Turkey Property Purchasers to be Granted One Year Residence Permits

Extended residence permits for owners of property in Turkey are being introduced by the Turkish government in a move to attract further foreign direct investment.

“This is a welcome and logical move by the Turkish government,” says Suleyman Akbay, MD of the property firm who exclusively specialise in property sales along its popular Aegean and Mediterranean coastline and now Istanbul.

“Spurred by the encouraging effects of the reciprocity law removal which has since seen foreigners purchase some 11,000 properties in Turkey (Source: Turkish Environment and Planning Ministry), and which produced an astounding fourfold increase in acquisitions in the immediate month following enactment, the government is rightly acknowledging that the laws and procedures concerning residency in Turkey are a significant hurdle for foreigners considering investing here”, adds Akbay.

Turkish Law already permits citizens of many countries to obtain a residence permit, but the new ruling recognises ‘property ownership’ as a means for qualifying for longer periods of stay. Formerly, property buyers were subject to tourist visa limitations where they could only stay for three months out of every 180 days before having to apply separately for residency.

The latest ruling adds to a string of favourable law changes being introduced to ease barriers to investment in the country. Last year’s relaxation of restrictions on the amount of land a foreigner could buy and the removal of reciprocity conditions, which had stipulated only citizens or firms of countries in which Turkish nationals could buy property could do likewise in Turkey, has proved the most significant for Turkey's property industry.

“Noting the increasingly prominent march of the Turkish economy which is already conspiring to attract significant foreign investment, we’re confident that this latest announcement will add yet more spring to our overseas investors’ steps – and that’s before we note the fantastic climate, favourable rental opportunities and low cost home ownership options”, concludes Akbay.

The new property residency law is expected to come into force in early 2014.

Oceanwide Properties is currently offering a selection of luxury two, three and four bed frontline sea view villas in Kalkan with an exclusive limited time pre-completion purchase offer and £99 inspection visit, valid until 30 June 2013. The development is located within 90 minutes of Dalaman International Airport and is due to complete in 2014. 

Buy To Let In Istanbul Among World’s Best For Financial Returns Say Colordarcy

The Telegraph included Istanbul in its article 'The world's top 20 cities to buy-to-let property' this month.
Loxley McKenzie, Managing Director of Colordarcy comments, “It comes as no surprise that the Istanbul property market is attracting the attention of the national press. Colordarcy analysts have been highlighting its potential for the past 12 months.

Rents may well be static or growing modestly in the UK, for example, with RICS forecasting just 2% growth this year. In Istanbul, however, it has been a totally different story. We have seen rents rise by more than 15% in Istanbul and prices rise by nearly 20% in the year to January.”
Colordarcy analysts point out that income from rent is likely to be much higher in Turkey as the incomes of the local population rise and demand for property in Istanbul increases. Foreign investors are also arriving in increasing numbers, which only serves to increase competition for available property.

The case for turning attention away from the UK and other European countries towards Istanbul property has never been stronger according to Colordarcy. McKenzie added, “Finding good rental income is what property investment is all about. Capital growth is just the icing on the cake.”

According to Colordarcy analysts, a property market will have either rising rents or rising prices. Only rarely do both happen together. Yet this happened in Istanbul and several other cities in Turkey in the year to January 2013 according to residential property statistics release by Readin.

Residential rents for existing homes in Istanbul increased by 15.24% while prices for existing homes increased by 19.47% in the same period.

All the indications are that Turkey’s property market has yet to peak and the secret sauce that makes every property market tick is adding more spice to Istanbul’s potential as one of the world’s best buy to let property markets.

The availability of finance and the ability to take on loans to buy property is crucial to the long term stability of any property market. As mortgages have been harder to come by in most European countries, Turkey’s mortgage market has expanded rapidly. This has been helped along by tumbling interest rates that have fallen from more than 20% in 2009 to less than 10%. As a result, borrowing far more affordable for those who aspire to own their own homes in Turkey.

The amount of housing loans has increased by a factor of six, from TRY12.4 billion in 2005 to TRY86 billion in 2012 (Source: Global Property Guide).

What makes all this possible is a well-managed economy according to Colordarcy. All the main economic indicators for Turkey have turned green – GDP is predicted to be hitting 4% this year while unemployment continues to fall (Source: Turkstat).

Colordarcy is a leading property investment company that specialises in finding positive cash flow investment properties worldwide. Colordarcy investment property portfolio includes some of the best properties for sale in Brazil, Florida, Turkey and the United Kingdom.

Direct Flights Between Houston and Istanbul by Turkish Airlines

Turkish Airlines is expanding its presence in the United States as it launches of its newest gateway in Houston, Texas. Houston becomes the fifth U.S. gateway, joining Los Angeles, New York, Chicago and Washington, D.C. The airline will offer non-stop flights from George Bush Intercontinental Airport (IAH) to Istanbul's Ataturk International Airport (IST).

"We're delighted that Turkish Airlines can now serve the Houston community and better connect them with our services to 220 destinations globally via Istanbul," says Hamdi Topcu, Turkish Airlines' Chairman of the Board and Chairman of the Executive Committee. "Houston is a key point in the international aviation. We believe that these new flights will make international travel easier and more convenient for both business and leisure travelers in the area."

Members of the media, along with Hamdi Topcu, Turkish Minister of Economy Zafer Caglayan, Houston Mayor Annise Parker, the Consul General of Turkey in Houston Cemalettin Aydin, President of the Investment Support and Promotion Agency of Turkey (ISPAT), Ilker Ayci, and Houston Airport System Director of Aviation Mario Diaz, attended the launch event at Terminal D at George Bush Intercontinental Airport before Turkish Airlines' inaugural flight. The event featured authentic Turkish cuisine, live entertainment, a ribbon cutting ceremony and speaker remarks by top officials from local government, the Turkish government, Turkish Airlines, and the Houston Airport System.

"The direct flights to Istanbul will strengthen trade, investment and tourism ties for Houston in Turkey," said Mayor Annise Parker. "I will lead a trade mission later this month to Istanbul to capitalize on the new air service and develop more economic relationships that will build a stronger bond between our global markets."

For the first time ever, Houstonites will be able to experience firsthand Turkish Airlines' unparalleled service, award-winning gourmet cuisine and amenities on the Boeing-777 aircraft en route to Istanbul. Houston service of Turkish Airlines will start with four frequencies per week: Mondays, Tuesdays, Fridays and Saturdays. Beginning from July 3, 2013, the weekly frequencies of the mentioned flights will increase to six : Mondays, Tuesdays, Wednesdays, Fridays, Saturdays and Sundays.

"This new route positions Texas with a new strategic advantage for international commerce since more than 300 Houston companies have business or trade ties with Turkey," said Mario C. Diaz, Director of the Houston Airport System. "In addition, Turkish Airlines offers outstanding connections from Istanbul, where a connecting passenger will have only three hours flying time to 50 different countries."

Houston and Istanbul by Turkish Airlines will be served by Boeing 777 aircraft.

Thirty-nine million passengers flew with Turkish Airlines in 2012 and that number is expected to grow by nine million this year, resulting in a 20% increase compared to 2011. With Houston being the fourth largest city in the United States in terms of population and home to thousands of Turkish residents it was a natural choice for the airlines' next gateway. Houston is comprised of many different ethnic communities, many whom travel frequently to their homelands. Trade missions between Texas and Turkey have dramatically increased over the past few years and with the introduction of Turkish Airlines in the Houston market, investment opportunities will multiply.

Introductory fares from Houston to Istanbul start at $599.