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Mortgage in Turkey
Buying a second house (with a mortgage) in Turkey is a great decision that will give you a lot of pleasure and joy. Getting to that point is not always easy. Foreigners can face several different procedures and legal obligations. DenizBank is the first Turkish bank giving home loans to foreigners in Turkey. This makes us the most experienced bank and the best partner in making your dream come true. Besides the mortgage we offer a full service in setting up your daily financial life in Turkey. Therefore we can easily say: at DenizBank we finance your dreams.
1.Buying a house in Turkey as a foreigner
Turkey has a reciprocal agreement for the purchase of land and property with many countries. This means that the people of these nations that allow Turks to buy land in their countries, can in return, buy land in Turkey. Foreigners may purchase in their own name if the property is outside military zones. Based on these agreements foreigners of the following countries are eligible. England, Germany, Australia, Austria, Belgium, France, Holland, Ireland, Spain, Italy, Canada, Luxemburg, Norway, Greece, Russia as well as some African and South American states. The full list is available in our branches or click here.
No matter where the land or the house may be situated if the buyer is a foreign person, the deed office has to officially ask the prior approval or permission of the highest military command of the area before transferring the title (Approval of the ministry of Defense: Savunma Bakanligi). The duration of the request for permission is estimated on 30-60 days. The reasons for this are to ensure that foreign buyers will not acquire a property within military zones. No land or property within forbidden regions and safety regions can be sold, transferred or rented. (Forbidden regions - Military zones).
More and more foreigners are interested in buying property in Turkey. In 2006 around 50,000 purchases from foreigners have been taking place. More and more foreigners are looking for financing their new property at a local bank.
Foreigners, with different behavior/features, require a different application approach. Therefore DenizBank has developed mortgage loans specially for foreigners.
2. How to get a Mortgage from DenizBank?
After signing a period of maximum four months starts to arrange:
3. The features of the loan
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Issue |
Feature |
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Loan to value |
Maximum 65% of the appraisal value (not always equal to the sales price) |
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Debt to income |
Maximum net salary to spend to installment for total loan position 50% |
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Valuation of income |
Only salary income transferred to a bank account, average profit of the last 2 years, pension income |
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Maximum amount |
No maximum |
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Minimum amount |
€ 30.000 euro |
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Nationalities |
All countries that have a reciprocal agreement with Turkey. Click here for the full list |
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Maturity |
5,10,15 and 20 years |
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Loan in YTL |
Yes |
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Loan in euro |
Yes |
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Loan in Dollars |
Yes |
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Loan in British pound |
Yes |
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Interest types |
Fixed |
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Early repayment |
Possible (2% penalty fee) |
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Property valuation |
Done by DenizBank or appointed appraisal by Denizbank, pre-valuation paid by DenizBank |
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Age of application |
25 -70 years |
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Maximum age at end of maturity |
70 years |
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DASK: nature disaster insurance, House insurance; |
To arrange via DenizBank, |
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Life insurance |
No obligation |
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Off plan mortgage |
Yes, with full bank guarantee from constructor for the total loan amount |
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Monthly installment payments |
Automatic payment from a DenizBank account |
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Validity of the pre offer |
4 months |
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Extension of validity of the pre offer (except interest rate) |
Until 18 months (1% extra commission required) |
4. Requested documentation for your mortgage application
5. Loan Rates
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MATURITY |
RATES |
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EURO |
USD |
GBP |
YTL |
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|
|
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|
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3 |
0,65% |
0,70% |
0,70% |
1,35% |
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6 |
0,65% |
0,70% |
0,70% |
1,35% |
|
9 |
0,65% |
0,70% |
0,70% |
1,35% |
|
12 |
0,65% |
0,70% |
0,70% |
1,35% |
|
18 |
0,65% |
0,70% |
0,70% |
1,35% |
|
24 |
0,65% |
0,70% |
0,70% |
1,35% |
|
36 |
0,65% |
0,70% |
0,70% |
1,35% |
|
48 |
0,65% |
0,70% |
0,70% |
1,35% |
|
60 |
0,65% |
0,70% |
0,70% |
1,35% |
|
72 |
0,65% |
0,70% |
0,70% |
1,35% |
|
84 |
0,65% |
0,70% |
0,70% |
1,35% |
|
96 |
0,65% |
0,70% |
0,70% |
1,35% |
|
108 |
0,65% |
0,70% |
0,70% |
1,35% |
|
120 |
0,65% |
0,70% |
0,70% |
1,35% |
|
180 |
0,65% |
0,70% |
0,70% |
1,35% |
