The right of foreigners to acquire real estate in Turkey has become quite popular in recent years with the legal regulations and increasing investment opportunities. Turkey offers an attractive market for foreign investors thanks to both its natural beauty and strategic location. In this blog post, we examine in detail the historical process of foreigners' rights to acquire property from the Ottoman period to the present day, legal regulations in Turkey, the principle of reciprocity and restrictions. This article, which is an informative guide for foreigners who want to acquire property in Turkey, aims to provide investors with reliable and up-to-date information.
1. What are the rights of foreigners to acquire real estate?
The right of foreigners to acquire real estate in Turkey has been subject to various regulations at different times and has undergone changes over time. While this right grants foreign real and legal persons the authority to acquire property within the borders of Turkey, it has been subject to certain limitations in line with basic principles such as security and public interest. Fundamentally, the right of foreigners to acquire property has been regulated for the purpose of protecting public order within the country, ensuring economic stability and preventing strategic areas from falling under foreign control.
The right to acquire real estate is one of the most important rights regarding real estate ownership. In Turkey, this right is addressed within the framework of national and international regulations regarding human rights and the protection of private property. However, when it comes to foreigners acquiring property, certain restrictions are applied due to the need to protect the territorial integrity of the state and ensure national security. In this context, foreigners cannot acquire property in certain regions, while special permits are required to own property in some strategic areas.
2. Definition and Types of Foreign Concept
In order to understand the right of foreigners to acquire real estate, it is important to define the concept of "foreigner" and explain the different types of this concept. In Turkish law, the concept of "foreigner" refers to persons who do not have Turkish Republic citizenship. However, the concept of foreigner includes not only individuals but also legal entities such as foreign companies, associations, foundations. In this context, foreigners are divided into various groups in Turkish law: foreign natural persons, legal entities, and foreigners with special status. In addition, persons with international protection such as refugees and stateless persons are among these groups.
In terms of Turkish law in particular, while foreign natural persons are generally evaluated according to their residence and citizenship status, legal persons are subject to stricter regulations in line with inter-state relations and security concerns. Those with special status among these persons are representatives of diplomatic missions, employees of international organizations and individuals with refugee status. The rights and limitations granted to these persons are regulated in line with international agreements and other agreements to which Turkey is a party. In addition, with special regulations, privileged groups such as "foreigners of Turkish origin" may be granted the right to acquire property in Turkey under more flexible conditions.
3. Legal Status of Foreigners in Turkey
The legal status of foreigners in Turkey is addressed within a broad framework that includes issues such as property rights, citizenship rights and residence permits that they may have. Foreigners in Turkey have fundamental rights that are constitutionally guaranteed, but the scope of these rights is not at the same level as those granted to citizens. The Turkish legal system, based on human rights, allows foreigners to benefit from some fundamental rights and freedoms. However, restrictions applied to foreigners, especially in matters such as property rights, may differ for reasons such as public interest and national security.
The legal status of foreigners in Turkey is constantly updated and reorganized according to certain criteria for reasons such as international relations and national security. Accordingly, the rights of foreigners in Turkey may be limited due to the lack of citizenship, but they do not include fundamental human rights violations. Within the scope of international agreements to which Turkey is a party, such as the European Convention on Human Rights (ECHR), the rights of foreigners are integrated with Turkey's domestic law. In this context, Turkey has a balancing approach to protect foreigners' property rights and at the same time ensure the sovereignty of the state.
4. Historical Process: Right of Foreigners to Acquire Property from the Ottoman Empire to the Republic
The historical roots of the right of foreigners to own property in Turkey date back to the Ottoman Empire. In the Ottoman Empire, foreigners were largely restricted from owning land on the grounds that it could threaten the sovereign rights of the state. The Ottoman Empire’s long-standing refusal to grant foreigners the right to own land was based on the state’s aim to protect its territorial integrity and sovereignty. In the 19th century, foreigners were allowed to own property under limited conditions through various privileges and agreements with foreign states. However, these rights were mostly exercised under state control and in certain regions.
