Title Deed Fee and Calculation Method
One of the most significant taxes in property purchases in Turkey is the title deed fee. As of 2025, the title deed fee is set at 4% of the property’s sale price, shared equally between the buyer and the seller.
Example Calculation:
- Sale Price: 2,000,000 TRY
- Title Deed Fee (4%): 80,000 TRY
If only a mortgage is placed on the property without a sale, only the revolving fund fee is payable. For both sale and mortgage transactions, the 4% title deed fee and two revolving fund fees are required. If the transactions are handled by authorized representatives, the revolving fund fee is applied at 2.5 times the standard rate.
Who is Exempt from Property Tax?
Individuals with registered ownership of properties such as residential units, land, or commercial spaces are obligated to pay property taxes. This tax is calculated based on the assessed value of the property and is payable to municipalities in one or two installments annually. However, certain individuals are exempt from paying property tax, including:
- Housewives, unemployed individuals, war veterans, retirees, widows, or martyrs’ relatives.
- Those who meet the following conditions:
- No other property ownership: Applicants must not own another property under their name. Spouses owning multiple properties does not affect eligibility.
- Size limit: The property must be under 200 square meters.
- Primary residence only: The property cannot be a vacation home unless it is proven to be a permanent residence.
- Rental properties: Exemption still applies if the owner resides in a rental property elsewhere.
- Retirees: Only retirees in Turkey can claim this exemption.
This exemption, known as “zero-rate property tax,” applies only to residential properties, not to commercial properties, land, or fields.
Tax Exemptions for First-Time Homebuyers
As of 2025, Turkey offers tax incentives for first-time homebuyers, particularly aimed at young couples and individuals purchasing their first home.
Taxes on Property Purchases by Foreigners
Foreign nationals purchasing property in Turkey are subject to title deed fees and VAT. However, foreigners meeting certain criteria may be exempt from VAT.
VAT Exemption Requirements:
- The property must be purchased from a new project.
- The buyer must not have resided in Turkey for more than six months prior to the purchase.
How to Apply for Tax Exemptions
Eligible individuals must apply directly to the relevant municipality where the property is located. Applications must include a letter addressed to the Municipality’s Financial Services Directorate, declaring:
- No income source,
- No other property ownership,
- Property size under 200 square meters,
- The property is used as a permanent residence, not a vacation home.
Applicants should include details such as the property’s parcel and block numbers, address, and tax registration number. Additionally, a document from the Social Security Institution (SGK) proving the applicant is not actively employed must be submitted.
Those who have paid property tax despite being eligible for exemption can request a refund for up to five years of payments.
Property Tax Rates and Payment in Antalya (2025)
- Residential Properties: 0.1%
- Commercial Properties: 0.2%
Residents can calculate taxes online using tools available through the Antalya Metropolitan Municipality Portal, where they can also check and pay their outstanding taxes.
Payment Deadlines and Penalties
Taxes are typically payable in March and November. A 1.6% penalty is applied for each month of late payment.
Rental Income Tax in Turkey
Declaration Process and Scope
Rental income tax in Turkey is declared annually. As of 2025, the tax brackets are as follows:
- Up to 32,000 TRY: 15%
- 32,000 TRY – 70,000 TRY: 20%
Rental Income Tax Advantages in Antalya
In Antalya, individuals with home loans can deduct interest expenses from rental income, reducing their tax burden.
Deductible Expenses and Legal Methods
Taxpayers can reduce their taxable income by deducting certain expenses, including:
- Home maintenance costs
- Accounting expenses related to rental income
Property Tax and Tax Amnesty
2025 Tax Amnesty: Who Can Benefit?
Tax amnesty regulations are available for individuals, companies, and institutions with outstanding tax debts. These regulations apply to various tax categories such as VAT, income tax, and corporate tax. Taxpayers must carefully review each amnesty regulation as the terms may vary.
Tax Restructuring Processes in Antalya
Applications for tax restructuring can be submitted at municipal buildings in Antalya or via online portals. Click here to apply online.
Real Estate Taxes and Exemptions in Turkey
Turkey offers several exemptions for real estate investors under its tax regulations:
- Rental Income Exemption: Income up to 10,000 TRY is exempt from tax in 2025.
- VAT Reduction: For bulk purchases, the VAT rate can be reduced to 8%.
Frequently Asked Questions About Property Taxes
- When is the 2025 tax amnesty valid?
The 2025 amnesty is expected to take effect in January and continue until June. - Are foreigners required to pay property tax in Turkey?
Yes, foreigners must pay property tax. However, they may be exempt from VAT under specific conditions. - How is rental income tax calculated in Antalya?
Rental income tax is calculated based on total annual income and applicable tax brackets. - What documents are required for tax restructuring?
- Copy of ID card
- Title deed
- Tax debt statement
- How is the title deed fee paid?
The title deed fee can be paid in cash or via bank transfer at land registry offices during the application process. - Is investing in real estate in Turkey advantageous?
Yes, due to Turkey’s economic growth potential and low VAT rates, real estate investment is highly attractive.