Foreign brokers in Antalya exploit WhatsApp loopholes to evade taxes

Antalya, a city renowned for its thriving real estate market, is now grappling with a growing crisis. As the third most active city for property sales in Türkiye, it has attracted many foreign buyers. However, this influx has also led to a surge in unregulated real estate activities, disrupting the market and leading to significant tax evasion.

What factors contribute to illegal property purchases in Antalya?

The rise in foreign nationals acquiring Turkish citizenship through property purchases has significantly altered Antalya’s real estate landscape. While only 20 foreign real estate agents are officially registered with the local tradesmen’s association, an estimated 2,000 are operating illegally.

These unregistered agents charge commissions as high as 10% to 15%, far exceeding the standard 2% charged by local agents. The revenue from these transactions often goes untaxed, directly impacting the local economy.

Foreign agents rule violation via WhatsApp

The Turkish Ministry of Trade has introduced new regulations to curb unregistered real estate activities. These measures include mandatory identity verification on property listing websites to prevent unauthorized postings.

However, foreign agents have found a way to circumvent these rules by conducting transactions through social media and WhatsApp, continuing their operations while avoiding tax obligations.

Local agents warn of possible risks

Ismail Caglar, head of the Antalya Real Estate Agents Association, has raised concerns about the impact of these practices on local businesses.

Our licensed agents are being undercut by unregistered foreign agents who charge much higher commissions without paying taxes. This not only disrupts the market but also deprives the state of significant revenue

Ismail Caglar

Caglar emphasized the need for stronger enforcement of the new regulations, particularly in monitoring transactions conducted via social media and messaging platforms like WhatsApp.

The government must take immediate action to close these loopholes and ensure that all real estate transactions are properly regulated

Ismail Caglar