Real Estate and Banking Matters for Foreigners
Property Purchase and Sale in Türkiye, Remote Transactions, VAT Exemption and Bank Account Procedures
A foreign national's purchase or sale of property in Türkiye, or conduct of banking transactions, must be assessed together with the rules on the acquisition of property by foreigners, title deed records, payment and foreign exchange documents, power of attorney procedures and the customer acceptance procedures of banks.
In the acquisition of property, the buyer's nationality and legal status, the property's title deed record and encumbrances, the authority of the seller or project company, and the contracts and payment documents must be checked before the transaction. In the acquisition of property by foreign individuals through purchase, the Foreign Currency Purchase Certificate is part of the title deed transaction.
Canaydın Law Firm provides services in real estate purchase and sale, transactions carried out by power of attorney without coming to Türkiye, the preliminary legal assessment of the VAT exemption on property sales to foreign nationals, and the legal coordination of bank account opening procedures.
- Legal Review of the Property
- Review of the Contract and Payment Process
Real Estate and Banking Services for Foreigners
01 — Real Estate Purchase and Sale
Before a foreign national acquires or sells property in Türkiye, the legal status of the parties, the title deed record, encumbrances, sales documents and the payment process are examined together.
Explore Real Estate Purchase and Sale
02 — Remote Transactions
For those who wish to buy or sell property without coming to Türkiye, the transaction can be carried out through a properly drawn power of attorney.
- Purchase or sale by power of attorney without coming to Türkiye
- Preparing the power of attorney to be issued at a Turkish consulate or before a foreign notary
- Coordinating the required apostille or consular certification and translation procedures for foreign notarial powers of attorney
- Carrying out title deed transactions by proxy
- Where appropriate, coordinating banking transactions by power of attorney or a remote transaction model
Explore Remote Real Estate and Power of Attorney Procedures
03 — VAT Exemption on Real Estate Sales
In certain deliveries of residences and business premises to foreign individuals who are not resident in Türkiye, a VAT exemption may apply if the conditions required by law are met.
The exemption is not automatic for every foreign buyer or every property. The buyer's status, whether the property is a first delivery, the bringing of the price into Türkiye in foreign currency, and the payment documents must be assessed together.
- Preliminary legal review of the VAT exemption conditions with respect to the buyer and the property
- Assessing whether the property is a first delivery and the structure of the sale
- Checking the document flow relating to bringing the price from abroad into Türkiye
- Reviewing bank and foreign exchange documents
- Legal coordination with the seller, an independent financial advisor or tax advisor, and the bank and title deed offices
Explore the VAT Exemption on Real Estate Sales
04 — Banking Services
The opening of a personal account or investment account in Türkiye by foreign nationals is subject to the banks' customer acceptance, identity verification, compliance and source of funds reviews.
- Coordinating the legal documents required to open a personal bank account
- Coordinating bank account and investment transactions connected with a Turkish citizenship investment
- Preparing the tax identification number, address, power of attorney and foreign documents
- Where appropriate, assessing with the relevant bank the possibility of opening a bank account remotely
- Opening a bank account is subject to the bank's own acceptance and compliance assessment; the law firm does not guarantee any outcome regarding the opening of an account.
Which Service Do You Need?
The path to follow may vary not only according to a foreign national's wish to buy property, but also according to whether the transaction is for the purpose of investment, residence, citizenship, sale or remote representation.
- Real estate purchase and sale transactions for buying or selling property in Türkiye
- Power of attorney and a remote transaction model for carrying out transactions without coming to Türkiye
- Assessing the VAT exemption conditions when buying a new residence or business premises
- Banking services for a personal or investment bank account
- The relevant citizenship and real estate investment page, if property investment will be made for the purpose of Turkish citizenship
For this reason, it is important to determine the purpose and legal structure of the transaction before choosing a property, signing a contract or making a payment.
Legal Review Before Purchasing Property
For a foreign buyer, the review before purchase does not consist merely of checking the name of the title deed owner.
Real estate investments made for citizenship purposes are additionally subject to the investment and document requirements specific to citizenship legislation.
What We Do for You
Legal Review of the Property
The title deed record, owner, attachments, mortgages, annotations, declarations and other legal risks are examined before the purchase or sale.
Seller and Project Company Check
The authority of the seller, whether an individual or a company, to carry out the transaction is assessed; for companies, the trade registry, representation and signature authority are assessed.
Preparation and Review of Contracts
The payment, title deed, delivery, delay, defect, termination and refund provisions of reservation, sales or real estate sales promise contracts are reviewed.
Checking Payment and Foreign Exchange Documents
The consistency of bank payments and, in purchases by foreign individuals, the required Foreign Currency Purchase Certificate process with the title deed transaction is checked.
Title Deed Transfer and Representation
The title deed appointment, transaction documents and, where necessary, title deed transfers by proxy are carried out.
Remote Transactions and Power of Attorney
If the transaction will be carried out without coming to Türkiye, an appropriate power of attorney text is prepared and the certification process for foreign documents is coordinated.
Preliminary Legal Review of the VAT Exemption
The basic conditions of the exemption are examined with respect to the buyer and the property; coordination is provided with an independent financial advisor or tax advisor for the fiscal application.
Coordination of Banking Services
The legal documents requested by the bank for a personal or investment account are prepared and, where appropriate, the possibility of remote transactions is coordinated.
How the Process Works
- 01
Determining the Purpose of the Transaction
The purpose of purchase, sale, investment, citizenship, residence, VAT exemption or remote transaction is assessed.
- 02
Preliminary Review of the Buyer and the Property
The foreign national's acquisition status and the property's title deed and legal information are examined.
- 03
Review of the Seller and the Contract
The seller's authority to carry out the transaction and the contract documents relating to the sale are checked.
- 04
Preparing the Payment and Document Plan
Bank payments, the Foreign Currency Purchase Certificate, the power of attorney and other required documents are planned according to the sequence of the transaction.
- 05
Carrying Out Title Deed or Remote Transactions
The title deed application, the transactions of the parties or their proxies, and the required official procedures are carried out.
- 06
Delivery and Subsequent Procedures
The delivery of the property, subsequent procedures arising from the contract and the required records are followed up.
- 07
Related Legal Processes
Depending on the purpose of the transaction, referrals are made to banking, VAT exemption, residence, citizenship or other related services.
Are You Buying Real Estate for Citizenship Purposes?
Where property is purchased for the purpose of a Turkish citizenship investment, the investment amount, payment, title deed declaration, undertaking and eligibility procedures specific to citizenship legislation also apply, in addition to the ordinary acquisition of property by a foreign national.
Is There a Dispute in Your Real Estate Transaction?
Where there is a dispute concerning the sales contract, title deed transfer, delivery, defects, termination, refund or any other matter connected with the property, the lawsuits, notices and other legal remedies that may be pursued are assessed separately.
FAQ
Frequently Asked Questions
Can foreigners buy real estate in Türkiye?
The acquisition of property by foreign individuals is subject to the Title Deed Law and the relevant restrictions. Eligibility for acquisition with respect to the buyer and the property must be checked before the title deed transfer.