Real estate Investment and Free Citizenship

In the past few months I have visited Turkey for tourism and business purposes. The interesting thing is that there are lots of new projects are being built in Istanbul, especially to benefit from the citizenship program. The amendment says that if you acquire an immovable asset(s) that worth $250,000 you can apply for the Turkish citizenship, the amount of the investment had been reduced from $1M to $250K.

During my visit there, I had met several citizenship agencies, lawyers and real estate agencies (to get a brief idea about the real estate market).

From that brief field research, I got this conclusion:

To obtain the Turkish Citizenship By Investment (TCBI), there is an option stipulates that a minimum amount of property investment shall be made for $250k. This amount has been reduced from $1m to 250k USD (or the equal value in Turkish Lira), on the condition to not sell the property within the next 3 years.

Special opportunities:

For people who prefer investing in Turkey just to get the Turkish citizenship without residing in Turkey, there are some properties that have special criteria and benefits, where you can get a high value of RoI whether you are in Turkey or abroad.

“GUARANTEED” is always better

When buying a property with special advantages, the construction company guarantees these benefits with a notarized contract.

Rental Guaranteed:

Huge construction companies tend to make the most out of their masterpiece. They choose the most strategic locations in the city with modern designs, fulfilled services with high class luxury, they build their masterpiece.

Properties with these criteria tend to have a higher RoI in the real estate market. Upon that, the construction company gives the “Rental Guaranteed” option to the clients. With up to 8% of RoI, you can guarantee that monthly/annually the payment will be made and deposited to your bank account whether you are in Turkey or overseas.

Buy-Back Guaranteed

After obtaining the Turkish Citizenship (TC) you are obligated to keep the property for 3 years. Then what?

There are many people who want the TCBI without residing in Turkey, they even want to sell their apartment/s after the duration of 3 years.

Some construction companies provide Buy-Back Guarantee in addition to the Rental Guarantee option.

Not only they buy your property, but they offer you this option with 8% annual revenue. In other words, each year that passes by, your property’s value becomes higher. The construction company offers to buy your property after 3 year with 24% (8% * 3 years) higher price than the price you paid (all payments are made in USD).

Best investment ever!!

Obtaining the Turkish citizenship by investing in real estate with $250,000 became beneficial more than just obtaining the TC.

With Rental Guaranteed and Re-Buy Guaranteed options the investor can obtain the TC and up to 39% profit after 3 years (without even residing in Turkey).

Reference Link: https://www.halicproperty.com/free-turkish-citizenship/

You should post this in mainland China. Will get lots of interest.

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Thank you for your interest, I would love to share my experience with people who are interested.
I did not get your idea regarding “mainland China”, is there a specific forum you recommend or how can I spread this experience further more?

Am I reading correctly that 8% cash flow as well as another 8% in appreciation value when you sell? And return are in USD? And that’s guaranteed? Personally that’s too good to be true also what’s the possibility that the guys who are guaranteed will still be around in 3 years?

If all is true, screw the citizenship, it’s a good investment :sunny:

History of inflation and forex?

Read the fine prints. Most likely in lira :grinning:

OP says “in USD” - a promise by the builder, until the builder files BK, and your lira rents end up being worth less and less.

I have read nothing but bad news from Turkey in recent years, the lira may be undervalued enough that this could turn out as a good investment looking back in 2030.

Is not clear that 8% is based on your value in USD, could be in lira. However, you will be paid in USD after 3 years. Also, what is the property tax? Property management fees? Any restrictions of capital out of Turkey? You may need to visit the place, otherwise you may find that it is still a piece of land after 3 years. Since it is a new construction (or in construction? purchase with a fixed layout plan?), if there is a cost escalation, are you supposed to top up?

The problem with buying where there is high inflation is you will pay local capital gains tax on inflated money. Often the gain will little or negative in USD but taxable gain in lira or pesos or any country with high inflation.

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The return of investment in some projects reaches up to 8%, however, the specific project that I was talking about, the one which offers the buy-back guarantee, offers only 5% RoI and 8% appreciation value, and YES IN USD.

This offer is made for 3 years only, to encourage the citizenship applicants.

I talked in general about real estate investments in Turkey, and most of them pay in Turkish Lira. But the specific project that offer buy-back guarantee offers the rental and buy-back guarantee in USD

Several projects offered me 8%-6% RoI, but this specific project offered me 5% RoI in USD, the tenant handles the maintenance fees, and the project already has tenants. I noticed that when they offer a rental guarantee option, the project should be completed, otherwise, they can’t deliver that promise.
I have asked about the taxes, it’s 15%-20% income taxes from rentals and they offered monthly payments from the rent, not annually.
I have had some doubts about the construction company and how could they deliver their promises, it turns out that the construction company was found in 2014 by a holding company, this company has business with British Petrol Company in Turkey.

This sort of thing works if one likes the country. You don’t have to worry too much about inflation if everything coming in is in Lira just as everything going out is. Turkey gets a lot of negative press but most people I know who have actually been there like it. Seems like all nations with “strong man” leaders get negative press these days - Hungary, Poland, Russia, the Philippines, the US - but go to any of these places and things are nice and folks are mostly upbeat. But if the idea is to make a quick buck and cash out in dollars it seems marginal.

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Ohhh…so it is OK to advertise business opportunities on this forum. Hmmm…it’s weird, it has to be me to be flagged, right? :joy::joy::joy::joy:

I’m also interested.

Well said.

I am interested in learning more about the program. Is there a rep in BH?

https://money.usnews.com/investing/news/articles/2019-10-01/iranian-home-buyers-dodge-sanctions-make-turkey-their-plan-b

Interesting story. But insignificant. Less than 1000 Iranians getting citizenship out of a country of 75m. Looks like US sanctions are having an effect. But sanctions alone don’t work. Look at Cuba. 60 years of sanctions have made the citizens miserable but the dictatorship still exists.

I have met a reputable Agency it is called Halic Property
Ask for Mr Shems, he is an honest man.

:eye:‍:left_speech_bubble: called Mr. Shems and set up an appointment but he already provided a pro forma via email. Everything looks pretty good. The dilemma we have is that due to sale of an IE small 1/4 acre lot we have 1,78m to invest before start of Q2. My wife wants to put at most 0,5m overseas and split the 1,28m between Morongo, Yucca and Phelan parcel acquisitions. She wants to be sure there are no delays due to time crunch. On our way to Ragusa, apologize for misspellings. Humanitarian trip to aid migrants :eye:‍:left_speech_bubble: