What Extra Costs When Buying?

Why it's important to factor in additional expenses

Buying property in Turkey involves more than just the cost of the property itself. The buyer, especially a foreign one, inevitably encounters a number of mandatory payments, duties, and fees that accompany the transaction. Without factoring them in, the budget may be underestimated by thousands of dollars. Let's break down all the additional expenses when buying real estate in Turkey: from the title deed transfer tax to insurance and utility payments.

Property Transfer Tax (Tapu Harcı)

The main payment when finalizing a deal is the property transfer tax, or Tapu Harcı. Its rate is 4% of the cadastral value of the property indicated in the title deed (TAPU). In practice, the cadastral value is often lower than the actual market price — this reduces the tax burden, but it's important to remember: understatement should stay within reasonable limits to avoid questions from the tax authorities.

By law, the tax is split equally between buyer and seller — 2% each. However, in practice, sellers often pass their share onto the buyer, so be prepared to pay the full 4%.

VAT (KDV) when buying from a developer

When buying property on the primary market — directly from a construction company — a value-added tax (KDV) is added. The rate depends on the size and type of the property:

• 1% — for residential properties up to 150 m²;
• 8% — for residential properties over 150 m²;
• 18–20% — for commercial real estate.

Good news for foreigners: since 2017, there is a VAT exemption provided certain conditions are met — the purchase is paid in foreign currency, the property is bought from a developer, and the real estate is not resold within three years. A similar benefit is available to Turkish citizens who have lived abroad for more than six months. On the secondary market, VAT is not charged.

Cadastral fee and administrative charges

From May 1, 2025, new tariffs for the payment of the revolving fund — Döner Sermaye — came into force in Turkey. For foreign buyers, the fee amount in metropolitan areas (Istanbul, Ankara, Izmir) increased to 16,629 TL — a 116% increase compared to 2024. This fee is paid when registering ownership at the Land Registry Office.

Additionally, the following are paid:

• Takipçi services (a specialist who collects and submits documents for TAPU) — about 4,000 TL;
• TAPU registration at the municipality — around 2,800 TL;
• Technical passport preparation and registration — varies, but budget another 3,000–5,000 TL.

Interpreter, notary, and power of attorney services

A transaction involving a foreigner requires a sworn translator — their presence is mandatory when signing documents at the Land Registry Office. The cost of the translator's services is about 40–50 euros (or the equivalent in lira at the exchange rate). If the buyer cannot be present in person at the transaction, a notarized power of attorney with translation is drawn up — this is about another 2,000 TL.

Also consider possible expenses for:

• opening a bank account at a Turkish bank — usually free, but a minimum deposit may be required;
• obtaining an individual tax number (Vergi Numarası) — free, issued in a single visit to the tax office.

Property valuation report

A valuation report (Ekspertiz Raporu) from a licensed appraiser is mandatory if a foreigner plans to apply for Turkish citizenship through investment. In other cases, it is formally not required, but many buyers order it voluntarily — this helps ensure the property price corresponds to the market. The cost of the report depends on the type and location of the property, on average — from 3,000 to 7,000 TL.

Mandatory DASK insurance and additional coverage

DASK (Doğal Afet Sigortaları Kurumu) is the mandatory state earthquake insurance. Without a policy, it is impossible to register the TAPU and connect water and electricity. DASK covers only structural damage to the building — not furniture, appliances, or personal belongings. The annual policy cost is from 1,000 to 2,000 TL depending on the region (in seismically quiet areas, for example Alanya, the insurance is cheaper).

Many homeowners additionally take out voluntary home insurance (Konut Sigortası), which covers fire, flooding, theft, and other risks. The recommended budget is another 1,500–3,000 TL per year.

Annual expenses: property tax and aidat

After the purchase, you become a taxpayer in Turkey. The annual property tax (Emlak Vergisi) is:

• 0.2% of the cadastral value — for residential properties within metropolitan areas (Istanbul, Ankara, Izmir, Antalya, etc.);
• 0.1% — for properties outside metropolitan areas.

The amount rarely exceeds $100 per year, but it must be paid annually in two installments (in May and November).

A separate item is aidat (Aidat), the monthly maintenance fee for the complex. Its amount depends on the infrastructure: swimming pool, security, garden, gym. In simple complexes, aidat is 500–1,000 TL per month; in luxury ones, it can reach 3,000–5,000 TL or more.

Conclusion: how much money you really need

Let's summarize. When buying real estate in Turkey, additional expenses average from 4% to 6% of the property value plus fixed administrative charges. To illustrate — an approximate calculation for purchasing an apartment worth €150,000 (secondary market, metropolitan area, without applying for citizenship):

1. Property transfer tax (4%) — about €6,000 (with a cadastral value close to the market value);
2. Döner Sermaye — ~16,600 TL (≈€470);
3. Translator's services — ~€50;
4. Takipçi and TAPU registration — ~6,800 TL (≈€190);
5. DASK insurance — ~1,500 TL (≈€42);
6. Power of attorney and other notarial services — ~2,000 TL (≈€56).

Total: approximately €6,800–7,000 on top of the apartment price. If the property is bought from a developer and you don't qualify for the VAT exemption, add another 1–8% depending on the area.

Knowing these figures before the deal starts will allow you to accurately plan your budget and avoid unpleasant surprises. We recommend setting aside at least 7–8% of the property price — then you will be fully financially prepared for buying real estate in Turkey.