools for minimizing them. Knowledge of these risks is your best protection.

1. Risk of the absence of İskan

İskan (İskân belgesi) is the official occupancy permit issued by the municipality after verifying that the completed building complies with the approved project, construction standards, fire safety requirements, and seismic safety requirements. Without this document, the building is not legally considered commissioned for use, even if people are already living in it.

The absence of İskan is one of the most common and dangerous risks faced by foreign buyers. Many secondary market properties, especially those built before the 2000s, do not have this document. Sellers often remain silent about this fact or explain it away as a “technical difficulty” that will “soon be resolved.”

Why is the absence of İskan dangerous?

Without İskan, you will not be able to obtain official address registration (ikametgah), which directly affects your ability to obtain a residence permit. In a number of cases, connection of utilities — water, gas, and electricity — also requires the existence of this document. A property without İskan is more difficult to sell at market value, because buyers using mortgage financing or applying for citizenship will not be able to purchase it. Finally, the municipality has the right to require demolition of illegally built parts of the building or to impose fines on the owner.

There are several types of İskan: Genel İskan (general permit for the entire building), Ferdi İskan (individual permit for a specific apartment), and Toplu İskan (collective permit for a residential complex). When purchasing an apartment in a new development, make sure that the developer has a Genel İskan or that it will be obtained before the handover of keys.

How to verify: Request the original İskan belgesi from the seller or developer. The existence of the document can be verified through the municipality (Belediye) at the address of the property. When purchasing a new-build property, include in the contract a clause requiring the mandatory obtaining of İskan before transfer of ownership rights.

2. Encumbrances on the property (İpotek)

İpotek is a mortgage or pledge registered over a real estate property. In addition to a mortgage, other encumbrances may be imposed on the property: Haciz (attachment by court decision), İhtiyati tedbir (interim protective measures), İrtifak (easement), Şufa (right of first refusal), as well as various Şerh annotations (restrictions and notations in the registry).

The problem is that upon transfer of ownership, debts and encumbrances generally transfer together with the property. The new owner may discover that they have paid for an apartment burdened by a mortgage which they are now obliged to repay, or that the property is subject to attachment due to the previous owner’s debts.

Particular caution should be exercised when buying from private individuals rather than developers. Debts for utilities (electricity, water, gas), outstanding aidat (residential complex maintenance fees), and unpaid property taxes can all become your problem after the TAPU is issued.

How to verify: Before making any payments, request an official extract from the registry (tapu kaydı) from the Land Registry Office (Tapu ve Kadastro Müdürlüğü). This document will show all registered encumbrances. Check utility debts through the relevant services (ISKI, IGDAŞ, BEDAŞ in Istanbul). Request from the seller a certificate from the management company confirming the absence of outstanding aidat debts. If encumbrances exist, agree on their discharge before completion of the transaction or adjust the purchase price accordingly.

3. Inflated pricing for foreigners

Foreign buyers — especially those who come for a short period and do not know the local market — often become victims of inflated pricing. The gap between the “price for a foreigner” and the actual market value may range from 20% to 50% or more.

The mechanisms for inflating prices are varied. Some intermediaries receive hidden commissions from developers in addition to the official property price. Others offer “exclusive” properties that are in fact sold on the open market at a lower price. Still others create artificial pressure (“this price is only valid today,” “three more buyers are viewing this property”), forcing a decision to be made without proper verification.

A separate category consists of unlicensed intermediaries — taxi drivers, waiters, acquaintances of acquaintances — who offer to “help” with a purchase in exchange for a commission. Working with such people not only increases the risk of overpaying, but also deprives you of legal protection should problems arise.

Since 2021, mandatory independent real estate valuation (Değerleme Raporu) has been in force in Türkiye, carried out by accredited companies (GEDAŞ). This document reflects the market value of the property and is mandatory in transactions involving foreign buyers. If the sale price significantly exceeds the appraised value, this is a serious reason for concern.

How to protect yourself: Work only with licensed agencies holding an Emlak Yetki Belgesi. Study market prices in the selected area yourself through open databases (sahibinden.com, hurriyetemlak.com). Be sure to request the valuation report (Değerleme Raporu) and compare it with the sale price. Do not make decisions under pressure — you always have time to think.

4. Construction delays and developer-related risks

Buying real estate at the construction stage (off-plan) is attractive because of the price — typically 20–30% lower than that of a completed property. However, this segment carries the greatest risks for the buyer.

Delays in project completion are the most common problem. Even conscientious developers may postpone delivery by 6–12 months due to material supply problems, changes in project documentation, or administrative delays. In the worst case, construction may be frozen or completely halted because of the developer’s financial difficulties.

Developer bankruptcy is the most catastrophic scenario. In that case, the buyer risks being left without both the money and the apartment. Turkish law provides a certain degree of protection for buyers’ rights through a notarized preliminary sale and purchase agreement (Ön Satış Sözleşmesi), which is subject to mandatory registration with the land registry. Without such an agreement, your rights in the event of the developer’s bankruptcy will be extremely difficult to protect.

