A couple of years ago, the authorities of the Republic of Turkey lowered the investment threshold for those who want to obtain citizenship under the golden passports program in the third quarter of 2018. Since then, foreign buyers of real estate have had a unique opportunity to become citizens of the country ahead of time for a little amount of money making a purchase equivalent to 250 thousand US dollars. As a result of the transaction, all family members of the housing buyer can receive citizenship in Turkey. At the same time, moving to Turkey for permanent residence is not required: you can continue to live and work at home or in any country in the world. The only requirement for an applicant for early acquisition of citizenship of Turkey for buying a house, apartment, penthouse, townhouse or commercial property is a sales ban that is available for 36 months. At the end of this period, the property can be safely sold without losing the new citizenship received before.
How does the new law actually work? Do Russians manage to obtain citizenship of Turkey based on the purchase of housing or commercial real estate? The Turk.Estate web-portal publishes real stories of specialists who have already had a chance to read the law on golden passports in practice.
CONTENT
- August 2019: our company receives a request to choose a villa in Alanya that is suitable for cadastral value for obtaining citizenship of Turkey.
- September 2019: we meet Olga and Boris with their child at the Antalya airport, check in them to the hotel and the next morning, according to their budget, show them ready-made and under construction villas, located near the famous beach.
- October 2019: We help our clients get tax numbers, open bank accounts in Turkey, apply for a residence permit, and then we enter into a purchase and sale transaction.
- What documents do you need to prepare for obtaining citizenship on the basis of real estate investments?
- November 2019: our clients receive a one-year residence permit in Turkey and return to Moscow. We successfully receive a document from the Main Cadastral Department of Turkey on the fulfillment of Boris and Olga's investment obligations.
- November 2019: we apply for citizenship.
- December 2019: Olga and Boris obtain citizenship and passports.
- How much does it cost to obtain citizenship of the Republic of Turkey in 2020?
The author is Alex Bulut, manager of the construction and investment company Yılmazlar Emlak (Alanya).
In January 2020, a Russian family from Moscow received citizenship of Turkey with our help. A cozy luxurious villa in Dinek (a suburb of Alanya, the world famous Cleopatra beach is located not far from it) was the very real estate, the purchase of which became the basis for obtaining citizenship of Turkey. A cosmopolitan Moscow family, who dreams of real estate in Turkey within a walking distance of the famous beach, simultaneously received citizenship under the new investment law. The process (from receiving our application and selecting suitable house to issuing passports of Turkey) took only three and a half months. They were our first clients from Russia who received citizenship of Turkey ahead of schedule. Before that, we helped the citizens of Iran, Iraq, Kuwait, and then there were the citizens of China. But it was me who had the opportunity to work with Russian-speaking buyers of a villa in Turkey, it was my first experience of making such a deal.
AUGUST 2019: OUR COMPANY RECEIVES A REQUEST TO CHOOSE A VILLA IN ALANYA THAT IS SUITABLE FOR CADASTRAL VALUE FOR OBTAINING CITIZENSHIP OF TURKEY.
The family of buyers consisted of three people. They have been choosing between Fethiye (with its famous Butterfly Valley) and Alanya (with Cleopatra Beach) for some time. The dream of living within a walking distance of the golden sand and the sea led Olga and Boris to our company, as we specialize in the construction of ultra-modern luxurious villas in Turkey and sell marketable secondary housing. In July, a family from Moscow independently visited both Fethiye and Alanya deciding to choose the latter one.
SEPTEMBER 2019: WE MEET OLGA AND BORIS WITH THEIR CHILD AT THE ANTALYA AIRPORT, CHECK IN THEM TO THE HOTEL AND THE NEXT MORNING ACCORDING TO THEIR BUDGET SHOW READY-MADE AND UNDER CONSTRUCTION VILLAS, LOCATED NEAR THE FAMOUS BEACH.
