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The buying process is very smooth in Turkey; once the agreement is made with the seller, the property transaction can often be finalized within the same day. On the other hand, for non-residents, the process can last longer as it is required to get an official permissions from the military authorities in Turkey.
After deciding on a property, you have to fill out a Mortgage Application Form at a Garanti branch, preferably a branch close to your designated property.
Garanti Customer Relationship Managers will provide you the payment options, current interest rates and the best payment plans that suit your needs. GarantiBank will notify you with your application result after pre-evaluation.
For more information about Garanti Mortgage, you can call Garanti Branches, Garanti Online Banking, 444 0 333 Alo Garanti or email us.
Feautures:
 Maximum repayment period up to 240 months for both YTL and FX loans.
Origination available in New Turkish Lira (YTL), Euro, US Dollar, GP Sterling and Swiss Frank
Appraisal report of 500 YTL and processing fee of 1.000 YTL
Additional 1 % commission calculated from the total amount of Mortgage disbursed.
You can determine your own repayment schedule.
You can benefit from convenient interest rates.
The loan amount should not exceed 65% of the property's value as assessed by a Bank-nominated expert (Maximum loan-to-value (LTV) ratio of 65 % of the appraised value)
A guarantor may be requested depending on the loan assessment.
Life insurance, personal house insurance and Natural Disaster Insurance Authority (DASK) will be requested
Documents Required for Mortgage Application:
Tax ID Number provided from the tax office (a.k.a TCVKN)
Appraisal report of the property
Non- Resident application form (provided by the branch)
Sample copy of the passport or the original copy of official residence letter
Credit Bureau record from applicant's home country
Utility, cable or telecommunication bill noting the address of the customer
Security check obtained from military authorities in Turkey
Previous three month's bank account / credit card / overdraft statements
(*) The Mortgage conditions can be changed by GarantiBank, depending on economical conditions and bank policies.
Frequently Asked Questions
- Who is Eligible to Buy Real Estate in Turkey ?
Foreigner citizens or residents on the conditions of reciprocity with and paying obeisance to legal restrictions (the law on property purchase by foreigners in Turkey) are able to acquire real estate in Turkey. They can buy property and land within a zoned municipal area, which means all cities, towns, the coastal resorts and large areas around them.
- What Type of Properties are Available in Turkey and How to Find Them?
Best way to find such properties is to visit a real estate agency or the sales office of a project/property. We also advise foreign residents to talk to a solicitor with an experience on Turkish Property Law, who has previously represented foreign clients
- How are Properties Priced in Turkey?
The best way to check and compare prices is to visit the local websites of real estate agencies or newspapers. The prices are determined based on both the quality and the goodwill of the properties, according to the location, accessibility, view or architecture of the property.
At garantimortgage.com, the wide range of property portfolio of Hurriyet Emlak can be accessed and details of the non-resident mortgage products can be accessed.
- How is the Property Value Determined for Mortgage Application?
If the pre-evaluation of your application is approved, then the appraisal of the property will be arranged by the bank. Once the value of the propert is set, the final loan amount will be decided accordingly.
- How Can I Open an Account at GarantiBank?
You can open an account at GarantiBank in your own name. All you need to do is get a tax number from a local tax office, which takes only few minutes, and then submit it with a copy of your passport to a Garanti branch.
- What's Tax ID Number ("TCVKN")?
Tax ID is a 10-digit number you will obtain after registering to a local tax office.
- How to Obtain a Tax Number?
In order to get your tax ID, the original or copy of a valid passport approved by a local notary must be submitted at the tax office. Once you have acquired a property and need to open an account, you need to register with the local tax office to get a tax identification number. Your solicitor or estate agent can do on your behalf following the title exchange.
- What are the Transactions to be Completed for a Mortgage Application?
After pre-qualifying for a mortgage, the the Customer Relationship Manager at branch will request the signing of the English version of the Home Financing Pre-Agreement Information Form, as well as the Home Financing (Mortgage) Agreement and the Payment Plan printed in Turkish. As a beneficiary to the loan, consumers are to get a life insurance set up on behalf of their name, as well as a house insurance and DASK (National Disaster Insurance Authority) insurance for the property to be purchased.
- In which currencies can do you provide mortgages?
It is possible to get mortgage in Turkish Lira, Euro, British Sterling, US Dollar and Swiss Franks.
- Do you provide adjustable rate mortgages in different currencies?
Adjustable rate mortgages are available in Turkish Lira denominated mortgages only, as a result of the Mortgage Legislation in Turkey.
- Do you provide fixed rate mortgages in different currencies?
Fixed rate mortgages are available in Turkish Lira, Euro, British Sterling, US Dollar and Swiss Franks.
- What is the maximum loan-to-value ("LTV") ratio at GarantiBank?
Maximum loan-to-value ratio is 65% of the appraised value of the property.
- What is the minimum loan amount limit for a mortgage?
There is no minimum requirement.
- What is the maximum loan amount limit for a mortgage?
The maximum loan amount is YTL 500,000 or its equivalent in other available currencies
- What are the minimum and maximum loan terms for mortgages?
There is a 3-month minimum term and a 240-month maximum term for a mortgage loan.
- Is there a minimum and a maximum age allowed to apply for a mortgage loan?
Consumers between the ages of 18 and 65 can apply for mortgage.
- Which nationalities may apply to have a mortgage?
EU member countries, Norway and Switzerland citizens can apply for a non-resident mortgage loan with 65% LTV. Citizens of countries except these may apply for a non-resident mortgage loan with 50% LTV in cases of reciprocity between Turkey and the related country.
- Is there a maximum debt-to-income ratio to apply?
Yes, there is a maximum debt-to-income ratio of 40%.
- Is there a early payment fee for full or partial repayments?
Yes. A 2% (of the prepaid principal amount) early payment fee will be applied to all early payments/terminations for fixed rate mortgages. However, for adjustable rate products, there is no redemption or partial repayment fee.
- Can such properties be rented to third parties?
Yes, but rent income cannot be taken into account for credit evaluation process.
- How is the mortgage repaid? Do customers need a bank account with lender?
For repayments, customers are required to have a bank account at GarantiBank.
- Is building insurance compulsory?
Yes. It differs based on the type and location of the property. For instance, for a 90 sqm-house located in Bodrum/Milas, for which the house value is accepted as 100,000 YTL, annual insurance premium would be around 230 YTL.
- Is life insurance compulsory?
An annual premium of 0.75% of the loan amount is compulsory.
- How much is the application and completion fees?
It depends on the value and tenure of the mortgage and it can be calculated individually for each case.
- Does the customer have to be present on completion of application or will a Power of Attorney be sufficient?
Both are acceptable. However, clients have to be present at least once during the application process at GarantiBank branch.
- How long does it take for my application to be processed?
In most cases, it takes approximately two days to prepare the property appraisal report and two days for the evaluation process.
- If the applicant has a shareholding in a limited company, what type of income verification will be requested for application?
All available documentation, such as salary verification, dividend distribution verification, profit and loss statement will be taken into consideration.
- Can mortgage loans be arranged in the name of a limited company?
No, mortgages can only be provided to consumers.
- How is the interest rate calculated?
Interest is calculated on a monthly basis.
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