Foreign Property Suspension in Turkey
Author: Amy Morgan Article source: http://www.articledeshboard.com/. Used with author's permission.
Following a decision by the Constitutional Court in Turkey, the Ministry of Public Works and Settlement has ceased issuing land title deeds to foreigners. The courts ruling has reduced confidence in the property market in Turkey.
The Turkish government has been keen to attract inward investment and has previously relaxed elements of Turkeys restrictive property laws with the enactment of the Foreign Direct Investment Law (FDI) that removed limits on foreign land ownership. This new bill has been challenged in the Constitutional Court by 2 deputies in the Republican Peoples Party, arguing that there was insufficient clarity in subsections of the Foreign Direct Investment Law, and that the act unlawfully removed long standing limits on foreign ownership.
As a result of the legal challenge, all property sales to foreigners were stopped from the 16th of April. The constitutional court has cancelled one article of the FDI Law that allowed the government the authority to remove the 2.5 hectare limit on individual foreign land ownership.
The constitutional courts ruling, is an embarrassment to a government that has been eager to encourage the growth of tourism, and saw foreign ownership of resort property as a prime method. The foreign property investment market has seen over one and a half billion of inward investment in the last three years alone.
A new act of parliament that seeks to overcome the problems raised by the court has been drafted, and the government is hopeful that this will shortly lead to a resumption of foreign land sales.
Amy Morgan is a article writer writing on property investments in Turkey for www.bigpropertyguide.com">The Big Property Guide
Powered by CommonSense CMS script - http://www.sensesites.com/
|
Print this page