Buying real estate is a serious step that requires significant financial investment. But the buyer does not always have the opportunity to pay the full cost of the property at once. In this case, if a foreigner is interested in real estate in Turkey, installments from the developer can be an ideal option. Today we will talk about the terms of registration, the advantages of this method of paying for the purchase of an apartment, possible risks and the importance of cooperation with experts.
Terms of installment plan for Turkish real estate for foreigners
Foreign citizens are provided with installment plans for real estate in Turkey under the same conditions as local residents:
- Drawing up an agreement taking into account an initial payment of 30% and an individual payment schedule for the entire amount, as well as indicating penalties for the parties to the transaction in the event of a breach of their obligations.
- Proof of financial solvency of the buyer. The developer may require documents confirming the person's ability to pay monthly payments.
- No outstanding debts to the developer for payment of previously taken loans and debts under the current purchase and sale agreement.
- Consent to fulfill obligations. The buyer must sign an additional agreement with the developer, in which he agrees to fulfill all the terms of the installment plan and pay monthly payments on time.
Of course, the terms of the installment plan may vary depending on the specific terms of the purchase and sale agreement and the developer's policy. Therefore, before concluding the agreement, it is necessary to agree on all issues with the development company from which you intend to purchase the property.
Advantages of Installment Plan for Real Estate in Turkey
Buying an apartment in Turkey in installments has such undeniable advantages as:
- Financial flexibility. Installments allow the buyer to pay for the property in stages, which significantly reduces the financial burden. This allows you to buy a home earlier than with full payment.
- No interest rate. Most developers offering installments for real estate in Turkey provide it at 0%, and the cost of the apartment remains fixed until the purchase amount is fully paid. This allows the buyer to save on interest, and if you invest in the property at the foundation stage, you can buy housing at a more favorable price - 30-40% cheaper than the market value.
- Convenience. Paying for real estate in stages allows the buyer to spread the financial costs over a longer period of time. This is convenient for those who do not have the entire amount at once, but are ready to make equal payments throughout the construction process, without being tied to the stages of construction of the object. You can individually agree on a payment schedule: monthly, quarterly or once every six months.
- Affordability. Installment plans for real estate in Turkey are available to most buyers, including foreign citizens. This allows people from different countries to easily and simply purchase their favorite apartments in this sunny and hospitable country.
Risks of purchasing housing in installments and how to avoid them
Buying a home in installments can be profitable, but at the same time, certain risks cannot be completely excluded, especially if you act alone. Let's consider possible situations and how to avoid them:
- Risk of non-payment
When buying real estate on an installment plan, you need to be prepared to make monthly payments on time over a period of time. To avoid payment difficulties, make sure you are realistic about your financial capabilities and are taking on a burden that you can handle.
- Risk of construction stoppage
This feature is not typical for Turkey and is found only in isolated private cases. And this is quite understandable: in order to start construction and obtain permission, the developer must prove his financial reliability, because in the Turkish Republic, houses are built not at the expense of potential apartment owners, but with the personal funds of the developer. Therefore, the risk of stopping construction is practically reduced to zero, if, of course, you cooperate with a reliable and well-established company on the market.
In general, unlike the CIS countries, which are characterized by such factors as the suspension or delay of construction, failure to fulfill promises to connect utilities and other unpleasant moments, in Turkey they strive to protect the rights of buyers at the state level. Thus, when concluding a purchase and sale transaction with a foreign person, a sworn translator is responsible for the accuracy of the information specified in the contract. An accredited person bears legal responsibility for the translation, which he certifies with his signature.
Buying real estate on your own in installments or through a realtor: what to choose?
The choice between buying real estate on your own in installments and purchasing an apartment through a realtor depends on several factors:
- level of knowledge of the Turkish language and local legislation;
- the presence or absence of experience in concluding purchase and sale transactions;
- delegating a task to a trusted person;
- desire to have an expert opinion, etc.
Of course, if you have the necessary knowledge and experience in buying real estate, you can act independently. However, be prepared to solve many problems at the same time: search for real estate, monitor thousands of ads for the sale of housing in Turkey, send requests to the Cadastral Office to check the property for debts and encumbrances, etc. If you are not ready to spend your energy, time and nerves, and also prefer to trust professionals and get an expert opinion, write to the managers of the licensed real estate agency Armoni Homes. You are guaranteed to receive a selection of the best investment properties and move into your apartment within the time period specified by the developer.
