The Turkish citizenship-by-investment program has been enjoying a high level of popularity in recent years. However, the immigration authorities try to react to the high demand and control the supply. Let’s find out about some nuances of the Turkish economic citizenship program.
Some countries granting citizenship to foreign investors accept donations while Turkey accepts only investments that can be returned. There is a chance that Turkey might start accepting donations in the future. It does not at the moment.
How can you become a citizen of Turkey?
There are several opportunities:
- By birth on the condition that at least one of your parents is a Turkish citizen;
- By naturalization;
- By providing special services to the country;
- By investment into business, real property, or banking products.
Below we will dwell on the last option. The Turkish citizenship-by-investment program boasts the following main advantages:
- Citizenship acquisition is comparatively fast (6 to 9 months);
- No need to confirm sources of income;
- No need to know the Turkish language;
- No need to live in the country permanently;
- Investor’s family members qualify for citizenship too;
- New business and employment perspectives in Turkey and beyond.
Becoming a full-fledged citizen of a foreign country is an exciting opportunity indeed and Turkey is certainly one of the options to consider.
Citizenship of Turkey by investment into property
The property has to meet certain requirements. Some pieces of property in Turkey do not suit the citizenship-by-investment purposes.
Program conditions:
- Investments have to be made into residential or commercial property;
- The real and the contract price of property has to be at least US$ 400, 000 (equivalent in Turkish liras);
- The property has to be purchased from a Turkish individual or a company;
- You have to retain the property in your possession for 3 years.
These are where things stand for now. Chances are that the Turkish authorities may raise the required investment amount in the future.
The stages in the process of obtaining Turkish citizenship depend on whether you own property in the country or you do not.
Investment into property: the applicant is NOT a property owner
Signing an agreement with a trusted agent → choosing the property → having the property assessed by an independent expert → making the purchase deal → obtaining a TAPU (property ownership certificate) → obtaining a qualification certificate (confirming that the property suits the citizenship-by-investment purposes → applying for a residence permit → applying for citizenship of Turkey.
If you already own property, a couple of stages can be skipped. You need a lawyer in any case to help you prepare and file the application documents.
Investment into property: the applicant is a property owner
Signing an agreement with a trusted agent → preparing application documents → obtaining a qualification certificate → applying for a residence permit → applying for citizenship of Turkey.
Citizenship of Turkey by making a bank deposit
Program conditions:
- Make a bank deposit of at least US$ 500, 000 in Turkey;
- Keep the money in the bank for 3 years;
- The deposit has to be made in Turkish liras.
Please note that the state guarantees protection from currency-related risks for the first two years. The conditions for the third year are not specified.
Some foreign investors choose this option because putting money in the bank is simpler than buying real property and the sum is not much higher.
A deposit in a Turkish bank
Acquiring a Turkish TIN → having translated documents notarized → obtaining a SIM card → visiting the bank to set up an account → obtaining application approval → transferring money onto the account → applying for a residence permit → applying for citizenship of Turkey.
When you make a bank deposit, the information will be passed on to the Banking Committee that will have to issue a certificate confirming that you are now eligible to apply for citizenship of Turkey.
Citizenship of Turkey by investment into business
The required investment amount is US$ 500, 000 or more. You have several options to choose from:
- Invest in an existing Turkish company or create a new one. In addition to making an investment, you have to create 50 new jobs in the country. Joint investments are possible but each investor has to bring US$ 500, 000 and create 50 jobs to qualify for citizenship of Turkey.
- Buy government bonds.
- Contribute to an investment fund.
- Buy securities.
The investments are returnable: after 3 years, you can withdraw from any project. Lawyers do not recommend this route to Turkish citizenship because too much depends on business success.
Risks associated with acquiring Turkish citizenship by investing into real property
Some risks are associated with buying real estate in Turkey.
Understatement of real estate value
Turks sometimes cheat with taxes. The purchase agreement may indicate only a portion of the real price and the rest of it has to be paid in cash. This option is unacceptable for a candidate for citizenship of Turkey.
Not enough information about the size of the property
Some developers in Turkey do not hold the exact apartment areas in high regard. The floorplan may say that the apartment has 100 square meters and it turns out to be a 70-square-meter apartment when you buy it.
Fraudulent realtors and mistakes
Real estate agents will offer pieces of property that allow them to earn higher commissions and not the pieces of property with an attractive price-to-quality ratio. Few realtors will openly speak about the drawbacks that a certain piece of property has.
Besides, even large real estate agencies make mistakes in Turkey. Depending on the nature of the mistake, it may turn out quite costly for the client.
Inexperienced and unprofessional lawyers/ financial advisers
There are some restrictions pertaining to banking transactions in Turkey and if your consultant does not know about them, you may find yourself in trouble. Many potential applicants for Turkish citizenship do not know, for example, that they should convert dollars (euros, pounds, etc.) into Turkish liras via a broker’s account rather than set up savings or current accounts. It is also important to use a bank that supports SWIFT payments for transferring money to Turkey.
For this reason, you have to find an experienced immigration expert who can help you do everything right when applying for citizenship of Turkey.
Is the price going to rise?
Turkish immigration regulations change over time. The increasing demand for Turkish passports makes the authorities of the country raise prices. Before October 16, 2023, it was possible to obtain a residence permit in exchange for an investment of US$ 75, 000 (US$ 50, 000 in a small village). Now the price is US$ 200, 000 whatever region of Turkey you choose for investments. When the citizenship-by-investment was launched in Turkey, the threshold was set at 1 million dollars and later it was lowered. The original price may return.
What this means is that you should not procrastinate if you would like to become a citizen of Turkey. Apply now.