Buying a property in Eskisehir

Buying a property in Eskişehir can be a great investment opportunity, given the city’s unique blend of cultural heritage, modern amenities, and relatively affordable real estate. Here are some key factors to consider:

1. Growing Popularity and Demand

• University City: Eskişehir is home to two major universities: Anadolu University and Eskişehir Osmangazi University. This makes it a vibrant city with a young population, driving demand for rental properties, particularly from students.
• Tourism and Lifestyle: Eskişehir has become a popular tourist destination, known for its canals, parks, museums, and cultural festivals. This appeal can make it an attractive location for short-term rental properties or vacation homes.
• Modern Infrastructure: Over the years, Eskişehir has developed modern infrastructure, including transportation, healthcare, and recreational facilities, making it a highly livable city.

2. Affordability Compared to Major Cities

• Eskişehir’s property prices are generally lower compared to major Turkish cities like Istanbul, Ankara, and Izmir. This makes it an affordable option for those looking to invest in property without the high costs associated with larger urban centers.
• Cost of Living: Eskişehir also has a lower cost of living compared to these cities, making it attractive for retirees or those seeking a second home.

3. Types of Property Available

• Residential Apartments: There are plenty of affordable apartments in and around the city center, as well as in suburban areas. These are often in demand for rental purposes, especially due to the large student population.
• Detached Houses and Villas: If you prefer a larger, private property, you can find detached houses and villas, especially in suburban or developing areas of the city. Some areas offer properties with gardens or larger outdoor spaces.
• Commercial Real Estate: Eskişehir’s growing economy and tourism industry make it a potential spot for commercial real estate investments, such as shops, offices, or mixed-use buildings.

4. Popular Areas to Buy Property

• Odunpazarı: This is one of the most popular districts in Eskişehir, known for its historic Ottoman-style houses, vibrant cultural scene, and tourist attractions. It’s a great area for short-term rental properties.
• Tepebaşı: This is a modern area that includes the city’s commercial district, offering more contemporary apartment complexes, shopping areas, and business opportunities. It’s ideal for those who want to live in a more central, urban environment.
• Suburban Areas: For those looking for quieter and potentially more affordable options, suburban districts like Ihlamurkent and Batıkent provide newer residential complexes with more green spaces and family-oriented neighborhoods.

5. Legal Considerations for Foreign Buyers

• Eligibility: Foreigners are allowed to buy property in Turkey, including Eskişehir, with a few restrictions. For instance, foreign buyers cannot purchase properties in military zones or other restricted areas.
• Title Deed (Tapu): It is essential to obtain a legal title deed (Tapu) for any property purchased. Make sure all necessary legal checks are completed before making the purchase.
• Legal Assistance: It is highly recommended to work with a local real estate lawyer or a reputable agent to navigate the legal process, understand the tax implications, and ensure compliance with local laws.
• Residence Permit: While buying property does not automatically grant you a residence permit, foreign property owners can apply for one, making it easier to stay in Turkey long-term.

6. Financing and Mortgages

• Mortgage Availability: Foreigners can obtain mortgages from Turkish banks, although the terms and conditions may vary. It’s also common for some buyers to pay in cash to simplify the transaction process.
• Financing Options: Some developers offer installment plans or financing options for new residential developments, which can be an advantage for foreign buyers who prefer to spread out payments.

7. Tax Considerations

• Property Purchase Tax: When buying property in Turkey, buyers are required to pay a property transfer tax, which is typically around 4% of the declared property value.
• Annual Property Tax: Owners must pay an annual property tax, which is a small percentage of the property’s assessed value.
• Rental Income Tax: If you plan to rent out your property, rental income will be subject to Turkish income tax. Foreigners should consult a tax advisor to ensure compliance with both Turkish and home country tax regulations.

8. Potential for Return on Investment (ROI)

• Long-Term Rentals: With the large student population, properties near the universities or city center are in high demand for long-term rentals, providing steady income.
• Short-Term Rentals: Eskişehir’s growing popularity as a tourist destination also makes short-term rental properties viable, especially in areas like Odunpazarı.
• Property Appreciation: With the city’s continued development and rising popularity, property values in Eskişehir are expected to appreciate, offering good potential for long-term investment.

Conclusion:

Buying property in Eskişehir is an affordable and potentially profitable investment, whether for personal use, long-term rentals, or short-term vacation stays. The city’s modern infrastructure, educational institutions, and cultural attractions make it a desirable location. As a foreign buyer, it’s crucial to understand the legal and tax requirements and consider working with professionals for a smooth purchasing process.

The shape of the residential property market by Endeksa: