Bad news for those dreaming of buying a home: It will increase 15-fold
In 2026, it is planned for the fair value of properties in the housing sector to approach market values, which could cause current values to increase by 10 to 15 times.
12punto
A significant update to fair values in the housing sector is anticipated as of 2026. According to a report by Türkiye Gazetesi, the General Directorate of Land Registry and Cadastre, in cooperation with municipalities, aims to bring fair values closer to market values. With this change, current values are expected to increase by 10 to 15 times.
Approximately 1.5 million home sales take place in Turkey every year. However, due to the difference between the fair value and the actual sale price, the annual tax loss reaches 6 billion dollars. While there are a total of 38 million homes in the country, the total tax loss caused by low fair values amounts to 8 billion dollars.
EFFECTS OF THE CURRENT SYSTEM
When losses in zoned lands are also included, the cost of the sector to the public rises to 25 billion dollars. This situation leads to a serious decrease in public revenues and imbalances in tax justice. Furthermore, it is stated that insurance policies based on fair value increase the risk of insufficient payments in the event of potential disasters. It is also expressed that the current system slows down urban transformation projects and negatively affects the affordability of housing prices.
Minister of Environment, Urbanization and Climate Change Murat Kurum had stated that title deed fees should be collected based on the actual sale value, noting that this would eliminate injustice and unfairness.
EFFECTS OF THE FAIR VALUE INCREASE
With the implementation of the new system, homeowners will see their properties become more valuable as their official value approaches their market value. This will serve as an official document supporting sale prices and will reduce value disputes between buyers and sellers. Additionally, the rise in fair values will lead to an increase in credit limits, as banks will take this into account when calculating the value of real estate shown as loan collateral. This could facilitate access to financing for investors and construction companies.
However, sector representatives warn that the increase in taxes and fees could negatively affect housing sales. While the increase in municipalities' property tax revenues could be used for investments in infrastructure and local development projects, this situation may cause fluctuations in the housing market.