Raising the price of real estate in Turkey by 18% !!!

At the beginning of 2013, Turkey's Ministry of Finance introduced a law that revised the VAT rate. Developers will pay 8% of the homes of less than 150 m², the prices of which range from 285 to 570 dollars. / M (500 to 1000 YTL / m²); 18% of the homes of less than 150 m², whose prices exceed 570 dollars. / M² (1000 YTL / m²). For the home area of ​​150 m² will continue to pay VAT of 18%. The law for the new property, located in the city and suburbs. This means that almost all the houses to be built in the cities, will be taxed, with the rate of 18%. Many companies operating in the construction sector, have declared that they will have to share the tax burden to consumers by raising prices. Otherwise, business will suffer serious losses and become unprofitable.According to experts of the market, in 2013, will be issued about half the size of building permits than in 2012 (700 thous. Permits). Houses, licenses for which were obtained before the VAT increase is likely to be sold out. Thus, the increase in prices for new buildings Antalya is expected in the near future. In this sense, in Bodrum, this increase will only happen next year, when the peninsula will bring together all of its civic center one, received the status of a big city.