With the declaration of the Republic, Turkey adopted a modern legal system and reorganized the property acquisition rights of foreigners. During this process, some restrictions inherited from the Ottoman Empire were maintained, while some changes were made due to international relations and economic reasons. The Land Registry Law and related legislation enacted during the Republic period created the necessary legal framework for foreigners to acquire real estate in Turkey. In particular, the Land Registry Law, which came into force in 1934, bound foreigners' property acquisition rights to certain conditions. During this period, Turkey limited foreigners' real estate acquisition in strategic regions for national security reasons and determined a property acquisition process under state control.
5. The Rights of Foreigners to Acquire Real Estate in the Republic Period
After the declaration of the Republic, Turkey established a modern legal system by making detailed regulations regarding the rights of foreigners to acquire property. With the Land Registry Law, which came into force in 1924 and 1934, comprehensive regulations regarding the rights of foreigners to acquire real estate were put into effect. These laws have bound foreigners to certain rules in line with Turkey's internal security policies and national interests. For example, the right of foreigners to acquire property in areas that pose a security risk, such as strategic areas and border regions, has been restricted and in some cases even completely prohibited.
In the early years of the Republic, the right of foreigners to acquire property was subject to strict rules in order to protect the economic independence of the state. During this period, Turkey imposed restrictions on foreigners’ acquisition of property in order to ensure its economic independence and protect national security. Foreigners’ acquisition of property in Turkey became possible with strict controls and checks. However, with the development of international relations and Turkey’s integration into the global economy, some flexibility was provided in these restrictions over time. In particular, the conditions for foreigners to acquire property in Turkey were made more attractive with the regulations made in 2003.
6. Changes Made to the Rights of Foreigners to Acquire Real Estate in 2003 and After
The year 2003 was a turning point in Turkey when foreigners’ rights to acquire property were expanded and many obstacles were removed. With Law No. 4916, which came into force in 2003, great flexibility was provided in foreigners’ rights to acquire property, and the principle of reciprocity was largely abolished, making the process of acquiring property easier for many nationalities. Thanks to these changes, foreign investors’ acquisition of property in Turkey’s touristic regions and coastal areas increased, and significant contributions were made to the country’s economy.
One of the most important effects of these regulations was the elimination of the principle of reciprocity and the provision of more attractive opportunities to foreigners who want to invest in Turkey. In this context, with the regulation made in 2012 with Law No. 6302, the right of foreigners to acquire property became completely free, except for certain restrictions. These changes are considered as steps taken to attract foreign investments to the Turkish economy and to revitalize the country's real estate sector.
7. Foreign Legal Entities: Rights of Companies, Associations and Foundations to Acquire Real Estate
The rights of foreign legal entities to acquire real estate in Turkey are subject to different regulations than those of individuals and are generally surrounded by stricter restrictions. The rights of foreign companies, associations and foundations to acquire property in Turkey are subject to certain conditions for reasons such as the country's national interests, public order and security. For example, the rights of foreign companies to acquire property in Turkey may be limited in line with the sectors in which they operate or their commercial purposes in Turkey. Legal entities operating in areas of security and strategic importance in particular are subject to additional permits and inspection mechanisms during the property acquisition process.
The process of acquiring real estate for foreign foundations and associations involves more complex and strict regulations. In order for these organizations to acquire real estate in Turkey, they must serve certain social or humanitarian purposes. In addition, the purpose of use of the properties acquired by these legal entities is limited so that they do not harm Turkey's national security. For example, while foundations can only acquire property for social projects and public benefit, foreign companies operating in commercial activities may acquire property on the condition that their activities contribute to the Turkish economy. Such restrictions aim to protect Turkey's territorial integrity and independence.
8. Reciprocity Principle in Real Estate Acquisition by Foreigners
In Turkey, the "principle of reciprocity" has been applied as a fundamental principle for many years in the process of foreigners acquiring real estate. The principle of reciprocity states that in order for citizens of a foreign country to have the right to acquire property in Turkey, that country must also grant similar rights to Turkish citizens. This principle has maintained its validity in Turkish law for a long time, both for security reasons and because of Turkey's desire to adhere to the principle of reciprocity in the international arena. However, with the changes made to the principle of reciprocity in the period after 2003, this condition has been significantly relaxed and remains valid only in strategic regions.
The principle of reciprocity was largely eliminated by Law No. 6302, which came into force in 2012. This change made Turkey more attractive to foreign investors, while allowing the principle of reciprocity to be applied only in regions critical to security. In this way, Turkey aimed to make a major contribution to the economy by allowing foreigners to acquire real estate in many areas, especially in touristic areas. This regulation has made the process of acquiring property in Turkey easier, especially for investors from EU countries and the Middle East.
9. The Impact of International Agreements on Real Estate Rights of Foreigners
When regulating the rights of foreigners to acquire real estate, Turkey also takes into account the international agreements to which it is a party. Agreements based on human rights, such as the European Convention on Human Rights (ECHR), shape Turkey's property rights policies towards foreigners. When regulating the rights of foreigners to acquire property, Turkey must create a legal framework that is compatible with these agreements. In this context, it is accepted that Turkey must respect human rights and property rights, and foreigners are granted broad rights to acquire property.
Another important effect of international agreements is that they shape Turkey’s economic and social policies in this direction. For example, during the negotiation processes with the EU, the implementation of liberal policies regarding the processes of foreigners’ acquisition of real estate in Turkey has been on the agenda. Turkey’s pursuit of a liberal property policy towards foreigners also serves the purpose of attracting international investments. In this context, complying with international standards in the practices regarding the rights of foreigners to acquire property in Turkey contributes to Turkey’s economic growth while also taking into account principles such as security and public interest.
10. Real Estate Acquisition Procedure for Foreign Natural Persons
Foreign individuals must follow a specific procedure to acquire real estate in Turkey. A foreigner who wants to acquire property in Turkey must first complete the documents required for the title deed transactions and apply to the relevant authorities. Title deed transactions are one of the most important stages of the property acquisition process in Turkey and are supervised by the relevant state institutions. When applying for a title deed, information such as the identity information of the foreigner, details of the property to be purchased and the region where the property is located must be submitted.
In addition, there are some restrictions on the acquisition of real estate by foreign individuals. For example, restrictions have been imposed on a foreign individual not being able to own real estate in Turkey that exceeds a certain area. This restriction aims to protect the national interests of the country and prevent foreign ownership from concentrating in strategic areas. However, it is mandatory that the properties purchased by foreign individuals are used in accordance with the law. Otherwise, the state has the authority to expropriate or seize the relevant property.
11. The Right of Foreigners to Acquire Real Estate through Inheritance
The right of foreigners to acquire real estate in Turkey through inheritance gains importance in the process of transferring their assets to their heirs. In Turkish law, the rights of foreigners to acquire real estate through inheritance are regulated within the framework of the civil code. Within this framework, when a foreigner who owns real estate in Turkey dies, a legal process is carried out for the transfer of the property to the heirs. The inheritance transfer process is carried out by following the same procedures regardless of whether the heir is a Turkish citizen or a foreigner.
There are also certain limitations on property acquisition through inheritance. For example, properties located in military zones cannot be transferred to foreigners through inheritance. In such a case, the heir cannot claim rights over the property and compensation procedures determined by the state are applied. In addition, if the real estate acquired through inheritance threatens Turkey's national security, the state can exercise control over this property. Such limitations aim to protect public safety and the country's sovereign rights.
