Mortgages in Turkey

With its wonderful landscapes, inviting climate andthese changes and are willing to work with them,
historical background, Turkey has long been athen Turkey offers a fantastic opportunity for
popular tourist hotspot. So popular, in fact, thatboth those wishing to buy a home there for
many visitors have enquired about buyingthemselves, and those looking to use it more as
property there. Until recently, though, if you werean investment. With the cost of living relatively
a non-resident then you could only buy a propertyinexpensive, a Turkish mortgage can allow you far
in Turkey if you paid cash. However, with recentmore opportunities than in a more expansive part
changes in legislation due to the rise in inflation,of the world, like the US or UK.
you can now take out a Turkish mortgage andIf you're looking to use property as an
make your dream of living in the sun a reality.investment such as a holiday home or villa,
However, since this is such a new introduction toespecially with the high tourism rate in Turkey,
this part of the world, there are still somethen one of the areas you might want to look at
changes to the mortgage system that areis Didim, especially the towns of Altinkum and
happening frequently, therefore it's wise to checkAkbuk. Located on the east coast, Didim is a
with your financial adviser or mortgage brokerwonderful mix of both historic and new Turkey
before committing yourself to this venture.and is very popular with today's tourist trade.
For instance, when the mortgages first came intoAltinkum offers the more modern version of
effect, you could only take out a fixed rateTurkey, although that's not to say it doesn't
mortgage, with the same pros and cons that kindenjoy its own part of history; but with the
of mortgage entails. In February of this year,expansive beaches and new jetty's ideal for
however, a new law was passed that allowedsun-seekers, as well as plenty of restaurants and
Turkish mortgages to be variable, or floating, asthe nightlife available, it's a livelier spot.
well.Akbuk offers a more relaxing alternative, and is
The responsibility of any problems after theextremely popular for its sea bass fishing trips.
property handover has changed as well. BeforeWith a wonderful old chapel that is opened to the
the new legislation came in, if there were anypublic, Akbuk attracts the holidaymaker who
defects or problems with the home, there wassimply wishes to unwind and relax, and offers
no limit on the amount of time a new ownersummer houses and villas as buying opportunities.
could claim against the bank or mortgage providerThe prices for property itself is highly attractive
for any problems. Now, however, this has been– in Akbuk, for instance, a two-bedroom
limited to just one year.apartment costs as little as 38,000 GBP and this
The area of tax relief has also changed onincludes scenic views over the surrounding hills.
Turkish mortgages. Previously, to encourageEven four-bedroom apartments in Altinkum are as
potential buyers, the Turkish government allowedlittle as 130,000 GBP, often with their own private
people to claim tax relief on their mortgage orpool included.
property. Now, however, due to a rise in interestWith these types of prices and the new legislation
rates, this has been withdrawn. Although lowermaking it easier to buy, you can see why Turkish
rates over a longer loan period are available, thismortgages are becoming more than just a
has put some possible house buyers off,possible idea. Add in the climate, friendly locals and
especially those on a lower wage or income.history of this country, and it really is a wonderful
However, as long as you're aware of some ofopportunity.