Due to Turkey’s rapidly financial growth and increasing population, real estate market has been developing for last five years.
Main factors in this development are the increasing number of new real estate projects, increasing demand on housing and workplace depending on population in big cities, infrastructure investments such as Marmaray, third Bosphorus Bridge and Third Airport in Istanbul. Moreover, the amendments in Turkish Land Register Code and related regulations in 2012 are very significant especially with regard to the equality principle in foreign direct investments and acquisition of ownership.
Foreign-capital company has been regulated by Land Register Code in three different categories:
A company incorporated in Turkey at least 50% of shares of which foreigners, legal entities established according to foreign jurisdictions and international organisations hold or in which these persons or legal entities are entitled to appoint or discharge the majority of managers,
Directly or indirectly partnership of abovementioned companies with a company established in Turkey at the rate of 50%,
Foreign-capital companies which are not included by abovementioned companies
Briefly, a foreign-capital company is a Turkish company which is incorporated by a foreign investor or with which a foreign investor is in a partnership. Foreign investor has been defined as persons with foreign citizenship or Turkish citizens resident abroad, legal entities which are established according to the foreign jurisdictions or foreign organizations.
Turkish lawyers When you buy a home the first step is usually to sign an Agreement of Purchase and Sale. This Agreement outlines each person’s rights and obligations and sets out what must happen before final closing. As such, it is generally a good idea to have the Agreement reviewed by a lawyerbefore you sign the Agreement. This will help prevent you from agreeing to something that is not in your interests. It is also especially important when buying a new home from a builder because of the numerous and lengthy provisions in the agreement, including those relating to extra charges and changes to the closing date. On the purchase of a resale home, however, the standard agreements are familiar to most agents and are drafted to balance the interests of the vendors and the purchasers. Most people will therefore not have this agreement reviewed by their lawyer before signing, although of course they may choose to do so.