12. General Restrictions on the Right of Foreigners to Acquire Real Estate
Turkey has imposed restrictions on various security reasons when regulating the rights of foreigners to acquire real estate. These restrictions are based on fundamental principles such as security, public order and public interest. Foreigners' rights to acquire property have been restricted, especially in military zones and strategic areas. Some regions in Turkey have been closed to foreign ownership in order to protect the country's national security. Foreigners cannot acquire real estate in such areas; if they do, the state can control the rights over the property.
Real estate acquisition restrictions in Turkey are implemented not only for security and strategic reasons, but also to protect the country’s natural resources and protect the interests of local communities. For example, special areas such as forest lands and coastal areas are among the areas where foreigners’ right to acquire property is restricted. These restrictions serve the purpose of protecting Turkey’s natural beauty and ecosystem. Furthermore, intensive property acquisition by foreigners in certain areas is restricted because it could threaten the property rights and social structure of the local population.
13. Limitations Applied According to the Quality and Quantity of Real Estate
Various restrictions are applied to foreigners’ real estate acquisition in Turkey, taking into account the nature and quantity of the property. These restrictions have been introduced to protect the territorial integrity of the country, to keep assets in strategic areas under control and to protect the interests of the local population. For example, the total area of real estate that a foreign individual can acquire throughout Turkey must not exceed a certain amount. This restriction is a measure to prevent foreign ownership from creating strategic risks by creating excessive concentration on the country’s land resources.
In addition, special restrictions apply to certain types of real estate. For example, restrictions on foreign ownership of agricultural land and forested areas are intended to protect natural resources and maintain sustainable agricultural policies. The sale of agricultural land to foreigners is restricted in line with Turkey’s strategies to protect food security and agricultural production capacity. These restrictions serve the purpose of protecting the country’s natural resources and domestic agricultural sector.
14. Restrictions Applied According to the Location of the Real Estate: Military Zones and Security Areas
Turkey has restricted foreign property acquisition in military zones and strategic security areas in order to protect its security and sovereign rights. Military zones are specifically closed to foreign ownership, and the sale of property in these zones to foreigners is prohibited. In addition, various restrictions are applied to foreign ownership in areas designated as security zones. Such areas are defined in line with the country's defense strategies and closed to foreign ownership.
Foreigners who request to acquire property in military zones have the right to reject their requests on security grounds. Restrictions in these zones are part of the country's defense and security policies and are intended to protect national security. In addition, special restrictions have been imposed on foreign ownership in strategic areas such as seashores, lakes and rivers. These restrictions are measures taken to protect Turkey's territorial integrity and public order.
15. Registration and Notification Obligations for Real Estate Acquisition Permit
The process of foreigners acquiring real estate in Turkey requires a specific registration and notification process. During the title deed transactions, foreign buyers must submit their identity information and property details to the land registry offices. These documents are examined according to the nature, location and purpose of use of the property and if found appropriate, the registration process is carried out. In addition, it is mandatory to notify the relevant state institutions about the properties purchased by foreigners. These notifications serve the purpose of protecting the state's right to control foreign property.
Registration is a legal process that documents that the property has officially passed into the ownership of a foreign person and is an important stage of the real estate acquisition process in Turkey. The notification obligation ensures that the state has information about foreign ownership, while contributing to keeping the database of foreign ownership up-to-date in terms of security and public interest. Thus, property acquisitions in strategic areas can be controlled by the state and the security of the country is ensured.
16. Investment Policies Affecting Real Estate Acquisition by Foreigners
Turkey has provided various conveniences for foreigners in the process of acquiring real estate in order to attract foreign investments. Turkey's policies towards foreign investors have revived the real estate market, especially in touristic regions and big cities, and have made positive contributions to the country's economy. During this process, legal regulations have been made to facilitate foreigners' demand for real estate in Turkey, and many foreign investors have turned to Turkey due to the country's touristic and economic appeal.
