Estate&Risk
LEGAL AND TECHNICAL RISKS
The records regarding the immovable are kept by the land registry offices and are open to inspection by anyone who proves their interest in the immovable. The purchase, sale, mortgage of the immovable and all similar transactions are made at the land registry office. However, legal risks that are not visible even in the title deed registration of the real estate can sometimes put the new owners in a difficult situation, and the expected benefit from the purchase of the real estate disappears.
A) Risks that can be understood from the Land Registry
Restrictions and problems regarding the immovable are generally understood when the title deed registration of the immovable is examined (Real estate tax debt, records of the seizure of the immovable due to the debt of the immovable owner, usage in favor of third parties, rent, passage and similar real rights, records placed by government institutions, expropriation, restrictions on location. and the like). Land registry is the most basic indicator to measure the legal risk of purchasing real estate. “Legal” investigates for you the risks of the real estate that you want to buy or that you currently own, and reports it to you in a way that you can easily understand.
Some of the annotations and declarations in the title deed of the immovable may give information about the legal action it refers to and/or the size of the purchase risk. In others, deeper research is required in order to fully reveal the legal and technical risk.
E.g; If it is written in the immovable record that the immovable has a property tax debt, since the immovable cannot be transferred without paying this property tax debt, the extent of the risk is revealed only by examining the land registry.
Due to any debts or mortgage receivables of the owner of the immovable, a lien annotation can be made on the land registry. It is possible for you to take action without paying attention to this lien annotation when purchasing the immovable property. Although it is said that this debt is an insignificant debt, it may even be more than the value of the real estate. It is not possible to understand this from the land registry.
The municipality authorized to make zoning may have a statement that the zoning plan of the immovable has changed. It is impossible to obtain all the information regarding this change from the land registry. Additional research is required.
In order to prevent such situations, it is necessary to examine the existing record in detail and to reveal the risk. Even though it is in the “Legal” land registry, it researches and reports the risks that need to be examined in detail for you.
B) Risks Regarding the Quality of the Real Estate
In the land registry, the nature of the real estate you want to buy is shown. If there is a building on the immovable, residence, hotel, apartment, detached house, warehouse, shop and similar; If there is no structure on it, it is marked with land, land, garden, olive grove and similar qualities. There may be separate construction restrictions and/or state sanctions for each of these qualifications.
For example, before purchasing an immovable that is an apartment, it should be investigated whether there is a subscription debt to the apartment management.
You should be aware that a real estate marketed to you as an apartment is registered as a “basement store” in the land registry, which may cause some risks.
You should know that building a building on an immovable that does not have a building and is registered as an olive grove in the land registry is subject to extremely strict conditions.
If the analysis of risks similar to these examples is not made, transfers made without knowing many details that may affect the value of the real estate may be encountered. “Legal” presents the risks related to the quality of the real estate to you within the framework of mapping, planning and legal principles.
C) Risks Related to the Location of the Real Estate
Some risks related to the region where the real estate you want to buy may prevent you from purchasing the real estate and may reveal the fact that the real estate is more worthless than you think.
For example, it may not be possible to build on an immovable that you choose from military zones, coastal areas or forest areas. Unaware of this impossibility, you can buy the immovable and incur losses.
In another example, it may be impossible to build on immovables by the sea due to natural and archeological sites, coastal lines, forests, national parks and similar restrictions. Every immovable on the coast should be handled specially, taking over the immovable without research may cause you to suffer irreversible damages.
“Compliant with the Law” will investigate and report all risks related to the location of the real estate for you, thanks to its working network throughout Turkey.
D) Risks Regarding the Zoning Plan and Cadastral Status of the Real Estate
Some immovables may have restrictions regarding the zoning plan and cadastre they are included in:
The fact that the immovable was built contrary to the principles shown in the zoning plan, for example; Being in illegal construction status due to the use of more construction area than the area where construction can be done in accordance with the zoning plan,
Finding measurement or stock errors while making a cadastral plan,
It should appear in the land registry, but is neglected.
II- SELLER RISKS
A) Problems Related to Unfinished Projects
A significant portion of the immovable properties sold to foreign citizens in Turkey are included in projects that are still under construction. At this point:
- the contractor of the project, the company’s history and financial situation,
- whether it can be delivered on time according to the progress of the project,
- the extent to which the construction has already been completed,
- Is it legally possible to transfer the title deed to you by the seller?
Answering such questions will minimize the risk of purchasing. Otherwise, the company that built the project will use an unsecured resource that belongs to you, by making you a partner in its own commercial risk. “Legal” investigates all risks related to the seller to protect you from companies that are not capable of delivering the promised real estate.
B) Risks Caused by the Financial Status of the Seller
In “Legal” construction projects, the financial situation of the seller is investigated from financial institutions and reports together with other risks for you, so you eliminate the risk of the construction of the real estate being unfinished due to financial reasons and not being delivered in accordance with the contract.
