Britons look to Turkey to invest
Posted by meb at March 4th, 2008
As the UK property market looks set for a period of stagnation, the number of Britons seeking to invest in bricks and mortar overseas is rising and Turkey appears to be a top destination choice for them according to the UK’s independent property help portal www.homemove.co.uk.
Overseas mortgage broker Conti Financial Services reported a 147 percent year-on-year rise in enquiries in 2007, according to an article posted on the Web site yesterday. By contrast, enquiries for Spain fell by over 28 percent last year.
Turkey has recently reformed its mortgage laws, making finance available to overseas buyers and figures from estate agent Knight Frank, show prices in the country rising between 15 percent and 20 percent, in 2007.
However, a one-bedroom flat can still be purchased for around 25,000 pounds, two-bedroom homes for 50,000 pounds and villas for 90,000 pounds.
Finance for Turkish homes can be secured with a lender in the country, through specialist brokers such as Conti. Buyers will need a 25 percent deposit, and sterling mortgages are only available over 15 years, reported Home Move.
If the loan is in euros, British investors living in the UK at the time of applying for finance may be able to borrow up to 100 percent, but only for property in certain parts of the country such as the capital Istanbul, or Alanya on the Turkish Riviera.
“While Turkey is being hailed as the ‘new Spain’, it is also undergoing some of the same problems, such as corruption and bad planning – although it is learning a lot quicker,” Home Move quoted Simon Conn, Conti’s sales and marketing director as saying.
Source: Turkish Daily News
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