HOW TO FINANCE FOR PROPERTY IN TURKEY?
Finance can be arranged through overseas lenders if you have assets overseas. Many investors with assets overseas (property, income, investments) have taken advantage of favourable international interest rates. If you choose to apply for local finance, Turkey’s banks offer mortgages to foreigners with varying terms and conditions, depending on the bank.
Finance to help with your property in Turkey purchase is available to those who have a good credit history and proof of income. Mortgages are available for real estate in Turkey for those who can register title to Turkish property.
- Here is our 5 step plan to getting finance for a property in Turkey:
- - The first step involves reaching an agreement in principle – this will detail exactly what the provider will be able to lend you and set some simple terms and conditions for the loan. At this point you won’t need to provide any documentation etc.
- - The second step comes once you have decided to buy a home in Turkey. At this point, you will need to make a mortgage application and the lender will need to see documentation showing firm evidence of your income, identity, and address. Lenders will then run a credit check.
- - The third step involves the lender having your Turkish property valued – this is to ensure that the price agreed between you and the lender is correct and all legal requirements are met.
- - Step number four will see you receive a formal finance offer from the lender once the lender is satisfied with the valuation and terms. As soon as the offer has been signed and returned by you, the lender will then provide the finance. Some Turkish lenders might require you to sign at a local bank in Turkey.
- - Step five involves the solicitor organising a date for the transfer of titles of the property to your name and the completion of the military application. The property is now yours.
- - Finance for property in Turkey is available in both Turkish Lira and Euro currency denominations. As of August 2018, interest rates on Turkish Lira mortgages are currently 1,6% per month.
- - The maximum loan to value of a Turkish home is 70%, this means that the minimum deposit of 30% needs to be put down and available.
- - If you are interested in purchasing a property in Turkey using finance, then don’t hesitate to contact us for advice on whether or not you would be eligible for a mortgage in Turkey. Our team of experienced experts will be up to date to latest mortgage rates and criteria to help and assist you.