In order to encourage foreign investment, legal regulations enacted in 2003 have reduced the bureaucracy in the process of acquiring real estate in Turkey and have enabled investors to own property more quickly and easily. In order to attract foreign investors, Turkey offers special incentives for property acquisition processes in areas such as free zones, special economic zones and tourism zones. These incentives aim to increase Turkey's competitiveness in the global real estate market.
17. The Impact of Economic and Social Policies on the Right of Foreigners to Acquire Real Estate
The economic and social policies implemented by Turkey directly affect the right of foreigners to acquire real estate. Turkey offers various incentives to attract foreign investors to the country within the scope of economic development strategies and supports the real estate sector. Regulations made in line with economic development goals have made the process of acquiring property more attractive for foreigners. While the tourism sector and large projects attract foreign investment interest, more incentives are provided in this area with the measures taken by the government.
In terms of social policies, Turkey imposes some restrictions in order to protect the rights of the local people and the social structure. The concentration of foreign property in certain areas may affect the social structure and cultural fabric of the local society. Therefore, some restrictions are applied in the process of foreigners acquiring property in order to maintain social balance. Thus, social balance is maintained within the country and social peace is maintained.
18. EU Countries and Türkiye: Comparison of Foreigners' Rights to Acquire Real Estate
When comparing the rights of foreigners to acquire real estate in European Union countries with Turkey, it is seen that they generally have more liberal regulations. While EU countries regulate property rights in line with free market principles, Turkey imposes more restrictions on foreign ownership on grounds such as national security, public order and strategic interests. Since the property acquisition process in EU countries is based on free market principles, the rights granted to foreigners are broader.
In Turkey, the right of foreigners to own property is limited, especially in strategic areas and military zones. This means that Turkey, unlike EU countries, has taken stricter security measures. In the membership negotiations with the EU, the adoption of liberal policies regarding foreign ownership and the relaxation of the reciprocity principle have been on the agenda. However, Turkey continues to apply restrictions in these areas on the grounds of protecting national security and public order.
19. Real Estate Rights of Foreigners with Special Status: Diplomats and Members of International Organizations
The rights of foreigners with special status to acquire property in Turkey are regulated differently from other foreign individuals. Diplomats, those working in international organizations and similar people with special status are subject to certain legal regulations in the process of acquiring property in Turkey. The rights of people with diplomatic status to acquire property are shaped in line with diplomatic privileges and exemptions. The property acquisition processes of these people are subject to special regulations in order to conduct healthy international diplomatic relations.
The property acquisition processes of foreigners with such special status are shaped according to international agreements to which Turkey is a party. For example, certain restrictions are imposed on the property acquisition of diplomats and international organization employees, but their diplomatic immunity rights are protected. Turkey provides such foreigners with a special status, facilitating their property acquisition processes, but applying certain restrictions on the grounds of security and public order.
20. The Future of Foreigners’ Right to Acquire Real Estate in Turkey and Recommendations
Regulations regarding the rights of foreigners to acquire real estate in Turkey are constantly being updated and developed in line with the country's economic, social and political structure. In recent years, Turkey has made attractive regulations in the real estate sector in order to attract foreign investors and has provided various conveniences to foreigners in the process of acquiring property. However, some strategic restrictions are still valid in order to protect public safety, public order and the interests of local communities.
Turkey’s international economic and diplomatic relations will play a decisive role in future regulations regarding foreign property acquisition. In particular, during the negotiation process with the European Union, more flexible regulations regarding foreigners’ property acquisition rights may be on the agenda. While Turkey may provide flexibility in some restrictions in order to comply with EU standards, it will maintain restrictions in strategic areas in line with security and national interests.
In the future, it can be expected that the real estate acquisition processes of foreigners will be made more transparent and faster in line with Turkey's economic growth targets and foreign investment attraction policies. While increasing incentives for foreign investors will contribute to Turkey economically, it is critical that these processes are organized in a way that protects national security and social balances. In addition, it is envisaged that restrictions on foreign ownership will continue in some regions in order to protect the interests of the local population.