Written by Christopher Nye,
Last Modified: 20th June 2018

Deciding to part with thousands of pounds to purchase a property in Turkey requires a lot of careful thought. You’ll need to plan your finances carefully, establishing from the start the exact amount you can afford, and what your financial sources are.

How can you finance a property in Turkey?

There are various ways you can fund your dream home in Turkey. If you have enough equity in your property back home, you could be in a position to re-mortgage and buy that villa or apartment you’ve fallen in love with using the proceeds from the released equity.

Find a UK mortgage broker who specialises in overseas mortgages.

If taking out a mortgage suits you better, it’s advisable to have your mortgage approved before you begin house hunting. Things take place at a much slower pace in Turkey, so putting things like this in place sooner rather than later will benefit you in the long run. Also make sure you have the go ahead for the mortgage before you start your property search. Otherwise you’ll not only waste your own time but that of the agent, should it not come through.


Find a UK mortgage broker who specialises in overseas mortgages. They will be able to advise you on the complexities of Turkish mortgages, which change on a daily basis. If you intend on using your new property in Turkey as a holiday home, consider obtaining a mortgage in the UK so you can pay by direct debit and in sterling. However, if you’re planning to reside in it permanently and will be required to transfer your savings and receive your pension payments, it makes sense to acquire a mortgage through a provider located in the country.

If you opt to use a Turkish mortgage provider, try and find one that has branches in Europe. This will increase your chances of communicating with multilingual staff who understand the Turkish property buying process.


Sirince village, Izmir Province, Turkey

Research your options for financing your dream home in Turkey before you start viewing property.

Every mortgage that’s taken out in Turkey must be are recorded at the Turkish Land Registry. Therefore, you will be unable to secure one without obtaining a valuation report detailing the property’s value, and any restrictions upon it. Conducted by a valuer from the bank, a valuation report is typically conducted in an efficient manner. Once completed you will be required to sign a preterm sheet and pay a processing fee.

Obtaining a mortgage as an overseas buyer is fairly simple. Approval rates are high and typically you can secure up to 65% of the property’s value.

What criteria do lenders consider?

Lenders will consider the following criteria when considering your mortgage application:

• Your current income
• Type of income, i.e. full time, part time, contract
• Number of dependents
• Type of loan requested
• General living expenses
• Current savings and other assets
• Financial commitments, including credit card debt and limits.

Currency exchange

When purchase a property here you will be required to transfer currency between the UK and Turkey, particularly if you are relying on UK-based pensions or income from investments. These funds will be needed to make the deposit payment, mortgage payments and to cover ongoing costs. Therefore, it’s essential that you understand how currency fluctuations can affect you. Whether making a one-off payment or regular transfers, contact a currency specialist to find out how using a forward contract to fix the exchange rate you trade at for up to a year could help protect your finances.

Before booking your viewing trip in Turkey, you should speak to a currency specialist to determine how to get the most local currency for your pounds. We recommend Smart Currency Exchange.

Download the Turkey Buying Guide today

The Turkey Buying Guide takes you through each stage of the property buying process, with practical recommendations from our experts who have been through the process themselves. The guide will help you to:

  Ask the right questions
  Avoid losing money
  Avoid the legal pitfalls
  Move in successfully

Download your free guide to buying in Turkey

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