Turkish Real Estate State Guarantee

Turkish government guarantees for certain real estate projects in Turkey, also known as Turkish government guarantees, are meant to increase reliability and security for those who wish to invest and own real estate in Turkey, whether they are Turks or foreigners.

What Does "Turkish Real Estate State Guarantee" Mean?

First of all, it must be said that the state guarantee is the most explicit form of title deed or taboo issued by the Turkish state on behalf of the property owner. A title deed indicates that the property is subordinate to the owner, registered and fully owned in his name. The document itself is considered the primary and most reliable guarantee of the property.

On the other hand; there is a real estate guarantee scheme, which is not just a title guarantee, but a guarantee that covers projects still under construction or so-called off-plan real estate.

This guarantee covers all phases of a new project. From laying the cornerstone and handing over keys to the owner, to marketing and awarding contracts, the government monitors and tracks all project details.

This is done by government construction companies affiliated with the Council of Ministers or the Turkish Ministry of Environment and Urbanization, or even in big cities like IBB in Greater Istanbul, including Emlak Konut, Kiptas and Toki.

These companies sign cooperative agreements with private builders and contractors, providing them with land allocated for projects, mostly owned by the state, to implement projects for them under their control. They just promise to complete the project at every stage.

Therefore, the government company will act as a close monitoring partner of all project details and monitor the project implementation stage according to predetermined quality standards to fully safeguard the rights of buyers and investors, whether the purchase is made in cash or instalments.

What Does Turkey's State Real Estate Guarantee Include?

Government guarantees cover several areas, including:

• Ensure construction safety.
• Ensure the validity of title deeds and collateral.
• Marketing and Promotional Support.
• Secure payment and receipt.

Ensure Construction Safety

Before the construction process begins, the state construction company, which is responsible for the state guarantee, requires contractors to submit architectural, structural and mechanical approvals to the project from the relevant regulatory and government departments. In addition, she requested the competent authorities to provide a geological report on the structure of the property. After drilling, test the soil and soil again.

It also verifies the safety and quality of all materials and equipment used in construction, and if any defects are found in the materials, the executing company or contractor needs to modify and supplement the materials, and will cease to pay any levies, payments or fees until verified against established standards Material changes and additions.

All the projects managed by the guarantor shall implement seismic construction. All samples of reinforced concrete, iron and other building materials used in building construction are tested and taken to multiple laboratories for repeat testing if necessary.

Ensuring the Validity of Title Deeds and Collateral

The State Guarantee Corporation requires that no property be sold or even sold until all necessary housing permits have been obtained. Additionally, all permits that certify the building is safe and approved must be obtained.

The guarantee company supervises the signing of all sales contracts in the presence of the responsible notary public. It also adds all necessary files and files like charts and files to avoid possible future errors.

It also extracts original title deeds, final title deeds, residence permits and all required documents and notarizes them with the Paris office according to the dates stipulated in the contract.

Marketing and Promotional Support

The guarantee company ensures that all data and information are correct before providing it to the customer. For example, check the accuracy of project catalogs, commercials, and newspaper ads.

On the other hand, it also monitors the prices in the sales system and prepares everything before starting the sale and does not sell any individual units or projects until it has been approved by the capital authorities.

Secure Payment and Receipt

When you buy a condo or land through a government guarantee company, you are not paying the contractor directly. Instead, all payments and guarantees go into the account of the guarantee company, which in turn provides the contractor with instalments to ensure the accuracy of the contractor's work plan.

The guarantor company inspects every part of the structure before it is received by the contractor and delivered, and ensures that it is completed as agreed and as planned.

Upon completion of the project maturity approval, the condo will be handed over to the client.​​​ Then, in accordance with an agreement with the contractor, interim managers of the residential complex will be elected until a key manager has been elected from among the building's residents.

The responsibility of the State Guarantee Corporation is not over. After housing, it evaluates any complaints it may receive from residents, reviews the project one year after housing to ensure its eventual acceptance, and pays any monies owed to contractors.

Of course, national guarantee companies benefit from profit margins that cover the cost of all these fine-tuned monitoring, verification, and quality procedures. Nonetheless, property prices guaranteed by the Turkish government are not more expensive than market prices, but are usually competitively priced.

If you decide to buy a property in Turkey, Property Superiors strongly recommends that you choose one of the projects that the government guarantees quality and safety. We are happy to provide you with the best option according to your needs.