A new era begins in housing and second-hand vehicle sales

With the regulations published in the Official Gazette dated August 31, 2023, changes were made to the regulations regarding real estate trade and the trade of second-hand motor vehicles, and a 2-month transition period was granted.

These changes aim to prevent the posting of listings through fake accounts by hiding one's true identity on listing websites.

Accordingly, as of November 1, it will be prohibited to post a listing for real estate or a vehicle that does not belong to the person themselves, their spouse, or their first and second-degree blood relatives, or for which they have not been authorized by the owner.

However, real estate agents and auto dealers will be able to post listings for vehicles or real estate they are authorized to sell by verifying their authorization documents.

OBLIGATION FOR LISTING WEBSITES

The regulation also imposes an obligation on listing websites to verify that the user is authorized to list the second-hand vehicle or real estate before membership or the publication of the listing.

Thus, it is aimed to prevent fake listings that can lead to consumer grievances, prevent speculative price increases, and eliminate information pollution on listing websites. In accordance with the regulations, administrative fines ranging from 10 thousand liras to 100 thousand liras will be applied for each violation by those who act contrary to the legislation.

IDENTITY VERIFICATION VIA E-GOVERNMENT WILL BE REQUIRED

Aydın Erkoç, Chairman of the Motor Vehicle Dealers Federation (MASFED), stated that the regulation will require identity verification via e-Government for real estate and vehicle sales made through listing websites. Erkoç said, "Before the publication of the listing, verification will be carried out to ensure that the person is authorized to list the second-hand motor vehicle or real estate in question."

Pointing out that the second-hand vehicle sector is one of the areas where unregistered activities are most intense, Erkoç stated that as MASFED, they have voiced this problem at every opportunity. Stating that they have offered solutions both for the registration of the sector and for preventing unfair competition, Erkoç spoke as follows:

"In Turkey, a total of approximately 9 million vehicles are sold annually, including second-hand and new ones. Today, while 1/5 of the sales are made by dealers, real users, and authorized motor vehicle sellers, 4/5 of the portion is carried out by those who do this as a side job. Thanks to this regulation, while fraud through fake listings is prevented, people who do this as a side profession and engage in unregistered trade, causing exorbitant increases by unfairly raising the market, will also be cleared from the market. Therefore, the grievances experienced will disappear. The application of penal sanctions of up to 100 thousand liras to those who violate the practice will also be a deterrent."

DIFFERENCE BETWEEN TITLE DEED AND LISTING PRICE WILL BE MONITORED

Hacı Ali Taylan, Chairman of the All Real Estate Consultants Federation of Turkey, also stated that a regulation imposing responsibility on listing portals has been made as of November 1, and said, "No one will be able to post a real estate listing without identity verification and an authorization certificate so that bubble prices and fake listings are removed. We support this as well."

Emphasizing the importance of listing portals being ready for the transition to this system, Taylan noted the following: "Listing portals need to adjust their infrastructure accordingly. If they do not switch, there is a heavy penalty. There is a fine of up to 100 thousand liras for each listing. There are thousands of listings like this. With this regulation, we will see that the sector will be regulated, bubble prices will be corrected, and real estate prices will begin to fall slightly. It is out of the question for fake listings to exist after this point. In addition, the difference between the listing price and the title deed price will also be monitored."

Taylan added that they have security concerns because identity information will be on real estate portals, and for this reason, they suggested that the information in question be kept on an interface belonging to the Ministry.

News Source: 12punto