Does the Turkish government provide facilities for foreign investors in Turkey?
Türkiye has become one of the most preferred destinations for foreign investors. Many of them wonder if the Turkish government provides facilities for foreign investors in Turkey. This is what we will talk about in this article from Ebla Real Estate.
Does the Turkish government provide facilities for foreign investors in Turkey?
In recent years, Turkey has strategically positioned itself as an attractive destination for foreign investors by implementing a range of incentives and facilities aimed at fostering economic growth, diversifying industries, and enhancing international collaboration.
Common incentives and facilities that Turkey has offered to foreign investors:
Support for Foreign Projects:
Turkey recognizes the value that foreign projects bring to its economy. To this end, the government actively supports foreign investors by providing incentives and guidance.
Moreover, the real estate loan is one of the forms of financial support, granted by the Turkish government to the foreign citizens, as they have the right to take a loan to buy a property in Turkey.
Facilitate Procedures and Transactions:
Turkey has taken measures to simplify administrative processes for foreign investors. Streamlined procedures for permits, licenses, and clearances help expand the establishment and operation of businesses, ensuring that investors can focus on their projects.
Moreover, among these facilities, the government allows foreign citizens to own real estate in Turkey via the Internet. It also gives them the advantage of applying for Turkish citizenship online and obtaining it while they are in their country of origin.
Establishing a Company:
Setting up a business in a foreign land can be challenging, but Turkey has implemented measures to ease this process. Foreign investors can establish various types of companies, including joint-stock companies, limited liability companies, and branch offices. The government provides clear guidelines for each type, enabling investors to choose the one that aligns with their business goals.
Reductions and Tax Exemptions:
Of course, one of the most attractive incentives for foreign investors in Turkey is the range of tax benefits. This encourages investments in key sectors and stimulates growth in particular regions, contributing to balanced development across the country.
Among the tax exemptions is the tax exemption in Turkey on real estate, as it includes value-added tax, which is 18% for commercial properties (shops – offices) and between 1 – 8 – 18% for residential properties.
Real Estate Appraisal Report Document:
Undoubtedly, investing in real estate is a common avenue for foreign investors in Turkey. To facilitate this process, the government requires a real estate appraisal report document. This document helps determine the fair value of the property, ensuring transparency and fairness in transactions. The requirement serves to protect both investors and the local real estate market from undue speculation.
Turkish Citizenship:
Among the most important facilities for foreign investors in Turkey is that the Turkish government launched the citizenship program. This law gives foreigners the opportunity to obtain Turkish citizenship in exchange for a real estate investment of $400,000, or a bank deposit of $500,000 in a Turkish bank, or the purchase of government bonds of $500,000.
Real Estate Residence:
To encourage real estate investment and enhance economic ties, Turkey offers a real estate residence permit for foreign investors. This permit allows investors to reside in Turkey based on their property ownership. Thus, that provides flexibility and convenience for those seeking to closely oversee their investments.
It is worth noting that the condition for obtaining a real estate residence permit is that the price of the property should be $75,000 or more in major cities such as Ankara, Istanbul and Bursa, while its value must be $50,000 in smaller cities.
Edited by: Ebla Group Real Estate
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