Luxury and Ordinary Buildings Do Not Use the Same Cost Values

For residential property, the published table separates buildings by construction class.

• The luxury residential category ranges from TRY 12,642.67 to TRY 27,712.26 per square metre.
• First-class residential buildings range from TRY 5,335.40 to TRY 18,532.07.
• Second-class from TRY 3,758.56 to TRY 12,555.79.
• Third-class from TRY 1,269.61 to TRY 8,551.49.
• Simple construction from TRY 604.10 to TRY 3,856.64.

These figures need careful interpretation.

This Is Not a Government Market-Price List

A luxury construction value of TRY 27,712.26 per square metre does not mean the government believes a luxury Turkish home is worth that amount on the open market.

The figures are statutory construction-cost components used in calculating property-tax value.

Turkey's Property Tax Law combines normal building construction costs with land or land-share value and other legally prescribed elements in determining the relevant tax value.

Multiplying an apartment's floor area by the table's maximum figure therefore does not produce its market price or necessarily its final taxable value.

Building Classification Becomes Part of Due Diligence

Two visually similar villas can produce different municipal calculations because of:

• construction classification;
• floor area;
• land value;
• land share;
• age;
• other statutory factors.

For a premium acquisition, buyers should therefore request more than the current annual tax bill. They should understand how the municipality classifies the building.

That is particularly useful when comparing two villas with similar asking prices.

The Complete 2027 Tax Position Is Not Yet Known

Only part of the 2027 framework is now available.

The Revenue Administration's current planning report says that additional 2027 property values, minimum land and plot values and the 2027 thresholds used for Valuable Housing Tax are planned to be determined and published by 31 December 2026.

Any adviser claiming to know the exact 2027 tax for every property today would therefore be getting ahead of the official process.

Think in Five-Year Ownership Costs

An investor should not analyse a Turkish property only by acquisition price.

For a serious holding-period calculation, include:

• municipal tax;
• Valuable Housing Tax where applicable;
• insurance;
• management fees;
• maintenance and refurbishment.

A property that appears cheaper at purchase can be more expensive to own.

RestProperty's Approach

RestProperty can add a 5-Year Cost of Ownership calculation to premium-property comparisons, covering tax classification, recurring municipal tax, insurance, management fees and maintenance rather than showing buyers only the purchase price.

📌 This article is for informational purposes. Before making any investment decisions, verify current tax rates and procedures with the relevant municipality and consult an independent tax advisor.