New-build apartments in Turkey carry KDV (VAT) at 20%. On a $200k apartment that's $40k. It's the most expensive tax you'll never hear about from a Turkish developer — because they'd rather build it into the sticker and pocket it.
The foreign-buyer exemption has been in place since 2017. Conditions (2026):
1. Buyer is a non-resident foreign national, OR a Turkish citizen who has lived outside Turkey for 6+ consecutive months. 2. Property is new-build, first sale from the developer (never previously sold). 3. Payment is made from abroad in foreign currency (USD, EUR, GBP, etc.), documented by a SWIFT-traceable bank transfer. 4. Property is held for 3 years minimum. Selling within the window triggers VAT clawback with interest.
The third condition is the most commonly broken in practice. If you wire TRY from a Turkish account, or cash is converted locally before the transfer, the exemption is invalidated. The bank's Döviz Alım Belgesi (foreign-exchange purchase document) is your audit trail — keep it.
The three-year trap catches investors. If you sell in year 2.5, the developer's VAT liability transfers to you, plus interest. The Tapu office cross-references sale dates and foreign-buyer flags. Enforcement is automated and routine.
Who should use it? Anyone buying new-build from a reputable developer with a clean payment path. Anyone buying resale — no exemption available, save yourself the research.
Who shouldn't? Anyone planning to flip within 3 years. Your effective VAT cost on exit will exceed the savings.