Moving to Turkey in 2026: citizenship by real estate investment and cost of living

The Turkish income tax scale is progressive and revised every year, with the brackets revalued to take inflation into account. For the current year, the first bracket is taxed at 15%³ and the top marginal rate reaches 40%⁴.

This annual revaluation is a particular feature that must be factored in: in a context of high inflation, a non-indexed scale would mechanically push taxpayers into higher brackets. The thresholds published in one year are therefore not comparable with those of the previous year without adjustment.

Corporate income tax is set at 25%⁵ as a general rule, with differentiated rates applying to certain sectors, notably financial ones.

Dividends distributed by a Turkish company are subject to withholding tax of 15%⁶ since Presidential Decision No. 9286 of 22 December 2024; for a resident, half of the dividend is exempt and the withholding tax is credited against the tax due.

Transfers of wealth

Inheritance and gift taxes follow a bracketed scale, which is also revised annually. For inheritances, the rate starts at 1%⁷ on the first bracket. For lifetime gratuitous transfers, the top rate reaches 30%⁸ above the last threshold.

The gap between the treatment of an inheritance and that of a gift is therefore considerable, which makes the choice of transfer instrument decisive.

Foreign income of new residents

Since 2026, article mükerrer 20/D of the Income Tax Law, added by Law No. 7582, exempts the foreign-source gains and income of persons who settle in Turkey, for 20 years⁹ from the date of settlement. The person must have had neither a domicile nor a tax liability in Turkey during the preceding from 3 years¹⁰, counted in calendar years, and must request an exemption certificate; Turkish-source income remains taxed under the scale. The procedures were set by General Communiqué No. 333 of 4 July 2026.

We do not publish the rules for determining Turkish tax residence: they do not appear in the extracts of texts available to us, and they must be established before using the rates above.

One last factor must be weighed, which is monetary rather than fiscal: the volatility of the Turkish lira. Reasoning in euros about income and expenses denominated in lira produces very different results depending on the period chosen, and no tax rate offsets a prolonged depreciation.

Turkey is one of the few countries to offer the acquisition of nationality through investment at an accessible threshold, alongside its ordinary residence permits.

Citizenship by investment

Exceptional acquisition of citizenship is available in particular through the purchase of real estate with a minimum value of from $400,000¹¹, or the equivalent in foreign currency.

The purchaser must declare in the application that they undertake not to resell the property for 3 years¹². This commitment is recorded in the land registry: it is not a statement of intent but an enforceable charge.

An alternative route relies on an investment in fixed capital of at least $500,000¹³, certified by the competent ministry. Other options exist, notably through a bank deposit or job creation.

The difference in nature compared with European programmes should be noted: here, the investment grants nationality, not merely a residence permit. It is a change of civil status, with its consequences — possible military obligations, status in the case of dual nationality, specific tax treatment.

A short-term, renewable residence permit also exists for property owners, at lower thresholds, without granting nationality.

The thresholds and conditions of the residence permit for property owners, as well as the validity periods and the geographical restrictions applicable in certain saturated neighbourhoods, do not appear in our sources: we do not quantify them.

For a French national, the appeal of Turkish citizenship is therefore never mobility: it is, where relevant, access to a market, a professional base or a family tie. Presented as a "useful" second passport, the programme is poorly sold; presented as an economic gateway, it regains its coherence.

Acquisition by a foreigner is possible, subject to restrictions relating to the purchaser's nationality, to the surface area and to the location — military zones and certain strategic zones being closed.

The market has been profoundly shaped by the citizenship programme: part of the new-build supply in Istanbul and in coastal areas is calibrated to the investment threshold, with prices quoted in hard currency that do not necessarily reflect the value of the local market.

The central point of vigilance is valuation. The value used for eligibility under the programme is the subject of an official valuation report, and the gap between the price asked of a foreign buyer and the appraised value is a recurring source of disputes.

On top of this comes the holding commitment of 3 years¹²: the property is tied up, in a market whose liquidity for non-residents depends largely on the continuity of the programme itself.

We do not publish Turkish transfer taxes, property tax or the taxation of rental income: they do not appear in our sources.

The cost of living in Turkey is, converted into euros, markedly lower than in Western Europe. But it is the country in our selection where this comparison is the least stable, as domestic inflation and the exchange rate move at different paces.

We do not publish a typical monthly budget: we have not found an official Turkish series measuring a basket of expenses comparable to that of an expatriate, and a converted amount would quickly become outdated.

Three items deserve attention. Housing, where rents have risen very rapidly in the large cities, with a cap whose enforcement is uneven. International schooling, concentrated in Istanbul and Ankara. And healthcare, where the private sector is of good quality and attracts medical tourism, which supports its prices.

For a resident receiving income in euros, the depreciation of the local currency mechanically improves day-to-day purchasing power. The opposite effect applies to assets held in lira, and in particular to a property acquired in that currency.

1. Decide beforehand between citizenship by investment and a simple residence permit: the thresholds, commitments and personal consequences are in no way comparable;
2. have the official valuation report prepared before the purchase, not after, because it determines eligibility;
3. obtain the Turkish tax number and open a local bank account, both prerequisites for the acquisition;
4. check that the property is not located in a zone closed to foreigners and that the locality's quotas have not been reached;
5. deal separately with the question of tax residence, since obtaining a passport does not amount to a transfer of domicile.

We do not publish processing times for naturalisation by investment or for residence permits: we do not have an official, quantified and dated source.

The order of steps has a direct financial consequence here. The valuation report determines eligibility, and it is based on the value of the property, not on the negotiated price. A buyer who signs first and has the property valued afterwards sometimes discovers that the transaction, although paid for above the threshold, does not reach it within the meaning of the programme. The valuation must be commissioned before committing.

• The real estate investment threshold of from $400,000¹¹ has already been raised in the past: the amounts found in older brochures are no longer current.
• The holding commitment of 3 years¹² is enforceable and recorded in the registry: the property cannot be freely sold.
• The gap between the asking price and the appraised value is the main financial risk of the transaction.
• Citizenship carries lasting personal consequences, beyond the passport: they must be examined beforehand, not afterwards.
• The Turkish passport provides visa-free access to about 118¹⁴: for a European Union national, it represents no gain in mobility.

Finally, Turkey is the country in this selection where currency risk weighs most heavily in a wealth project. An investment denominated in hard currency in a market where rental income is in local currency creates a structural mismatch, which neither the advertised yield nor the advantage of the passport mechanically offsets.