The matter was a little complicated by the fact that Cleopatra Beach is located mostly near low-rise urban houses consisting of apartment buildings and hotels. Villas with a quick access to the sea on foot or by bike were available in small numbers in the rural suburb of Dinek. Many of them were owned by foreigners, but it was necessary to buy real estate from a Turkish citizen or a legal entity in order to obtain citizenship. Therefore, we had to reject most of the suitable villa sales offers because their owners were foreigners. We had to travel around Dinek to find a suitable option. However, we and our customers are very lucky! Just before their arrival, a three-storey villa of a wealthy Turkish citizen was being sold at that time. He quickly sold it at a price below the market price. A magnificent, well-maintained colonial-style house with a swimming pool and tropical garden, surrounded by banana plantations, immediately attracted our buyers’ attention. It turns out that the family chose the villa on the third day of their trip. We called in experts to determine the minimum property cost in lira. The expert value of the house must be equivalent to 250 thousand US dollars to obtain citizenship of Turkey based on the housing purchase. This figure must be registered in the TAPU and confirmed by experts from an accredited company: after that you can apply for citizenship. The current owner bought his house much more expensive than the required cost and invested quite a lot in finishing, furnishing, equipping with elite household appliances. Therefore, we did not have any difficulties with the expert villa assessment: the cost indicated by the appraisers was quite enough to obtain the golden passports.
OCTOBER 2019: WE HELP OUR CLIENTS GET TAX NUMBERS, OPEN BANK ACCOUNTS IN TURKEY, APPLY FOR A RESIDENCE PERMIT, AND THEN WE ENTER INTO A PURCHASE AND SALE TRANSACTION.
After receiving the appraisers' report (expert opinion on the cadastral value of the house), we started the process of completing the transaction. I would like to tell you more about why the appraisers' report is mandatory in Turkey. The owner of a property can specify any figure during the sale including an inflated one so that the apartment or house can participate in the program for obtaining golden passports. Therefore, to participate in the program, the law of Turkey allows only housing, which cost is confirmed by certified experts. When choosing a suitable property for such a transaction, you should definitely pay attention to the fact that the price must be indicated in Turkish lira. And the lira has been falling against the dollar and the euro (especially we could see its rapid decline in 2020), there is a risk to choose a house that will cost not 250 thousand dollars, which is necessary for obtaining citizenship of Turkey, but 249 thousand dollars or even less at the time of the purchase and sale transaction. And then the real estate purchase will no longer be able to become the basis for obtaining citizenship of Turkey ahead of time.
The official transfer of money to the seller’s account from the foreign buyer’s account is another condition that makes the property accessible for dealing. At all the above stages, the figures indicated in the housing cost must necessarily match in the expert opinion (appraisers’ report), in the amount of the money transferred by the buyer to the seller's account, and in the calculation of the Central Bank at the dollar exchange rate at the time of signing the sales contract. Only taking into account all these points, you can achieve a positive result.
Our deal was successfully completed in early October 2020. After issuing a TAPU for Boris and Olga (a certificate of villa ownership in Alanya), we waited for a moment when our clients would receive a residence permit. And then we received from them all the documents necessary for obtaining citizenship of Turkey because the Moscow citizens had to fly back home in mid-November, they had issued a power of attorney to represent their interests in the territory of the Republic of Turkey.
We need to tell you more details about obtaining a residence permit. This is an important point because it is impossible to apply for citizenship of Turkey without a residence permit (which is valid for at least six months). Can I get a residence permit remotely? No, you can’t. Both adults and minors must present in person in Turkey to submit the application form and documents for a residence permit. Therefore, our employees filled out the documents in advance, set a date for a meeting at the migration service, issued a one-year medical insurance to Boris, Olga and their son Anton, translated, notarized and apostilled the documents required for obtaining a residence permit. After the migration service of Alanya accepted the package of documents, the procedure for obtaining a residence permit for our customers was launched. How long did you have to wait for it? As a rule, the waiting time can take from two weeks to one and a half or even two months. In the meantime, we prepared a package of documents required for early acquisition of citizenship in Turkey.
