The housing sector for foreigners has been selected for the pilot implementation of the "Property Valuation System" under the Ministry of Environment and Urbanization's 100-Day Action Plan. According to a circular from the General Directorate of Land Register and Cadastre (TKGM), a real estate appraisal report is required from March 4, 2019 for all purchase and sale transactions by foreign nationals.

According to circular dated February 15, 2019;

• A “Property Appraisal Report” is obtained for all foreign sales transactions.

• The term of the valuation report is three months from the date of issue.

• If the property in question is sold again within three months, the appraisal remains valid.

• If a situation is identified that changes the value of the property, the valuation report will be requested again, regardless of the period.

• in the appraisal; The value of the buildings actually completed is taken into account at the date of the transaction and the value that will result when the building is completed for the projects under construction/continuing and condominium properties.

• The submitted evaluation reports will be scanned and transmitted to TAKBİS, which is an electronic medium.

About the real estate appraisal report

The real estate appraisal report is the report in which all factors affecting the value of the property are analyzed by the appraisers to determine the value of a property. Prepared by CMB licensed professionals, this report helps to get an idea of ​​the market value of the property by comparing the current legal claims, potential risks, pros and cons of the property. Getting complete information about the property to invest in is extremely important for making the right investment.

 

The cost of the CMB approved appraisal report ranges from 1,000 TL to 2,000 TL and is paid directly to the appraiser by the buyer. The value stated in the appraisal also appears in the deed transactions. After the deed is signed, it will be added to the TAKBİS system. The expected completion time of the transactions is estimated at three days for Istanbul and six days for other provinces.

 

The Real Estate Valuation department set up by the TKGM committee at the beginning of February shows that this practice will also require a real estate sales valuation report for real estate sales in our country in the future. Thanks to the pilot application in small-volume foreign home sales, the shortcomings are remedied in good time. Thanks to the application, Turkey's brand value will increase in the eyes of foreign investors.

The assessment report contains the following information;

• Detailed title deed information

• The location of the property on the coordinated map

• Photos of the property

• Equivalent real estate prices

• Price confirmation

• Current debt level of the property

• Approved by the General Directorate Land Registry and Cadastre

Together with the assessment report, the implementation of which has started in the foreign housing sector;

• Our country's brand value will increase in the eyes of foreign investors.

• Professionalization and competence in selling apartments to foreigners will come to the fore and the quality of service will increase.

• The actual value in the appraisal report is entered in the 'sale price' section of the land register.

• High prices and informality in the construction sector are prevented.

• Malicious sales and fraud against foreign investors are prevented.

• The taxation process is regulated.

• Unregistered construction costs are recorded.

 

Click here for detailed information on property valuation reports with independent valuation professionals licensed by the Capital Markets Board.