Mortgages now available in Turkey
Foreign nationals wishing to purchase a holiday home in Turkey are now able, subject to approval, to obtain a mortgage on property in Turkey.
Interest rates are fixed with options currently available in 1, 3 and 5 years and a maximum term of 20 years. The scheme will be based on affordability and is a full status product, meaning they are only available as a repayment mortgage. The current interest rates in Turkey are between 5.5% and 6.5% (Sept 06).
The minimum loan will be 40,000 euros up to maximum loan of 200,000 euros. Demand for
Turkish property has been strong over the last few years, but with introduction of mortgages in Turkey, we expect demand to increase, this may also increase prices of property in Turkey, expecially in the tourist resorts of Bodrum, Dalaman, Fethiye, Oludeniz, Gocek and Alanya.
Many of the regions airports have been fully updated and the infrastructure and roads have been dramatically improved.
Turkey is also in talks to join the European Union (EU).