A Turkish title deed, popularly referred to as TAPU, is an official document that states and proves property ownership. It contains crucial information about the property and registers details such as location, owner, type, and size. According to the laws, only the owner of a Turkish title deed has the legal rights to transfer registered properties to another buyer.
Title deeds in Turkey are supplied, archived, and registered by the Land Registry and Cadastre office. With the possession of this document, property buyers receive 100% ownership from the Turkish authority.
Note: Properties are mostly freehold in Turkey. Once purchased, the buyers are endowed with full ownership rights and their families get the right of inheritance upon death.
It is paramount that landlords understand the fundamentals and essential elements involved in the deed transfer process and the concerning outcomes. In this article, we have enlisted some of the crucial aspects of title deeds and property ownership in Turkey.
Types of TAPU or Turkish title deed
Based on the type of real estate and ownership, there are different categories within the Turkish title deed. It can be broadly classified into two segments:
This title deed is formulated with respect to the land title as well as shared ownership. Blue TAPU is issued for real estate in Turkey that does not fall under the urban planning scheme and is essentially an agricultural land.
It can be further explained as:
- Land ownership: Such titles are set for a piece of land with no habitations or dwellings.
- Shared ownership: If the TAPU has several habitations, the title signifies a considerate share of ownership on the overall property.
Note: Shared titleholders usually have decreased autonomy over the property. It also limits the owner’s right to make decisions on sales, maintenance, and upkeep of the property. Landlords with shared ownership titles are not permitted to take a mortgage against the co-owned real estate.
It is a freehold title that denotes individual ownership with the units specified on the Turkish title deed.
The freehold title can be either referred to as ‘kat mulkiyeti’ or ‘kat irtifaki’ and is majorly used for commercial or residential properties. A check box is present on the form that denotes the type of category the purchased property falls under.
- Kat irtifaki: It is also known as ‘construction servitude’. The title denotes that the development or construction work on the property is still in progress. As per the resource consent, a kat irtifaki title displays the allotment of units in the ‘under-construction’ phase.
- Kat mulkiyeti: Once the development phase is finished, local municipality authorities inspect the property to ensure that the construction is completed. They grant a habitation license or Iskaan, further enabling a title to be converted to the next stage or full ownership.
- Devre Mulk: This title offers a fractional or timeshare ownership. It is offered when the property is owned for a certain period of time.
Documents required for obtaining the title deed
- Turkish tax number
- Original passport and identity document along with their photocopies
- Photographs in plain white background
- Notarized Power of attorney (if applicable)
- In sales or purchases, original or photocopies of the previous title deed
- “No tax debt” received from the municipality and “Paid” receipts of previous debts
- Turkish Catastrophe Insurance Pool and compulsory earthquake insurance
- Seller’s Identity proof
- Translated and Notarized version of all documents
Process for getting TAPU or Turkish title deed
The Turkish General Directorate of Land Registry and Cadastre offices work in accordance with fixed appointment systems. After the required documents are arranged, the transactions can be finalized by scheduling a verification session. At Extra Property, our dedicated real estate team deals with the entire documentation process so that buyers could have a hassle-free purchase and title deed transfer journey.
An appointment needs to be made at the local title deed office. The mandatory documents (enlisted above) should be brought along.
Both parties need to agree upon a declaration value for the transaction in order to apply for stamp duty. This would be paid by the buyer.
Stamp duty should be paid via wire transfer.
The seller would sign the title deed and the buyer would receive an acknowledgment receipt of the purchase consideration. A confirmation that the title is being transferred without any duress also needs to be included.
The buyer needs to sign the Turkish title deed and accept the granted title along with the charges that may come with it.
The original TAPU or title deed is issued in the name of the new owner.
Cost of obtaining the Turkish title deed
When buying or selling real estate in Turkey, certain fees are involved pertaining to the title deed transactions.
- Often referred to as stamp duty tax, the Turkish title deed transfer fee is 4% of the purchased price.
- This duty tax is payable when the title deed transfer or exchange is completed at the time of sale or purchase. Generally, the seller declares the sales value and the buyer pays the fees.
Avail title deed and be a part of Turkish citizenship by investment program
If foreign investors are willing to purchase a property in Turkey worth $250K or more, they are entitled to receive a Turkish passport within three months. At this condition, when a real estate buyer applies for Turkish citizenship by investment program, an amount is placed on the title deed that prevents any Turkish title deed sale transfer for a minimum of three years. With that in place, we recommend that investors seeking to obtain citizenship of the country should ensure that the title deed is “clean” and devoid of any backlog charges or mortgages.
If you are willing to purchase real estate in Turkey and need assistance relating to property purchase and paperwork, consult our real estate experts here.