There is also the risk that the completed property will not correspond to the stated characteristics: a smaller area, an altered layout, lower-quality finishing, or the absence of promised infrastructure (swimming pool, parking, playground).

How to protect yourself: Study the developer’s reputation — previous projects, buyer reviews, and financial stability. Verify the existence of all construction permits (İnşaat Ruhsatı). Conclude only a notarized preliminary agreement with clear completion deadlines, penalties for delay, and a detailed description of the property’s characteristics. Consider transaction insurance.

5. Currency risk

The Turkish lira has historically been subject to significant fluctuations against the U.S. dollar and the euro. For a foreign buyer, this creates a specific risk that is often underestimated.

All real estate transactions in Türkiye are officially registered in Turkish lira, even if the price was agreed in dollars or euros. This means that the final amount in your own currency depends on the exchange rate at the moment of conversion. A sharp change in the exchange rate between the date of signing the contract and the date of payment may substantially alter the real cost of the purchase.

In addition to exchange-rate risk, there is the banking spread — the difference between the bank’s buying and selling rates when converting currency. In Turkish banks, this spread may reach 1–3%, which in a $200,000 transaction means an additional expense of $2,000–6,000.

In developer installment plans, currency risk becomes particularly important: if the price is fixed in dollars and the lira depreciates, the developer effectively receives less in real terms and may attempt to revise the terms. If, on the other hand, the price is fixed in lira and you are paying from dollar savings, your expenses will increase if the lira strengthens.

How to protect yourself: Fix the price in the contract in a stable currency (USD or EUR). Monitor the exchange rates of the Central Bank of Türkiye (TCMB) on the website tcmb.gov.tr. Plan currency conversion in advance, avoiding peak volatility periods. For large amounts, consider using forward contracts through a bank in order to lock in the exchange rate.

6. Tax nuances and hidden expenses

Many buyers focus on the property price and overlook the associated expenses, which in total may amount to 5–10% of the transaction value. Lack of awareness of these expenses leads to unpleasant surprises at the final stage.

Particular attention should be paid to capital gains tax upon subsequent resale. If you sell the property within 5 years of purchase, the difference between the purchase price and the sale price is subject to income tax at a progressive rate from 15% to 40%. After 5 years of ownership, no such tax is charged.

Foreign property owners in Türkiye are obliged to pay annual property tax (Emlak Vergisi): 0.1–0.3% for residential property and 0.2–0.6% for commercial property, depending on the municipality.

How to protect yourself: Request from the agency in advance a full calculation of all transaction-related costs. Take tax consequences into account when planning the investment, especially if you are considering resale within 5 years. Consult a tax adviser regarding obligations in your country of tax residence.

7. Problems with title ownership (TAPU)

TAPU — the title deed — is the key document in any real estate transaction in Türkiye. Problems with the TAPU may render the transaction invalid or create serious legal complications for the buyer.

The most common risks are linked to several situations. First, the property may have several co-owners, and the consent of all of them is required for the sale. If one co-owner has not given consent, the transaction may be challenged. Second, the property may be in the process of inheritance registration, which makes it legally “non-transferable” until that process is completed. Third, there are fraudulent schemes involving forged TAPUs or sales made under powers of attorney when the true owner is unaware of the sale.

It is also important to distinguish between types of TAPU. Kat İrtifakı (construction servitude/title at construction stage) is issued during the construction phase and is not a full ownership title — it does not confirm that the building has been commissioned for use. Kat Mülkiyeti (condominium ownership title) is issued after obtaining İskan and is a full title document. Purchasing a property with Kat İrtifakı without the subsequent obtaining of Kat Mülkiyeti creates legal uncertainty.

Another specific risk is the sale of an apartment that, according to the documents, belongs not to the developer but to the landowner. In Türkiye, it is common for a landowner to provide a plot to the developer in exchange for part of the apartments in the completed building. If the developer attempts to sell the landowner’s apartments without the landowner’s knowledge, this is fraud.

How to verify: Verify the TAPU through the official Web-Tapu system (webtapu.tkgm.gov.tr) or at the Land Registry Office. Make sure that the seller’s name matches the data in the registry. Request a notarized copy of the seller’s identity document. Where there are several co-owners, obtain the written consent of each of them.

8. Restricted zones (districts) and restrictions for foreigners

Turkish legislation establishes a number of restrictions on the acquisition of real estate by foreign nationals, which should be known in advance.

Foreigners may not acquire property in areas adjacent to military facilities, strategic facilities, and protected environmental territories. The list of such zones is determined by the Ministry of National Defense and may change. If the property is located in such a zone, the Land Registry Office will refuse to register the transaction — even if the seller and buyer have already signed the contract and funds have been transferred.

In addition, since 2022, restrictions on the sale of real estate to foreigners have been in force in a number of districts in Türkiye as part of a demographic balance policy. This concerns districts where the share of foreign owners has exceeded 20% of the total number of households. The list of such districts is periodically updated by the Ministry of Interior.

