With Turkey having distinguished projects, and the willingness for both Arabs and non-Arabs to re-locate to Turkey, while having a view of investing in security and stability for better standards of living for their families and them as well, the demand for real estate has sky rocketed in the past few years. The Turkish government has no limitations for foreign ownership, on the contrary they encourage foreign investments. There are some questions to foreigners that want to invest in real estate in Turkey, but the most common one is: should I buy something that is ready or buy in a project that is still under construction. In the following article we will discuss the benefits of investing in under construction real estate in Turkey and why most new comers are interested in investing in under construction projects.
Under construction investment in Turkey, is considered to be one of the most profitable types of investments in the Turkish real estate market, there are many examples of investors who have profited on average of 30% during the period of construction till delivery date. The main advantage of buying under construction property in Turkey is the availability of long installment plans while the property is being built. Usually, people who buy property that is still under construction benefit from buying the property at a cheaper value and with an installment plan, these ways benefit the investors by not having to invest in a big sum of their money all at once. Installment plans may go for up to 3 years and in some cases even more.
What to watch out for when buying property that is under construction? You need to be aware of the company you are buying from, know their history very well; consult a real estate company on the matter. Projects with the guarantee of the Turkish Government under construction are your safest option for high profit since they are located near important investment projects such as the airport or the new Istanbul canal, but they don’t come at a cheap price. Many investors are opting for that option, but it doesn’t mean you can’t buy property from a reputed developer or company. Your best choice is relying mostly on your real estate company in choosing the right property for you, since they know the market well, and should guide you in buying property that is of good value.
Advantages of buying property in Turkey in general, are low property taxes that are paid semiannually, and are much cheaper than other European and Middle Eastern countries. Another advantage when investing in real estate in Turkey is the ability to obtain a residency permit or even a citizenship, in one of the world’s fastest growing economies with levels of education and health care being very high, and for a fraction of the price when compared to European countries or even some Middle Eastern countries as well. Turkey has secure and safe environment for families, especially for families with young children. Finally the prices of properties in Turkey are considered to be cheaper than other European countries, while being well developed and built with very high standards in most new projects, with a promising higher percentage of profit due to the rapid urbanization, and the strength of tourism, which also gives foreign investors opportunities to invest in businesses that are related to tourism.