Amendments to the Turkish citizenship law of 2023

Even though the Turkish citizenship granted by the Turkish government to foreign investors is of exceptional origin (meaning that the nationality law can be changed or even cancelled at any time and without prior notice), we discovered during the past few months that a portion of the investors underestimated the importance of this free grant and believed that this law is a part of the constitution that will never change, even though they witnessed the reduction of the required investment.

And despite the low entry requirements for Turkish citizenship, which are currently $400.000 and a promise not to sell the property for three years, as well as the high investment returns attained by investors since 2018 to the present day, which have reached up to 400% on the basis of the dollar in some correct investment options, we occasionally see investors waiting for a drop in the market.

he Central Bank of Turkey was able, during the year 2022, to reduce the interest rate, while international banks were rushing to raise interest, led by the US Federal Reserve, which represents the largest power in the world, as it raised interest rates from 0.25% to 4.5% during the year 2022, while the Turkish Central Bank was able to reduce interest from 13% at the beginning of the year to 9% at the end, while maintaining the stability of the exchange rate during the third and fourth quarters of 2022, and this in itself is considered a very big achievement in favour of a developing economy in a country like Turkey.

The Turkish Central Bank was able to reduce interest rates from 13% at the beginning of the year to 9% at the end, while maintaining the stability of the exchange rate during the year 2022, whereas international banks were rushing to raise interest rates, led by the US Federal Reserve, which represents the largest power in the world, as it raised interest rates from 0.25% to 4.5% during the year 2022.

In conclusion, Turkey continues to be an incubator for foreign investment in the past, present, and future while making significant and quick progress in a variety of industries.

New changes to Turkey's extraordinary citizenship law:

The door to real estate investment in Turkey has always been open and will remain so, it should be stressed before discussing the latest revisions. If there is a change to the law, the investor can apply for free Turkish citizenship at the same time as making his real estate investment, provided the necessary criteria are met (to which amendments occur from time to time).

1. Purchasing two properties, one of which is ready for housing with a pre-made title deed and the other under construction with a promise-to-sale contract with a floor easement, is not a valid way to apply for Turkish citizenship.

2. The promise to sell agreement must meet the basic requirements to qualify for the extraordinary Turkish citizenship (400 thousand dollars). This indicates that it is no longer appropriate for a real estate investor to purchase multiple properties in various projects and amass them in order to submit citizenship applications.

The final title deed is not awarded by the Turkish state before the project is completed by 100%, so the promise-to-sale contract is the contract that is issued by the projects in a state under construction and is certified by the notar

3. No matter how valuable a piece of real estate may be, it may only be applied for by one nationality, and it is not permissible to divide the title deed among multiple parties.

Previously, a father would purchase a property worth at least $800.000 and put half of it in his name (earning him, his wife, and any children under the age of 18 special Turkish citizenship). The other half would go into the name of the father's son who was over the age of 18.

If the objective is to gain Turkish citizenship today, having a partnership in the title deed is no longer acceptable.

4. The owner of Turkish citizenship is prohibited from selling his property to a foreigner after the 3-year window has passed in order to gain Turkish citizenship as well.

Notes:

These changes will take effect on January 1, 2023.

All of these changes pertain to people who want to become Turkish citizens. The success of the foreign real estate investor's investment is unaffected by these revisions and other rules if he is not interested in getting Turkish citizenship.