Property prices in Turkey increased in February, compared to January, rising by an average of 0.78%. According to property price index, REIDIN.com, Antalya saw the biggest price rises, with values of existing homes increasing by 1.1%. Izmir and Adana saw price rises of more than 1%, and prices in Istanbul increased by 0.98%.
Prices of new build homes also increased according to REIDIN.com GYODER index, rising by 0.6% in February compared to January. When compared to February 2011, the cost of buying a new property has risen by 10.42%. These figures are backed up by Knight Frank, as the firm also found the housing market to be performing strongly. According to their figures values of homes in Turkey increased by 7.7% in the fourth quarter of 2011 compared to the fourth quarter of 2010.
Buying property in Turkey is relatively straightforward, but it can take quite some time to complete the purchase. At the moment a foreigner can only purchase 25 acres of land, and they must be a citizen of a country which has a reciprocity agreement with Turkey, allowing Turkish citizens to be granted the same rights in that country. An application has to be made to the land Registry in the area where the property is to be purchased, stating exactly where and what the property is.
The application must include the title deed for the property, the applicant’s passport, a tax number card which can be obtained at a tax office, and two photographs. Other obligations include providing a real estate values statement from the municipality, and providing proof of compulsory earthquake insurance for the property. A number of amendments to this law are currently underway, including abolishing the reciprocity principle, and increasing the size of a property to 30 acres. The Turkish Ministry of Environment and Urban Planning has the power to double this amount if it’s in the public’s interest.