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Old 15-08-2007, 10:24 PM
Sunnyshores Sunnyshores is offline
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Join Date: Mar 2007
Posts: 235
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Hi Pete

I've just brought in Bodrum and can give you my costs etc, some of which presumably vary according to the area.

Solicitor: I used a company in Istanbul that specialise in property purchase by foreigners and obviously speak English. I was recommended them by an English Agent - I wouldnt necessarily recommend them, but an indication of their costs may help you :
Legal fees £615 inc VAT at 18%

She also dealt with fees for :
Stamp tax 1.50% of purchase price
habitation licence £481
notary £206
title application £69
courier translation £62
electricity set up £172
water set up £172
earthquake insurance £69

Other purchase costs :

VAT is payable on new builds. For buildings under 150m2 its only 1%, but over that it is a whopping 18%.

Capital Gains
I'm no expert, but I believe if you're a UK resident then you pay normal 40% CGT on ALL gains made anywhere in the world. there is an agreement with certain countries (Turkey included) that you dont pay it twice - so you pay Turkey theirs first (less than UK, none after 4 years), then you pay the UK the remainder of the 40%.
Tax in general - you (or your solicitor) will need to get you a tax code so you can register at the tax office, get title, open a bank account.

Title Deeds
I've been told 3-4 months. You need to provide certified copies of passports etc and a UK notary charges about £40 a signature.

Council Tax
0.1% of property value per year

Local letting Agents
good luck - I have found this to be very difficult, due to language and a completly different market to the UK. No advice ehre I'm afraid, just do what you can on the internet and get out there and sit in offices asking questions!

Mortgages
You cant mortgage it until you have title. There are a few UK companies now sourcing turkish mortgages but they are expensive and the set up fees very expensive. Better refinancing your UK property.

Furniture
Readily available in Bodrum, an Ikea in Iclemer. But was much the same as UK prices. But I know someone who furnished in Dalaman and she reports it was about 2/3rds of the UK price.

Hope this helps some, all the best!
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