BERK – Registering a property in Turkey

Registering a property in TurkeyIt is surprising to read articles that contradict each other in the same newspaper — even on the same page. I am not referring to political views of different columnists.

I refer to factual statements based on figures. On the very same page of a newspaper, it was stated that construction companies are concerned about the decrease in property purchases by foreign and domestic customers during the first two quarters of the year 2014.

The information was based on the views of sales agents and the marketing departments of the construction companies, and there is no reason for these people to give incorrect information or to make a mistake — at least, not all of them at once. But in the column next to this news article, it was stated that the data from the first two quarters of the year 2014 added up to one of the top years for foreign property purchases in Turkey.

This information is likely to be more accurate, since the source is the Turkish Land Registry Directorate (TKM) and the numbers reflect an exact picture based on official transactions registered in the database forwarded to the state’s statistics department.Indeed, both of the articles are based on correct figures, but the information provided in the article referring to the data derived from the land registry office is not based on real time information.

The data provided by the land registry office shows the number of official sales made and registered transactions. In most cases, property buyers sign a sales agreement and that agreement is based on an installment plan in which the seller is committed to transfer the ownership of a property only after the installment plan is completely fulfilled by the buyer In some instances, however, even after the installment plan is fully paid, the buyer fails to issue a power of attorney for the lawyer to conduct the registration of the property in the buyer’s name at the land registry office.

There are also other reasons that may delay the actual registration of a property, though the sale may have been completed long ago.I am involved in several of these cases and have even assisted clients with registrations five years after the sales agreement was first signed.

Therefore, the land registry office figures are based on the official registration of property ownership that may be three, four or five years out of date, and in some cases, even more.Those who are interested in the Turkish property market should look at the information from this perspective before making a decision.

There is certainly a market for the construction of residential or mixed-use developments in Turkey, but the picture is not as optimistic as portrayed by the title deed office, say most of the construction companies.Finally, please be aware that the new consumer protection law is in force, and this law introduced several tools to protect customers from unreliable investments, but please be sure to check the financial health of the developer before buying property off plan in Turkey.

NOTE: Berk ektir is a Turkish lawyer and available to answer questions on the legal aspects of living and doing business in Turkey. Please kindly send inquiries to bcektir@todayszaman.

com If a sender’s letter is published, names may be disclosed unless it is otherwise expressly stated by the senderDISCLAIMER: The information provided here is intended to give basic legal information. You should get legal assistance from a licensed attorney at law while conducting legal transactions and not rely solely on the information in this column.

SOURCE: Today’s Zaman