Guide on Acquiring Turkish Citizenship through Property Investment – 2024

مقدمة

The following guide provides a comprehensive overview of the procedures and principles to be followed for foreigners wishing to acquire Turkish citizenship through property investment. This guide is designed to ensure that foreign individuals are informed about the relevant legal provisions, restrictions, and conditions.

Legal Framework and Preconditions

According to the regulations, foreign individuals can acquire Turkish citizenship by purchasing property worth at least $400,000 USD or its equivalent in other currencies. The purchased property must either be a condominium or a plot of land with a building. Additionally, a commitment must be made not to sell the property for at least three years.

The regulations have evolved over time, with significant amendments made on various dates to enhance the process’s clarity and efficiency. For instance, the changes made on January 12, 2017, September 19, 2018, and subsequent dates have refined the conditions under which properties can be purchased and the associated commitments.

Key Provisions

1. Eligibility Criteria:

   • Foreigners must purchase a property that is valued at a minimum of $400,000 USD.
   • The property must be officially registered, and the transaction must be documented with a title deed.
   • Properties must not be sold within three years of purchase.

2. Types of Properties:

   • The property can be residential or commercial, as long as it meets the value criteria.
   • Properties under construction can also be considered if they are completed and meet the necessary conditions within the specified period.

3. Application Process:

   • The application for Turkish citizenship through property investment must be submitted to the relevant authorities, including the Ministry of Environment, Urbanization, and Climate Change.
   • A property valuation report, obtained from a certified appraisal company, is required.
   • A certificate of conformity is issued once the property value and other conditions are verified.

4. Documentation Requirements:

   • Title deed of the property.
   • Property valuation report.
   • Proof of payment and financial transactions related to the property purchase.
   • Commitment to not sell the property for at least three years.

5. Special Conditions:

   • Properties that are subject to mortgage or other legal restrictions cannot be used for citizenship applications.
   • Multiple properties can be used to meet the total investment requirement, provided they cumulatively meet the value threshold.

Detailed Legal Provisions

Property Valuation and Investment Confirmation: The property valuation must be conducted by certified appraisers and verified through the official systems like TADEBIS and Web-Tapu. The valuation report is valid for three months, during which the application process should be completed to avoid revaluation.

Sales and Commitment Documentation: The official deed must explicitly state that the property will not be sold for three years. This is a binding commitment and any breach may result in the cancellation of the citizenship process.

Financial Requirements and Proof of Investment: Payments for the property must be made through Turkish banks, with foreign currency transactions converted via the Central Bank of Turkey. The payment proof must be detailed, showing the buyer’s and seller’s information, transaction amounts, and relevant dates. The bank receipts and currency exchange documents are crucial components of the application.

Additional Legal Considerations:

• Properties involved in legal disputes or with existing liens are not eligible.
• The ownership of the property must be clear and free from any third-party claims.
• Joint ownership is generally not permissible unless the entire value is met by one individual’s share.

Tax and Financial Considerations

Tax Liabilities: Property buyers must comply with local tax regulations, including property tax, VAT, and other related taxes. Taxes must be paid in full and on time to avoid legal complications.

Financial Transactions: Payments must be made through Turkish banks, and foreign currency transactions must be converted through the Central Bank of Turkey. All transactions must be documented accurately to ensure compliance with Turkish financial regulations.

Recent Changes in the Turkish Citizenship through Property Investment Program in 2024

In last one year, several significant changes have been made to the Turkish Citizenship by Investment program to improve the process and prevent fraudulent activities. These changes affect the property valuation process, the procedure after obtaining the investment conformity certificate, the types of properties eligible for investment, and the conditions for investment through promise-to-sell agreements. Here are the details:

Property Valuation by GEDAŞ

One of the most critical changes is that property valuation reports are now exclusively conducted by GEDAŞ Valuation Company, authorized by the government. Previously, various valuation companies could prepare these reports, but this led to numerous irregularities. Now, only GEDAŞ can issue these reports, aiming to provide the most accurate property values.

Impact on Investors: Investors must carefully inspect the property and determine the market values in the area before making a purchase. If the valuation report by GEDAŞ appraises the property below the expected value, investors may need to make additional investments to meet the $400,000 requirement. A notable disadvantage of this new regulation is the increased time required to obtain valuation reports, as only one company is authorized, leading to longer processing times.