WHAT DOCUMENTS DO YOU NEED TO PREPARE FOR OBTAINING CITIZENSHIP ON THE BASIS OF REAL ESTATE INVESTMENTS?
- Two copies of the application (filled out either by the applicant himself, or, as in our case, by his legal representative on the basis of a power of attorney).
- Notarized translation of a foreign passport into Turkish.
- Apostilled marriage certificate.
- Apostilled family composition certificate.
- An apostilled certificate stating that the applicant is currently married.
- Apostilled birth certificates of all adults (applicant+spouse) and children (under 18) participating in the program.
- Certificate of absence of convictions (both for the applicant and for all members of his family participating in the program for obtaining golden passports).
- Certificate of investor’s obligations (uygunluk belgesi).
In addition to the above documents, you must also provide a TAPU and a valid ikamet (residence permit in Turkey).
NOVEMBER 2019: OUR CLIENTS RECEIVE A ONE-YEAR RESIDENCE PERMIT IN TURKEY AND RETURN TO MOSCOW. WE SUCCESSFULLY RECEIVE A DOCUMENT FROM THE MAIN CADASTRAL DEPARTMENT OF TURKEY ON THE FULFILLMENT OF BORIS AND OLGA'S INVESTMENT OBLIGATIONS.
This certificate confirms that the property buyer has properly fulfilled the conditions of the program: he has spent at least 250 thousand dollars for housing in Turkey and officially transferred all this money from one account to another one. In addition, the certificate notifies the buyer that under the terms of the program, the real estate purchased for citizenship must remain in the property for at least three years (36 months).
NOVEMBER 2019: WE APPLY FOR CITIZENSHIP.
There is an interesting point – when filling out the application form for citizenship of Turkey, a foreigner has the right to choose any name and any surname in Turkish. However, our customers did not plan to assimilate in Turkey, so they decided to keep their Russian first and last names.
DECEMBER 2019: OBTAINING CITIZENSHIP AND ISSUING PASSPORTS.
As a trusted representative of Boris and Olga, I got a call from the department and learned that our customers had become the citizens of Turkey. This meant that the family of Boris and Olga was safely entered into the system, and a positive decision was received from the authorities to issue Turkish passports to the Russians. For this purpose, they must be present in person in Turkey. Before the New Year, Boris and Olga flew to Alanya to get kimlik kartı (internal passports of Turkey that require fingerprints). Foreigners who obtain citizenship by investing in real estate do not need to be interviewed preliminarily, pass a Turkish proficiency exam, or take an oath. Boris, Olga and their son gave their fingerprints, paid the legal fee and received Turkish passports just before the New Year, which they celebrated in their own villa with a view of the Mediterranean Sea. By the way, a special joy for the Moscow family was the opportunity to spend months of self-isolation in their own villa in Turkey. Olga and Boris thanked us for the fact that they did not have to sit with their child in a city apartment in an overcrowded residential area. In Alanya, despite the strict measures taken by the authorities during the lockdown, it was much easier to meet the pandemic consequences in the villa than in an apartment in an overcrowded area of the Russian metropolis. The villa bought in Dinek had its own tropical garden (tangerines, oranges, avocados, quinces, pomegranates, olives, bananas), lawns and large terraces with sea views. In addition, the villa was surrounded by banana plantations, and the nearest neighbors were several tens of meters away. Olga and Boris set up the food delivery to the house with our help, got involved in working and studying remotely, rented a car and bought bicycles. In short, we spent the quarantine time quite easily in nature and on fresh sea and mountain air. Such a large number of citizens of different countries decided to use their example this year that the demand for villas and houses with a garden in Turkey increased by 233 percent. The coasts of the Mediterranean and Aegean Seas are particularly popular with foreign buyers in 2020.
HOW MUCH DOES IT COST TO OBTAIN CITIZENSHIP OF THE REPUBLIC OF TURKEY IN 2020?
The state fee for registration of citizenship of Turkey per person is 700 liras (about 90 dollars). The fee is paid separately for each member of the applicant's family.