Real estate investors in Turkey sometimes are unaware of many legal matters, this could lead them to some present or future issues that might occur during the purchase process or later, among these matters that cannot be bypassed and is considered an essential condition to fulfill the purchase process especially during the ownership transfer process or the Turkish citizenship application through real estate ownership is real estate evaluation report.
What is Real Estate Evaluation?
Real estate evaluation or real estate value is an important legal document that shows the market value of a property according to certain criteria, while the property cannot be registered at the tabu in the name of the new owner without providing this document.
Why Foreigners Should Obtain Real Estate Evaluation Report in Turkey?
On mid-February 2019 real estate evaluation report in Turkey became mandatory after the General Directorate of Land Registry and Real Estate Records, affiliated to the Ministry of Environment and Cities in Turkey, issued a circular stipulating the necessity of obtaining a real estate evaluation document for everyone who buys real estate in Turkey, and not only those wishing to obtain Turkish citizenship in return for buying a property.
The Purpose of Real Estate Evaluation in Turkey:
1. Creating a safe investment atmosphere:
The comfort of the investor and their safety feeling when investing increases when they get a property with a good price without falling in the trap of scammers who hunts foreigners and exploit their lack of experience in the real estate market in Turkey.
2. Protecting the rights of the foreign investor:
The real estate evaluation legislation in Turkey came to cut off anyone who wants to fraud foreigners and sell them cheap real estate in high prices.
3. Preventing tax evasion in the field of real estate and investments:
That is through controlling the real estate tax evasion processes, which is usually related to fake real estate prices.
4. Determining the appropriate price for the property:
Determined with Turkish Liras, and the US dollar exchange price is calculated according to the central bank’s official price at the purchase date.
What Does the Real Estate Evaluation Report include in Turkey?
1. Information related to the property (location, close transportation).
2. Property’s specification like construction type, view, design, etc.
3. Issues or disadvantages related to the property.
4. Legal audits of the property.
5. Real estate registration information.
6. Information related to technical and physical details of the property.
7. Factors that influence the real estate evaluation.
8. An approach to evaluate the information about the property or its similar properties in the market.
9. Real estate evaluation result.
10. Limits and restrictions.
11. Appendices.
Which Authorities Responsible for Issuing Real Estate Evaluation in Turkey?
Not all who owns a real estate company or an office can issue the real estate evaluation document, as you should extract it from competent certified authorities, this document should be prepared by specialized, independent companies licensed by the Turkish State Banking Regulatory and Monitoring Corporation.
How Long Does in Take to Prepare Real Estate Evaluation Report in Turkey?
Real estate evaluation report extraction report varies between 3 days to a week to obtain the report, after the application to the specialized company, the application is studied within this period and the report is sent through Email, the validity of the real estate evaluation report is 3 months from the issue date, and in case the property is sold within this period, the report can be used more than once.
Real Estate Evaluation Report Fees in Turkey:
According to the article number 63 from the fees and charges law, payment is made according to the current allowance of the real estate on the basis of which the real estate tax is calculated, provided that it is not less than the declared selling price.
Real Estate Evaluation and Turkish Citizenship:
Turkish state requires everyone interested in obtaining the Turkish citizenship through Real Estate Investment to extract a real estate evaluation report that has an identical or a higher value of the real estate price, of course this value should not be less than 400 USD according to the Turkish citizenship law.
Finally, Horizon Turk Real Estate will guide you during all the processes for free, obtaining the real estate evaluation report in addition to following up is part of our services, you can contact us to purchase a new property of evaluate your current property, and out team will be happy to assist you at any time.
