Turkey has become one of the most sought-after real estate markets for international investors, offering diverse property options at competitive prices. However, many foreign buyers are unaware that they can secure financing through Turkish mortgage and loan options. In this guide, we’ll explore the available mortgage solutions, interest rates, and bank requirements for foreign investors looking to purchase property in Turkey.
1. Can Foreigners Get a Mortgage in Turkey?
Yes, Turkish banks offer mortgage loans to foreign buyers. However, eligibility depends on factors such as nationality, income, and credit history. The loan application process is straightforward, and many banks cater specifically to international investors.
2. Types of Mortgage Loans Available
Foreign buyers can choose from the following mortgage options:
- Fixed-Rate Mortgages: Interest rates remain constant throughout the loan term, providing financial stability.
- Variable-Rate Mortgages: Rates fluctuate based on market conditions, offering potential savings if interest rates drop.
- Foreign Currency Loans: Some banks allow loans in USD, EUR, or GBP, depending on the buyer’s preference and income source.
- Developer Financing: Many property developers offer in-house installment plans for off-plan purchases, eliminating the need for a bank mortgage.
3. Interest Rates and Loan Terms
Interest rates in Turkey vary depending on the bank, loan amount, and term length. As of 2025, mortgage rates typically range between 6% – 9% per year for foreign buyers.
| Loan Term | Average Interest Rate |
|---|---|
| 5 Years | 6% – 7% |
| 10 Years | 7% – 8% |
| 15 Years | 8% – 9% |
Most banks offer loans covering 50% – 70% of the property’s value, requiring buyers to provide a 30% – 50% down payment.
4. Requirements for Obtaining a Mortgage
Foreign buyers need to meet specific criteria to qualify for a mortgage in Turkey:
- Valid passport and notarized Turkish translation
- Turkish tax identification number (can be obtained at a local tax office)
- Proof of income and employment (bank statements, salary slips, or tax returns)
- Credit history report (from the buyer’s home country)
- Property valuation report issued by an accredited real estate expert
- Bank account in Turkey for loan transactions
5. Application Process for a Turkish Mortgage
- Choose a bank that offers foreigner-friendly mortgage options.
- Submit required documents and complete the mortgage application.
- Receive a property valuation report from an authorized appraisal firm.
- Obtain pre-approval for financing terms and interest rates.
- Sign the loan agreement and finalize the purchase at the title deed office (TAPU).
- Register the mortgage with the Land Registry Office.
6. Alternative Financing Options
If a bank mortgage isn’t suitable, foreign buyers can explore alternative financing solutions:
- Seller Financing: Some developers offer 0% interest installment plans for new projects.
- Home Country Loans: Some buyers secure property loans in their home country for investment in Turkey.
- Equity Release: Homeowners can leverage existing real estate in another country to fund their Turkish property purchase.
Final Thoughts
Foreign buyers have several options when it comes to financing property purchases in Turkey. Whether opting for a traditional mortgage, developer financing, or alternative loan structures, understanding the available options and requirements is essential for a smooth transaction.
📞 Looking for expert advice on Turkish mortgages? Contact us today to explore the best financing solutions for your investment!
