Turkish citizenship may be acquired in two ways: by birth or subsequently. The principles regarding the subsequent acquisition of Turkish citizenship are regulated under the Turkish Citizenship Law No. 5901 dated 29/05/2009 (“TCL”).
Turkish citizenship may be acquired either exceptionally or generally, subject to certain criteria.
The conditions under which foreigners may apply for citizenship of the Republic of Türkiye either generally or exceptionally are regulated under the Turkish Citizenship Law No. 5901.
In this article, information notes are provided regarding the conditions for applying for citizenship of the Republic of Türkiye through real estate purchase, the issues to be considered during the application process, and the legal remedies that may be pursued in cases where applications that are legally and procedurally compliant are rejected by the administration in violation of the law and procedure.
There must be no foreign element in the encumbrances (chain of ownership) of the real estate. If the real estate is registered in the name of a company, there must be no foreign shareholders.
Provided that the seller is a citizen of the Republic of Türkiye, newly acquired real estate may be subject to a citizenship application.
Turkish citizens who have owned the real estate for at least five years are exempt from “Capital Gains Tax” arising from the sale of the property.
Multiple real estate properties may be purchased provided that their total value amounts to USD 400,000.
Stages of Citizenship Application Through Real Estate Purchase:
The real estate purchase price (minimum USD 400,000) must be transferred to the seller’s bank account via bank transfer. The bank transfer receipt must be submitted to the relevant Land Registry Office.
For the valuation of the real estate, an independent valuation report must be prepared by experts of GEDAŞ (Real Estate Valuation Joint Stock Company). (With the Circular No. 2019/1 dated 15.02.2019 issued by the General Directorate of Land Registry and Cadastre under the Ministry of Environment and Urbanization, it has become mandatory for foreign nationals to obtain a “Real Estate Valuation Report” not only for citizenship applications but also for all sales transactions in which they are a party as either buyer or seller.)
For the Foreign Exchange Purchase Certificate (DAB), it is beneficial to convert an amount exceeding USD 40,000 from the personal account of the buyer or seller on the application date, taking into account the exchange rate fluctuations of the Central Bank. (With the amendment made to the Communiqué on Movements of the Central Bank of the Republic of Türkiye, foreign real persons purchasing real estate after January 24, 2022 are required to convert foreign currency pursuant to Article 13 of the Communiqué.)
An application for a “Certificate of Conformity” must be submitted to the Provincial Directorate of Environment and Urbanization through the Land Registry Office for the real estate for which an easement right or condominium ownership will be acquired.
It is required that an annotation be entered into the land registry regarding the purchased real estate. A foreigner who wishes to acquire citizenship through real estate purchase must place an annotation in the land registry stating that the real estate or real estates exceeding the value of USD 400,000 will not be sold for a period of three years. Similarly, if an easement right or condominium ownership has been acquired, an annotation must be entered in the land registry stating that no transfer or cancellation will be made for three years.
After the “Certificate of Conformity” is issued by the Provincial Directorate of Environment and Urbanization, an annotation must be placed stating that the new owner will not sell the relevant real estate for three years. Likewise, if an easement right or condominium ownership has been acquired, a commitment annotation must be entered into the land registry stating that no transfer or cancellation will be made for three years.
Even if an application is duly filed in compliance with the required conditions, residence permit and citizenship applications may still be rejected by the administration or may later be cancelled on various grounds. It should be borne in mind that administrative lawsuits may be filed before the administrative courts against decisions of the administration that are contrary to the law and procedural rules.
İlyas Gölcüklü, Acquisition of Turkish Citizenship through Real Estate Purchase in Light of Current Developments: Problems and Solution Proposals, 2020, Istanbul University Bulletin of International Public and Private Law, Research Article
Circular dated 01.03.2024 titled “Procedures and Principles Regarding Valuation Reports to be Used in the Acquisition of Real Estate by Foreigners and Certain Transactions” issued by the Real Estate Valuation Department of the General Directorate of Land Registry and Cadastre under the Ministry of Environment, Urbanization and Climate Change
Foreign Currency Conversion Obligation in Real Estate Purchases by Foreigners, 2022, General Directorate of Land Registry and Cadastre, Ministry of Environment, Urbanization and Climate Change of the Republic of Türkiye
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