Take your time in finding your ideal investment property in Turkey. Finding the best property to invest in, entails knowledge of the following: types of investment properties, things to consider before buying, knowing your budget, understanding the market and the dynamics of the location, and building rapport with your real estate agent.
There is no such thing as the perfect property. It’s a matter of finding the investment property that best fits your needs, that way it’s the perfect option for you.
Before offering the tips on finding the best property let’s take a look at what type of investment properties are out there.
Investment Property Types
Commercial and residential properties are two of the most common types of real estate. Both categories come with their own set of benefits and drawbacks.
- Commercial Properties – Commercial real estate is rented out to businesses typically in the form of offices, retail spaces, and warehouses.
- Residential Properties – A residential property, whether long-term or short-term, is meant for people to live in, such as apartments, houses, and villas.
Think about your short-term and long-term goals while making investment decisions. If you want to make a quick profit, renovating or reselling a residential property can be a good place to start, or if you’re more comfortable working on a small scale. Commercial properties, on the other hand, offer appealing advantages if you’re in it for the long run and hoping to generate passive incomes.
What Should Be Considered Before Buying an Investment Property in Turkey?
The next step is to ask yourself these questions ahead of time in order to identify what you’re looking for in an investment property.
Who Will Be Responsible for the Upkeep of the Property?
Decide whether you will have a handyman on call in case something goes wrong and what percentage of the work could you do on your own, or if perhaps you want to purchase a property that comes with management services.
Do You Prefer to be Near the Property?
Some people buy investment properties near their homes to monitor them. Others may choose to invest in a community that serves a specific purpose, such as a vacation destination or a city with a growing demand for office space.
How Do You Plan to Rent Your Property?
You need to decide how you intend to monetize the property. It all depends on what kind of home you’re looking to buy. You can rent a vacation home through an online service like Airbnb, or you can have a firm like ‘Newinn’ manage it for you. A property manager should be able to advise you on property law and your rights and responsibilities as a landlord. For longer-term residential or business rentals, a real estate agent may be required to display the property and manage paperwork.
Are you Buying the Property to Invest in Turkish Citizenship?
Turkish citizenship can be obtained by purchasing real estate worth $400,000 in any part of Turkey. Renting two or three apartments for $400,000 could be an idea. Rents are high in cities such as Istanbul, Antalya, Bodrum, or Fethiye, which means you are very likely to turn a profit. Learn more about ‘Citizenship by Investment Program’.
Know Your Budget
Evaluate your financial situation before looking for a property in Turkey. Determine whether you’re capable of paying in cash, looking for a payment plan, or are willing to take out a mortgage.
Make sure you have enough cash to cover fees including the appraisal report, title deed transfer, title deed registration, annual property taxes, real estate agent commission, compulsory property insurance, and utility subscriptions. Take a look at ‘Costs of Buying Property in Turkey’ for more detailed information.
Unexpected expenses may arise too so it’s best to plan your budget with the assumption that something will go wrong. If nothing goes wrong, you’ll be left with some extra cash.
If you’re just starting out, start with a low-cost property to get a feel for what property ownership is like.
What is the Ideal Property Investment Location for You?
Regardless of the type of property that you intend to purchase, familiarize yourself with the area in which it is located. An understanding of the market is essential. How much supply or demand is there in the market for rentals? In terms of property values and rental rates, are they rising or falling? Is there an increase in the population in this area?
There is nothing worse than having a home that is difficult to rent. Buying in a seasonal area is also something to keep in mind. You may make money during the peak season, with off-season rentals as a bonus. But that’s not always easy. Therefore, research the area before making a purchase.
When it comes to purchasing a long-term residential property; the proximity of your property to public transportation, healthcare, food and retail establishments, daycare, education, and other amenities can have a significant impact on the amount of rent you charge.
Keep in mind that in a bad neighborhood, it may be difficult to find a tenant for a lovely home. This holds true for any form of property, as well.
It is also vital to remember that the day will come when you will want to sell the property, and if it appeals to both property investors and owner-occupiers, you will have a larger market for the property, maximizing your selling price.
Choosing a location is important. Look at the market and see what’s going on. Consider the demands of potential renters for the type of property you’re interested in purchasing. A home should not be purchased in a location solely because you reside there or somewhere you love visiting.
Finding the Right Real Estate Agent For You
While you’re studying the abilities, and attributes of your investment property, it is also a good time to find the right real estate agent for you.
Contact an Experienced Agent
Find a real estate agent with substantial experience in the type of property you’re searching for. A lot of the research will be done by you, but it’s important to find someone who has a deep understanding of the market.
Real estate agents can tell you whether a particular shopping mall is losing tenants to another or if three-bedroom homes are in greater demand than two-bedroom homes in a given area, for example. Take a hands-on approach to the search, but seek the assistance of a specialist.
Build Rapport With Your Agent
It’s important to be proactive by building a good working relationship with your agent. In order to get the best guidance, you need to have a solid rapport with your agent. You’ll be able to rely on your agent more since you and your agent will have built a relationship based on mutual respect and understanding. Let your agent know exactly what you’re looking for. Speak to them regularly so you’re at the front of their mind. That way when a suitable property comes along they can give you an instant heads up.
Consult Nevita ® for a Profitable Property Investment in Turkey
Our team consists of professional agents in the field of real estate who will speak with you in-depth to learn about your needs and requirements, and who will guide you toward a profitable property investment. Call us now!