LEGAL STANDARDS AND TRANSFER PROCESSES OF REAL ESTATE PURCHASE AND SALE

1. INTRODUCTION

Buying and selling real estate is a process that requires careful attention, both legally and financially. In Türkiye, real estate transfers are conducted within the framework of official institutions and legal procedures. Acquiring real estate is a significant investment for individuals and organizations, and certain standards must be adhered to to avoid errors and legal issues. Accurately reviewing land registry records, completing transfer transactions completely, and ensuring that the parties fulfill their legal obligations are crucial for a secure transfer of ownership. This article will detail the legal standards and processes involved in buying and selling real estate, as well as the points to be considered to protect the rights of the parties.

2. LEGAL BASIS FOR THE PURCHASE AND SALE OF REAL ESTATE

• Turkish Civil Code No. 4721: This law regulates matters such as the transfer of property rights, the maintenance of the land registry, and the registration of real estate. The sale of real estate does not grant the buyer ownership rights unless it is registered with the land registry.

• Land Registry Law No. 2644: This law governs processes such as the organization and maintenance of the land registry and the official recording of changes in ownership. Transactions carried out by the Land Registry Office must be carried out within the framework of this law to be legally valid.

• Turkish Code of Obligations No. 6098: This law determines the rights and obligations imposed on the parties in real estate purchase and sale contracts. For a sale to be valid, a written contract must be executed and the transaction must be executed with an official deed at the land registry office.

• Law No. 6306 on the Transformation of Areas at Disaster Risk: Regulates the sale and transfer transactions in urban transformation areas. It may impose certain restrictions on the transfer and renovation of at-risk structures.

• Real Estate Tax Law: This law covers the tax liabilities that must be paid in sales transactions. The market value determination process and the tax liabilities of real estate are regulated within this framework.

• Condominium Ownership Law: Contains regulations regarding the sale and transfer of independent units in apartment buildings or complexes. It determines the rights and responsibilities of buyers and sellers regarding condominium ownership and floor easement.

In addition to these laws, to ensure that title deed transfers are legally compliant, the parties must adhere to relevant regulations and land registry procedures. Because transactions lacking a solid legal basis can lead to disputes between the parties, it is recommended that the process be conducted with the assistance of expert advisors.

3. PRE-SALE LEGAL REVIEW AND PREPARATION

To prevent legal risks and prevent loss of rights during the real estate purchase and sale process, thorough due diligence and preparation prior to sale are crucial. During this process, the property's land registry information should be reviewed first. Ownership information, share ratios, in-kind rights such as mortgages, liens, and usufruct rights, as well as expropriation status and zoning information, should be verified. This information is easily accessible through the Web Land Registry system offered by the General Directorate of Land Registry and Cadastre. Web Land Registry allows you to query land registry records, initiate transactions, and review declarations related to the property. In addition to the property's legal status, its actual status should also be examined on-site. The property's boundaries, construction status, and intended use should be verified to ensure they are consistent with the information in the land registry.

4. TRANSFER PROCEDURES AND REGISTRATION IN THE LAND REGISTRY

For real estate transfers, an official deed must be issued at the Land Registry Directorate and registered with the land registry. The transfer process consists of the following steps:

1. Preparation of the Parties: Parties must apply for a transaction and schedule an appointment through the Web Land Registry system. Web Land Registry allows you to schedule a convenient date for initiating transactions and transferring the transaction. Appointments and information about the transaction can also be made via the hotline number 181, which operates under the General Directorate of Land Registry and Cadastre. After the appointment, the seller and buyer will present their identification documents and the necessary documentation to complete the sale at the Land Registry Directorate on the appointment date.

2. Required Documents: Certain documents must be prepared before the transfer can be completed at the General Directorate of Land Registry. These documents include the title deed, the parties' identification documents, tax identification number, the market value document obtained from the municipality, the Compulsory Earthquake Insurance (DASK) policy, and, if the transaction is conducted through an attorney, a power of attorney. If the sale is made below the market value document obtained from the municipality, the parties will be subject to fines. To ensure a smooth transfer process, complete and accurate documentation must be submitted.

3. Land Registry Fee and Taxes: In all purchase and sale transactions, each party pays a land registry fee. As of 2025, the land registry fee is 4% of the sales price and is shared between the buyer and seller.

4. Preparation of Official Deed: The Land Registry Directorate prepares the official deed in accordance with the declaration of the parties and has it signed by the parties.

5. Registration in the Land Registry: With the signing of the official deed, the ownership of the real estate passes to the buyer and the land registry is updated.

5. SPECIAL CASES AND LEGAL OBSTACLES

• Preemptive Right: In real estate under joint ownership, shareholders have a preemptive right. This right allows the other shareholders to purchase the property first if one shareholder wishes to sell it to a third party. The preemptive right must be exercised within three months of the sale being registered with the land registry.

• Real Estate Acquisition by Foreigners: Foreign nationals purchasing real estate in Turkey is subject to specific rules. Foreigners may purchase real estate outside of prohibited military zones and security areas. Furthermore, the total area of real estate a foreigner may acquire cannot exceed 10% of the relevant district's area.

• Inherited Properties: For inherited properties to be sold, the division between the heirs must be finalized. Transferring the property before the joint inheritance ends can be difficult. If the heirs cannot reach an agreement, the sale or division of the property can be arranged by court order.

• Sale of Mortgaged Properties: If a property has a mortgage, the mortgage must be released during the sale process, or the transferee must purchase the property along with the mortgage. The buyer should verify the transferability of the mortgage debt through the land registry records.

• Real Estate Sale by Persons with Limited Liability or Under Guardianship: Real estate sales by persons with limited legal capacity (persons whose legal capacity has been restricted by court order) or individuals under guardianship are subject to the permission of the guardianship authority. Permission for the sale must be obtained from the Civil Court of Peace.

• Properties with Floor Easement and Condominium Title Deeds: For properties with floor easement and condominium title deeds, the management plan and the right to use independent units must be taken into consideration. The buyer should carefully examine the regulations regarding the property's common areas.

6. CONCLUSION

Buying and selling real estate is a process that requires careful handling for both buyers and sellers. Accurately completing the land registry process is crucial to avoiding any setbacks for both parties. Conducting legal due diligence before purchasing a property, investigating its current condition, and fulfilling financial obligations are critical steps to avoid potential legal disputes. Furthermore, preparing notarized contracts and obtaining expert advice will enhance the reliability of the process.

During this process, adhering to regulations and fully following all necessary legal procedures will help ensure a secure transaction between the parties. Acting consciously in the real estate market is crucial for preserving investment value and minimizing legal risks. Therefore, seeking professional advice and seeking legal support is the most reliable method for a smooth and seamless title deed transfer.