The process of purchasing real estate in Turkey is precise and clear. It is one of the most significant investments in life for many people. Buyers mostly pay for their chosen property for several years. Working with a specialist from a reliable agency will help the buyer to make the right choice and to avoid unnecessary spending. This article will discuss the advantage of working with a real estate agent, what commission should be paid, and who should pay for it.
Content:
- How is a real estate agent’s work regulated in Turkey?
- Do you need a real estate agent for a real estate deal?
- What is the function of a real estate agent in Turkey?
- Who pays the real estate agent in Turkey?
- How many real estate agents can you work with simultaneously?
- Can a real estate agent work for free?
- Help from our experts
How is a real estate agent’s work regulated in Turkey?
Real estate activity in Turkey is regulated as follows:
- According to the real estate market and domestic trade regulations, Turkish citizens and foreigners who do not have the Satılık ve Kiralik Emlak certificate or the Authority Sahibinden certificate are not allowed to sell real estate in the country.
- Financial obligations between the agent and his client can't exceed 4% of the purchase price, excluding VAT.
- Agencies and contractors with the Turkish Turkiye Emlakçı registration certificate are eligible to become real estate agents. The provincial trade administration issues this certificate at the organization’s location.
- The property for sale cannot be used for residential or commercial purposes before the real estate deal is made.
These rules aim to improve the quality of real estate services, eliminate unfair competition in the Turkish real estate market, and prevent problems after the real estate deal is made.
Do you need a real estate agent for a real estate deal?
Each buyer decides if he needs the services of a real estate agent or not. Let’s consider the reasons why choosing agent services is the right decision:
- Full support. Turkish real estate market experts support the clients of real estate agencies throughout the purchasing process. It includes choosing a property, inspecting, negotiating with the seller, and signing documents at the notary. Sometimes agents even provide after-sales services, like help in obtaining a residence permit and citizenship, managing property, etc.
- Information about current prices on the market. Agents are experts in the Turkish real estate market. They provide information with the actual price, and they understand when the cost of a unit is fair and when it is too high. Working with an agency guarantees a reasonable price of the chosen property for the buyer.
- Extensive knowledge of surroundings. Agents know the area they work in very well. They keep an eye on opportunities, such as the opening of new metro stations, shopping malls, and other essential landmarks. They also provide information about social infrastructure: shops, schools, bus stops, etc.
- Solving legal issues. Agents act as intermediaries between buyers and sellers, providing documents needed for real estate deals. They also make sure that the purchase and sale agreement is drawn up according to the rules.
- Better terms. An agent discusses the price with the buyer before negotiating with the seller. He will use all arguments to lower the cost and to make parties come to a mutual agreement.
- Information about opportunities for the Turkish real estate market. Agencies have information about all upcoming offers. Even if the buyer fails to find his dream house, the specialist can tell them about properties that meet his wishes and means that will soon be up for sale.
- Economic advantage. Working with the agency is not as expensive as a direct purchase from the owner. As a rule, owners sell their properties at higher prices when they do not use the help of an intermediary.
What is the function of a real estate agent in Turkey?
Agents help with buying, renting, and selling real estate. They consult their clients, share information about the current market situation, and provide step-by-step instructions and recommendations for real estate deals. A state license is required for this work in Turkey,
The primary responsibilities of a Turkish real estate agent are:
- the generation of potential customers for buying, selling, and renting real estate;
- educating clients on market conditions, prices, and mortgage loans;
- the creation of lists of properties for sale with location, characteristics, area, etc.;
- real estate viewing for potential buyers and renters;
- simplify negotiations between buyers and sellers;
- checking documents for the purchase and sale of real estate to confirm that the conditions have been met;
- advertising real estate through ads and open days;
- preparation of purchase and sale agreements, rental agreements, and other documents for real estate deals;
- timely updating of the state license and maintaining knowledge in real estate.
Who pays the real estate agent in Turkey?
When buying a resale property, the real estate agent’s commission in Turkey is 4% of its value, the buyer pays 2%, and the seller pays 2%. The real estate agency covers VAT on this amount.
When buying a primary property, the construction company pays the commission. Buyers are not charged with additional interests. In some regions of the country, the deal’s parties agree on a joint payment.
When selling an apartment, the agent’s commission depends on many factors, e.g., if the construction company's units are popular and where they are located. The real estate developer sets the commission and includes it in the total cost with the primary real estate purchase.
When working with resale properties, agencies often include their commission in the seller’s price. This percentage is not controlled at the legislative level since neither the agent nor the seller advertises it.
Buyers of Turkish real estate may achieve the commission reduction. The discount can be up to 2%. Some construction companies share this discount with their clients (when clients contact them directly), but agencies often do that themselves. The less overhead an agency has, the more willing this agency is to lower commission for buyers.
How many real estate agents can you work with at the same time?
There are no restrictions regarding the number of real estate agents that one seller can contact at the legislative level. But working with several real estate agencies at once will not bring any advantages.
When the same residential or commercial property is in many different catalogs of different organizations, it becomes less valuable and less attractive to potential buyers. In addition, there is a risk that agencies will begin to change the real estate price on their own. In this case, the sale of this property will take time because of the gained negative status among buyers.
The seller has the right to work with several real estate agents at the same time only if the contract with them is not signed officially. All agents can call ads, organize real estate viewings, negotiate, and collect information for one seller, but the seller can only sign a contract with one agency.
Can real estate agents work for free?
Are there are circumstances in which the buyer can refuse to pay a real estate agent? Only in the following situations:
- If the client didn't sign a contract by law with the agency.
- If the client doesn't like the property provided by the agency, and he refuses to purchase it.
The real estate agency must register the client with the signing contract by law. This document includes all the property that the potential buyer has viewed. If the client tries to purchase one of the properties by contacting the seller directly, the agency can take legal action against them for a contract violation.
Help from our experts
Choosing and purchasing houses in Turkey requires knowledge of the local real estate market, competence in law, and the ability to conduct business negotiations. It is extremely rare that all these factors are combined in one person, so most potential buyers contact a reliable real estate agency, like the Turk.Estate.
The agency's catalog contains an extensive range of residential and commercial properties and up-to-date Turkish real estate market information. To get advice from competent specialists and full support, go to the Turk.Estate website and contact the company manager right now.