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Buying a villa or an apartment in Turkey with the possibility of free installments

Buying a property by installments means that you pay a deposit; and the remaining amount can be paid in installments. The term of the installments for the acquisition of property in Turkey ranges from several months up to five years. Basically, installments up to 12 months are free. Does this mean that you don’t pay any interest or other fees? Yes, indeed …

Up to 12 months, the installment system is completely free!

If the option of purchasing real estate by installments is offered with a maturity between 2 and 5 years, some interest will be charged usually. The interest rate on installments is almost always lower as the common interest rate concerning mortgage loans in Turkey, and is determined in consultation with the developer, and stated in the purchase contract. The great advantage – when purchasing property by an installment plan – is that no additional warranties or a proof of income are required. Another benefit of this system – unlike when taking out a mortgage loan – is that no additional fees will be charged.

The acquisition of real estate by installments in Turkey is common practise at off-plan investments; as well for projects already under construction, and in addition to finished buildings. Indeed, some developers in Turkey offer the possibility of buying by installments even for an off-plan real estate investment. The reason they do this is very simple: firstly, they do not need large amounts of money immediately; and secondly, they want to give incentives to investors by offering them the possibility of purchasing real estate by installments. In some projects, the maturity may be up to five years. A specific example will make this clear.

When purchasing real estate by installments in Turkey, no additional guarantees or proof of income are requested

A project developer needs capital to finance the construction of his new project. Of course, he doesn’t need the total amount immediately at the beginning of the construction. Besides that, he wants to make his property as attractive as possible to potential buyers and investors. Therefore, he decides to offer a number of apartments with the possibility of payment in installments. In this example, we’re talking about an off-plan investment regarding an apartment with the value of 95,000 Euro (selling price of the finished apartment), which is now being sold at 75,000 Euro, and in addition the option to pay in installments.

In this case, an amount of 30,000 Euro will have to be paid in advance – in general the first deposit is 40% of the purchase price – and the remaining 45,000 will have to be paid by monthly installments. If this happens, e.g. in 12 monthly installments of 3.750 Euro; no interest will be charged. So, in this case, we have free installments.

If the term of the installments exceeds one year, some interest will be charged usually. This is not always the case, sometimes developers offer free installments over a period of more than one year. When the project is finished – e.g. after two years – you can rent it out or resell the apartment at the expected sales price of 95,000 Euro; which in many cases will be at that time already higher due to the increasing demand; see “Why invest in real estate in Turkey?”. Occasionally there are exceptional attractive projects with even greater benefits. If you would like to be informed about new projects and / or extraordinary opportunities to make an excellent investment in Turkey, we suggest you subscribe here to receive our newsletter or to consult our blog regularly. So, this is how appealing it is to invest in real estate in Turkey ...

The possibility to pay by installments is offered also for finished apartments

Also at finished projects, the possibility to pay by installments is offered regularly. If a developer wants to present his property more advantageous compared to the competition, and he has sufficient liquidity; then it happens often that he offers the possibility of payment by free installments. In addition, RealProinvest offers you always the best market conditions. Thanks to our excellent reputation and because we are one of the biggest brokers at the Turkish Mediterranean coast, we always negotiate better deals for you than our competitors.

Regularly, there are exceptional bargains, such as when a contractor suddenly needs extra money for his project during the construction work and decides to sell some apartments quickly. These are really exceptional opportunities for those who want to invest in real estate in Turkey with high efficiency. Of course, such a great opportunities are not up for grabs every day ...

If you would like to be informed about new projects and / or extraordinary opportunities to make an excellent investment in Turkey, we suggest you subscribe here to receive our newsletter or to consult our blog regularly. And since we only work with the best and most reliable companies in Turkey, it is also a safe investment. You can find an overview of our real estate deals with the possibility of payment by installments here.