Types of Properties And Property Investment
Inheriting the legacy of millennia and civilizations and hosting a population of 16 m., Istanbul is the heart of business and civil life of Turkey. Annoying her people with traffic jams, rude taxi drivers and humid air is definitely not the identity nor description of Istanbul.
Alley cats that will purr to you with your first touch, delicious cuisine pallet from street food to fine dining from all around Turkey and Globe, ferries and bridges connecting two continents, never sleeping night-life, a combination of all faiths’ living in harmony and many other natural and anthropic things make living in Istanbul a unique experience.
Lots of Shelter Options
Considering the fact that we all need a shelter for our residency or business needs, a city offering so much naturally has a lot to serve as well. You can find high-end residential units in compounds or towers with multiple facilities (24/7 security, swimming pool, gym, etc…), more humble apartments, villas, seaside mansions, world grade LEED certified offices along with more humble ones as well, serviced offices, industrial buildings, top quality hospitality services or health care services; actually anything that you may require. You may rent any of those or buy; use it for your own residential or business purposes or benefit from the rent income.
Despite the global waving, Istanbul’s property market still offers 5%-6% yield on income producing assets. Along with its benefits on residency, especially units available for commercial use (even if its title deed is defined as a residence) also provides an exceptional 25% extra benefit.
What Is “Withholding Tax”?
By common practice which is also approved by the courts of law, if a property is owned by a private individual, the tenant is obligated to pay the “withholding tax”, which is 25% of the net rent income on behalf of the landlord. Therefore, this rent amount gets directly deducted from the landlord’s income tax. As a result, in case you have a lease contract for a commercial property worth 100.000 TL + withholding tax / annul; your actual income is 125.000 TL, which is a unique advantage Turkey has to offer.
Turkey Has a lot of Options for Property Investment
Contrary to the examples in mainland Europe and UK, developers in Turkey usually build and sell, rather than build and let. Therefore, you can find affordable commercial units in central business district for your private investment purposes.
Not only by being an imperial capital for two empires, not only being the core of life of Turkey, not only connecting two continents; Istanbul and Turkey have a lot to offer, both socially, business wise and for property investment.