202610.22
Off
0

Selling Property in Turkey from Abroad

by in Genel

If you own a property in Turkey but live abroad, you may be able to sell it without travelling to Turkey. However, completing the sale remotely requires careful preparation, particularly when it comes to the power of attorney, title deed procedures, outstanding debts and taxes.

For foreign property owners, the key is to make sure that the sale is legally valid, that the representative has the correct authority and that the payment arrangements are secure.

At E&G International Law Firm, we assist international clients with Turkish real estate transactions, title deed procedures and legal matters involving property owners who live outside Turkey.

Can You Sell Property in Turkey Without Travelling There?

In many cases, yes. A property owner can generally appoint an authorised representative to complete the sale on their behalf, provided that the power of attorney meets the applicable Turkish requirements and expressly covers the intended transaction.

The ownership transfer must be completed through the relevant Turkish Land Registry Directorate (Tapu Müdürlüğü). A private agreement or a contract signed with a real estate agent does not, by itself, transfer ownership of the property.

Before proceeding, the owner should confirm the current title deed records, identify any restrictions affecting the property and agree on the essential terms of the sale.

1. Arrange a Valid Power of Attorney

A properly prepared power of attorney is one of the most important parts of a remote property sale.

Depending on where you live, there may be different ways to issue a power of attorney for use in Turkey. These may include executing the document before a Turkish consulate abroad or before a competent foreign notary, subject to the applicable authentication and translation requirements.

The exact formalities depend on the country where the document is issued and the requirements applicable to the transaction.

The power of attorney should expressly authorise the representative to carry out the necessary property sale procedures. Depending on the agreed arrangement, this may include signing the official transfer documents, submitting applications, paying relevant fees and completing other steps required by the Land Registry Directorate.

The scope of authority should be considered carefully. If the representative is also expected to receive the sale proceeds, that authority should be addressed expressly rather than assumed.

Before signing, it is advisable to have the document reviewed by a Turkish lawyer familiar with land registry transactions. A document that is valid for general administrative purposes may not be sufficient for a particular property sale.

2. Check the Title Deed Before the Sale

Before marketing the property or agreeing to a completion date, the owner should obtain and review the relevant title deed information.

The review should establish:

  • Whether the ownership records accurately reflect the seller’s legal rights.
  • Whether any mortgage, attachment, seizure, easement or other registered restriction affects the property.
  • Whether any outstanding obligations could delay the transfer.
  • Whether a mortgage or other restriction must be discharged before completion or addressed through an agreed closing arrangement.

A registered restriction does not necessarily make a sale impossible, but its legal and practical consequences must be assessed before proceeding.

Where a mortgage exists, for example, the parties may need to coordinate the repayment of the secured debt and the release of the mortgage with the title deed transfer.

A review of the official records can help identify potential problems before they become obstacles to completion.

3. Agree on the Sale Price and Payment Arrangements

The sale price, payment method and timing should be agreed clearly before the transaction is completed.

Foreign owners should pay particular attention to the following:

  • The agreed purchase price and currency.
  • The identity of the person or entity making the payment.
  • The bank account to which the sale proceeds will be transferred.
  • Any mortgage repayment or other deduction from the proceeds.
  • The timing of payment in relation to the title deed transfer.
  • Any applicable banking, foreign exchange or reporting requirements.

The safest arrangements are those that clearly coordinate payment and transfer of ownership while preserving appropriate evidence of the transaction.

The parties should also verify which payment procedures are legally required on the intended completion date. Applicable rules and implementation dates may change, so these should be confirmed before the parties commit to a particular closing procedure.

4. Understand the Taxes and Costs of Selling Property in Turkey

The tax consequences of a property sale depend on several factors, including how the property was acquired, how long it has been owned, the seller’s tax status and the circumstances of the transaction.

Capital gains tax

For individuals, a gain from selling certain properties acquired for consideration may be subject to Turkish income tax if the property is sold within five years of acquisition. The calculation is subject to statutory rules, including applicable cost adjustments and exemptions.

Property acquired through inheritance or as a gift is generally treated differently under the Turkish capital gains rules.

The five-year rule should not be treated as a complete tax assessment. The acquisition date, acquisition method, taxable gain and applicable exemptions should be reviewed in the context of the individual transaction.

Official guidance is available from the Turkish Revenue Administration (Gelir İdaresi Başkanlığı): https://gib.gov.tr/

Title deed transfer fees and other expenses

A sale may involve title deed fees, land registry service charges, notary expenses, translation costs, banking expenses and professional fees.

The allocation of the title deed fee between the parties should be agreed in advance. The applicable fee base and any additional charges should be verified for the particular transaction.

Where the seller lives abroad, it is also important to consider whether a Turkish tax return or other tax formalities may be required after completion.

Obtaining tax advice before the transfer can help the seller understand the likely net proceeds and avoid unexpected obligations.

5. Can You Transfer the Sale Proceeds Abroad?

Foreign owners often wish to transfer the money received from a Turkish property sale to a bank account in their country of residence.

The available procedure may depend on the seller’s circumstances, the currency and source of the funds, the receiving bank’s requirements and any applicable Turkish banking or reporting rules.

The seller should keep the sale agreement, title deed transfer records, bank receipts and other documents evidencing the source of the funds.

It is sensible to confirm the proposed transfer route with the relevant bank before completion, particularly where a substantial amount will be transferred internationally.

6. What If You Have Inherited the Property?

If you inherited the property, additional legal and administrative steps may be necessary before it can be sold.

For example, the inheritance may need to be registered in the land registry, the heirs’ ownership shares may need to be established, and documents issued abroad may require formal recognition or translation for use in Turkey.

Where several heirs own the property jointly, their respective rights and the authority to proceed with the sale must be examined. The position may differ depending on whether all co-owners agree to sell and whether the inheritance registration has been completed.

A lawyer can review the inheritance documentation and determine what must be completed before the sale can proceed.

7. What Should You Do Before Selling Remotely?

Before proceeding with a remote property sale, consider the following checklist:

  1. Obtain and review the current title deed records.
  2. Confirm whether any mortgage, attachment or restriction affects the property.
  3. Agree on the sale price and payment arrangements.
  4. Prepare a power of attorney that covers the intended transaction and complies with Turkish requirements.
  5. Check the applicable title deed fees, taxes and other expenses.
  6. Confirm any banking and international transfer requirements.
  7. Keep copies of the final transfer documents and payment records.

The appropriate steps will depend on the property’s legal status, the seller’s location and the details of the transaction.

How E&G International Law Firm Can Assist

Selling property in Turkey while living abroad can be straightforward when the documentation, payment arrangements and title deed procedures are properly coordinated.

E&G International Law Firm assists foreign individuals and international clients with Turkish real estate matters, including title deed transfers, powers of attorney, property due diligence and the legal procedures required for cross-border transactions.

We can review your documents, identify potential obstacles and advise on the steps needed to complete the sale.

If you own property in Turkey and are considering selling it from abroad, contact E&G International Law Firm to discuss your circumstances and the legal assistance you may need.

This article provides general information and does not constitute legal or tax advice. The requirements applicable to a particular transaction should be verified under the law and administrative procedures in force at the relevant time.