Procedure Post-Investment Conformity Certificate

Once the investment has been made and the conformity certificate has been issued, the file is transferred to the Directorate General of Population and Citizenship Affairs. During this phase, it is mandatory to stay in Turkey, as the directorate will need to take your fingerprints again for verification purposes.

Impact on Investors: After receiving the conformity certificate, investors should be prepared to stay in Turkey for approximately 10-15 days or make separate visits for each step to complete the process.

Restrictions on Land Investments

Previously, purchasing an empty plot of land could qualify an investor for Turkish citizenship. However, under the latest regulations, only land with an approved construction project (a “kat irtifakı” title deed) is eligible. This means the land must have a construction plan approved by the municipalities and the title deed converted to reflect this status.

Impact on Investors: Investors can no longer acquire Turkish citizenship by purchasing undeveloped land. Only plots with established and approved building plans are acceptable, ensuring that investments are directed towards actual development projects.

Single Transaction Requirement for Promise-to-Sell Agreements

For investments made through promise-to-sell agreements, all investments must be conducted in a single transaction. This means that, unlike standard property purchases where investments can be made at different times and locations, promise-to-sell agreements require that the entire investment amount be committed at once, typically in the same project.

Impact on Investors: This regulation necessitates that investments through promise-to-sell agreements are usually made in a single large property or multiple properties within the same project that collectively meet the $400,000 requirement. This change ensures more straightforward and verifiable transactions.

These recent changes aim to enhance the integrity and efficiency of the Turkish Citizenship by Investment program. By understanding and adhering to these new regulations, investors can better navigate the process and ensure their investments meet the necessary legal and financial requirements.

Benefits of Acquiring Turkish Citizenship

1. Travel Advantages: Turkish citizenship grants visa-free or visa-on-arrival access to numerous countries, enhancing global mobility.
2. Business Opportunities: Citizens can take advantage of Turkey’s strategic location and growing economy for business and trade. Turkey’s customs union with the EU and its position as a gateway between Europe and Asia offer significant business advantages.
3. Cultural and Lifestyle Benefits: Turkey offers a rich cultural heritage, modern infrastructure, and a high quality of life. The country’s diverse landscapes and climates provide numerous lifestyle options, from vibrant city life to serene coastal living.

أسئلة مكررة

1. What happens if the value of the property decreases after purchase?

• The citizenship process is not affected by a decrease in property value after purchase. As long as the property was valued at $400,000 USD at the time of purchase, the eligibility remains intact.

2. Is a criminal record certificate required for the application?

• No, a criminal record certificate is not required for the citizenship application through property investment.

3. Is a health certificate required for the application?

• No, a health certificate is not required for this process.

4. What are the most critical points to consider?

• Ensuring the property is eligible for citizenship acquisition is the most crucial factor. It is recommended to contact us to verify the property’s eligibility. Additionally, careful preparation of the foreign exchange purchase certificate, valuation report, and payment receipts is essential.

5. How is the current process progressing?

• The process remains largely the same as before, but the government now scrutinizes applications more carefully. Additional checks and document requirements have been implemented to prevent fraudulent activities observed in the past.

6. What is the military service obligation for children?

• Individuals who become Turkish citizens before the age of 22 are required to fulfill military service, which can be completed either through a paid short-term service (21 days) or a full-term service (6 months).

خاتمة

Acquiring Turkish citizenship through property investment is a viable option for foreign investors looking to gain a foothold in Turkey. By adhering to the outlined legal provisions and carefully selecting the right property, investors can successfully navigate the process and enjoy the numerous benefits of Turkish citizenship.

Additional links
الجنسية التركية عن طريق الاستثمار

How to Obtain Turkish Citizenship: Deep Guide

Expert Turkish Citizenship Lawyers: Your Guide to Real Estate and Investment-Based Citizenship

فوائد الجنسية التركية عن طريق الاستثمار: 14 سببًا

Eligible Turkish Citizenship Properties

Guide on the Implementation of the Regulation on the Turkish Citizenship Law