There are also quantitative restrictions: one foreign national may not own land plots with a total area exceeding 30 hectares within the territory of Türkiye.

How to verify: Before paying a deposit, request confirmation from the Land Registry Office (Tapu ve Kadastro Müdürlüğü) that the property may legally be acquired by a foreign national. Check the current list of districts closed to foreigners on the website of the Ministry of Interior.

9. Property not qualifying for residence permit or citizenship

Many foreign buyers purchase property in Türkiye for the purpose of obtaining a residence permit or citizenship. However, not every property qualifies for these programs, and failure to meet the requirements may result in refusal of the status application.

For citizenship through investment in real estate, the minimum property value is $400,000 (based on a valuation by the accredited company GEDAŞ); the property must have a full TAPU of the Kat Mülkiyeti type; it must not be registered as commercial or agricultural real estate; and the buyer must retain ownership of the property for at least 3 years.

For obtaining a residence permit through real estate, the minimum property value is $200,000 (based on GEDAŞ valuation). The property must be located in a district open to foreigners (not in a “closed” district under the demographic balance policy).

It is important to understand: the decision to grant citizenship or a residence permit is made exclusively by the competent state authorities of Türkiye. No real estate agency can guarantee approval of the application.

How to protect yourself: Before purchasing, consult an accredited immigration lawyer. Order a preliminary valuation of the property from GEDAŞ to confirm compliance with the minimum threshold. Make sure that the district is not included on the list of districts closed to foreigners.

10. Aidat and maintenance expenses

Aidat is the monthly mandatory fee for maintenance of the residential complex infrastructure. It covers the costs of security, cleaning of the territory, maintenance of swimming pools, elevators, playgrounds, fitness facilities, hammams, and other common amenities. The amount of the aidat depends on the class of the complex and the range of services provided, and may vary from 500 ₺ to 5,000 ₺ or more per month.

It is critically important to understand the following: in Türkiye, it is not possible to “mothball” an apartment and stop paying aidat, even if you are not living in it. The obligation to pay aidat arises from the moment ownership rights are registered and does not depend on actual residence. If debt accumulates, the management company has the right to go to court and, in extreme cases, to obtain attachment of the owner’s property.

In addition to aidat, the owner bears expenses for utilities (even where the apartment is vacant — subscription charges still apply), annual property tax (Emlak Vergisi), mandatory earthquake insurance (DASK), and periodic repairs.

How to protect yourself: Before purchasing, confirm the amount of the aidat with the management company and request a certificate confirming the absence of outstanding debts of the previous owner. Include maintenance expenses in the profitability calculation when making an investment purchase. In the event of long-term absence, consider entrusting the property to a specialized management company.

11. Summary table of risks and methods of protection

12. Buyer’s checklist

Use this checklist before signing any documents and making any payments.

Property review:

Before paying a deposit or signing a contract, make sure of the following. Request an extract from the Land Registry Office and verify the absence of encumbrances (İpotek, Haciz, İhtiyati tedbir). Verify the existence of İskan or a condition for obtaining it before transfer of the TAPU. Make sure that the TAPU type is Kat Mülkiyeti, not Kat İrtifakı. Order an independent valuation report (Değerleme Raporu) from an accredited GEDAŞ company. Verify the property’s compliance with zoning rules (imar durumu) through the municipality. Make sure that the district is open to acquisition by foreign nationals.

Seller review:

Make sure that the seller’s name matches the data in the TAPU. If there are several co-owners, obtain the written consent of each of them. If the seller is acting under a power of attorney, verify its authenticity with the notary. Check the reputation of the developer (for new developments): completed projects, financial stability, and buyer reviews.

Agency review:

Make sure that the agency holds a valid Emlak Yetki Belgesi license. Verify the license in the official registry on the website ttbs.gtb.gov.tr. Make sure that the agency does not receive hidden commissions from the developer.

Financial preparation:

Request a full calculation of all transaction-related expenses. Take into account the title transfer tax (4%), valuation costs, notary fees, translator fees, and insurance. Confirm the amount of the aidat and request a certificate confirming the absence of outstanding debts. Check the current exchange rate of the Central Bank of Türkiye (tcmb.gov.tr). If the objective is a residence permit or citizenship, consult an accredited lawyer before purchasing.

The Turkish real estate market offers real opportunities both for investors and for those seeking a second home or a place to relocate. Most transactions are completed successfully — provided that the buyer approaches the process consciously and professionally.

Knowledge of the risks is not a reason to refuse to purchase. It is a tool that enables you to ask the right questions, verify the right documents, and work with specialists who genuinely protect your interests rather than simply seeking to close a transaction.

A licensed real estate agency holding a valid Emlak Yetki Belgesi, an independent lawyer, and an accredited valuer are the three key specialists who will help you navigate every stage of the transaction safely and with a full understanding of what is happening.