Turkey has recently introduced significant modifications to its citizenship by investment program, specifically targeting immovable property in foreign currency for real estate investors.
The President of Turkey has signed the exceptional citizenship law that restricts foreigners to buy “condominium, apartments, flats in a building” for the purpose of citizenship. Purchase of land, freehold properties do not qualify for citizenship through property investment. The new rule will come into force on Dec 12, 2023. The New Law has been published in official gazette of Turkey.
Starting from 2024, the minimum investment for real estate will also be increased to USD 600,000 from the current 400,000. The property cannot be sold for three years.
Buying a property in Turkey is a smooth process. Foreign nationals do not need to have a residence permit as a pre-condition to acquire real estate in Türkiye. In addition, foreigners who acquire property in Türkiye are granted renewable short-term residence permits under Law No. 6458 on Foreigners.
The whole process takes at least 6 months from submitting all documents to receiving residence permit and then final step of presidential conferral of citizenship. Pre-title deed is issued during construction of project and final title deed upon completion. VAT 18% is exempted for first time buyers and property title deed taxes around 2%. To have title deed exemption, the project must be classified as urban reconstruction project.
Buyers have have to meet specific conditions to be exempted from VAT.
- First time foreign buyer
- Should not have residency or citizenship in Turkey
- Payment must be done from outside the country
- Not spent more than 179 days in the last one year.
Currently, nationals of North Korea, Armenia, Nigeria, Cuba, Yemen, and Syria are currently restricted from buying properties in Turkey.