Buying Off-Plan Property in Turkey: Risks and Rewards

In 2025–2026, new-build (pre-completion) properties account for about 40% of all real estate transactions in Bodrum. For the buyer, this is an opportunity to purchase a modern apartment or villa at a favorable price, often with an interest-free installment plan from the developer. But pre-completion purchases carry specific risks — from missed deadlines to the developer's bankruptcy. Before you commit, make sure you understand how a standard transaction works for ready properties too (our general guide to buying in Bodrum covers legal steps and pitfalls). This article explains how the process works, what the buyer gains, where the pitfalls hide, and how to protect yourself.

What is pre-completion real estate in Turkey

Buying under construction (in Turkish "proje satisi", sometimes "insaat asamasinda emlak") means acquiring an object based on a project, before completion or even before the start of building works. Two formats are common in Bodrum:

• Dubleks daire (duplex apartments) and complex residences — large complexes with 50–300 units, pools, landscaped gardens. The most common format in Ortakent, Bodrum center, Turgutreis.
• Custom-built villas on individual plots — you buy a plot with a construction permit and sign a contract with a builder. Common in Yalikavak, Gundogan, Gumusluk.

In both cases, the developer is required to have a zoning plan (imar plani) and a building permit (insaat ruhsati) issued by the municipality. A professional should check the documents — in our practice there have been cases where a developer advertised "sea view" but the imar plan prohibited constructions above two floors.

Benefits of buying a property under construction

• Lower price, 10–25% discount compared to a ready-to-move-in object in the same area. The biggest discount is offered at the "foundations" stage, minimal at the "90% readiness" stage.
• Interest-free installments for 12–36 months — standard scheme: 30–50% initial payment, then equal installments until completion. For foreign buyers it is a convenient option to purchase without a mortgage.
• Ability to influence layout and finishes — you can choose flooring tiles, bathroom sanitary ware, kitchen set colors, sometimes even change wall configuration before walls are built.
• Brand new facilities — new complexes meet modern earthquake safety standards (TDHS-2023), have thermal insulation, heat pumps for pools, and energy efficient glazing.
• Capitalization during construction — if the Bodrum market continues to grow, by completion the object may already cost 10–15% more than the contract price.

Main risks of pre-completion purchases in Turkey

1. Missed deadlines

The most common problem. The stated construction period of 12 months often stretches to 18–24 months. Reasons include supply chain disruptions, labor shortages, delays in approvals from the municipality, and additional requirements from seismic codes after earthquakes. The contract must provide clear penalties for each day of delay.

2. Developer bankruptcy

In 2022–2025, dozens of construction companies in Turkey went bankrupt due to high interest rates and currency volatility. If you transferred money directly to the developer under a simple agreement, it is very difficult to get it back. The solution is to use a notary-secured payment scheme (noter satis vaadi) or payments through a bank letter of guarantee (banka teminat mektubu).

3. Deterioration of quality or materials

Buyers often see a show apartment with Italian ceramics and German sanitary ware, but receive a unit with cheaper local analogues. The agreement must include a detailed specification (teknik şartname) with the exact brands, article numbers, and material grades.

4. Changes to the master plan

A dream "sea view" apartment may face a situation where another developer builds a high-rise building in front after two years. We always check the zoning status of all neighboring land plots within at least 500 meters radius.

5. Issues with iskân (occupancy permit)

Without an occupancy permit you cannot register ownership at the Tapu Directorate, connect utilities permanently, or register a residence permit. Before signing, verify that the project can actually receive iskân according to current regulations.

How to verify a developer: our checklist

Before signing any off-plan agreement, we require the developer to provide and verify at least the following:

• Chamber of Commerce registration (Sicil Gazetesi), founders, paid-in capital, company age. We prefer companies with more than 5 years on the market and at least 3 successfully completed projects.
• Extracts from tax (VERGI) and social security (SGK) offices — no huge debts and no current enforcement proceedings.
• Titles (Tapu) for the land plot with the cadastral extract, no mortgages or third-party rights.
• Approved zoning plan (imar plani) and construction permit (insaat ruhsati).
• Technical specification (teknik şartname) with delivery standards and exact material lists.
• Bank letter of guarantee (banka teminat mektubu) or notary-backed obligation to transfer Tapu (noter satış vaadi).
• Independent site visits: we personally go to the construction site, interview engineers and neighboring sellers, compare with other projects of the same builder.

Red flags you should never ignore

• Cash payments and non-notary contracts. If an agent asks to transfer money to a personal card or to a "friendly" company — walk away.
• "No penalty for delay" clause. A reputable builder agrees to penalties of at least 0.05% of the contract amount per day.
• "We will get the occupancy permit later". If they cannot provide the exact iskân delivery terms in writing — it is a 90% probability of legal problems.
• The agent cannot answer questions about the project. A professional advisor knows every detail: when the foundation was poured, how many cranes work on the site, who is the main supplier of elevators.
• "Discount is only today". Legitimate builders do not work like bazaars. If you are rushed to sign a contract within hours — it is a classic sign of a problematic project.

Can pre-completion properties be used in the Turkish passport by investment program?

Yes, but there is a nuance: for the program, you need to obtain a formal Title Deed (Tapu) from the Cadastre Directorate with the annotation "sale restricted for 3 years". For a property under construction, such registration is possible only after receiving the occupancy permit (iskan). The standard scheme:

1. 1 Notarized contract with the developer, installment plan, valuation report.
2. 2 Waiting for construction completion and iskân issuance.
3. 3 Tapu registration with the 3-year annotation and applying to the Migration Authority.

Related articles