The Turkish government has been keen to attract foreign investment and has previously relaxed elements of Turkeys restrictive property ownership laws with the enactment of the Foreign Direct Investment Law (FDI) which placed no restrictions on foreign property ownership. This new law has been challenged in the Constitutional Court by 2 deputies in the Republican Peoples Party, arguing that there was a lack of clarity in subsections of the Foreign Direct Investment Law, and that the act unlawfully abolished long standing restrictions on foreign ownership.
As a result of the legal challenge, all property sales to foreigners were suspended from the 16th of April. The Turkish constitutional court has cancelled a single article of the Foreign Direct Investment Law that allowed the government the authority to remove the 2.5 hectare limit on individual foreign property ownership.
The constitutional courts ruling, is an embarrassment to a government that has been eager to encourage the growth of tourism, and saw foreign ownership of resort property as a prime method. The foreign property investment market has seen over one and a half billion of inward investment in the last 3 years alone.
A new act of parliament that seeks to overcome the issues raised by the court has been written, and the government is hopeful that this will very soon lead to a resumption of foreign property sales.
The papers are quite happy to keep reporting all the doom and gloom of today because it sells papers much better than good news. Every day we hear of wage slumps, strikes, rising cost of fuel and food and the drop in the housing market. Of course, people are all affected by these things but is it as drastic as they like to claim? There are still quite a lot of people comfortably affording their homes, booking holidays and investing in property.
Understandably, many are reluctant to invest in UK properties because of the slow market but if the cash is available then why not buy a foreign property? There is then the option to either move overseas or rent it out, earning a nice little income and saving yourself a retirement home. But where to buy? We see in the news many countries experiencing the same economic problems as the UK so we should pick wisely where to put our money.
For an up and coming country to sink your money into, why not look at Estonia? There are many reason s that make this the perfect area to buy foreign property so let's take a look.
Labour wages are rising every year in Estonia. This has pushed up the construction price index and this will soon be reflected in house prices. It will also have a knock effect to the price of older houses. Therefore, it is always best to get in before they do.
When Estonia joined the European Union, over 695 million Euros was poured into the country for development. A further 5.1 billion Euros is set to be invested in this country over the next five years. This is all going towards the country's infrastructure: roads, airports, hospitals, education and to improve the general standard of living. The job market will be crying out for people so work is not a problem. Once this has all been done, house prices will shoot up as this will be foreign property well sought after.
Tallinn, the capital of Estonia is privy to 81 per cent of all foreign investments into Estonia, making it a city that others in the know want to invest in. This must tell us something. Because of the outside investment that will be ploughed into business, more jobs will be created bringing in more people and creating a need for more accommodation.
Estonia is now the highest Eastern European country on the Global Growth Competitive Index. At position 20 it even comes higher than Hong Kong. Their high tech abilities are up there with the rest of the world. In fact, they intend to be completely wireless by the end of this year. It is also expected to be the financial centre for Western Europe and Russia.
Building is moving on a-pace in Estonia. If you're looking for a new build foreign property, this is the ideal place. High quality apartments and houses are going up all the time and now is the time to snap up a bargain, in readiness for renting to all the new employees that will be looking for accommodation.
Competition between Estonian banks is high, leading to low interest rates. This makes the property more affordable in the beginning. They are happy to lend to foreign investors and you won't have much trouble getting a 75 per cent mortgage. The economy of Estonia in general has been swiftly moving onwards and upwards for some time and it looks set to continue on that path for the next twenty years according to predictions.
Another area of growth in this country is tourism. The tourism business has been growing since people became more aware that the country is now stable, high tech and very beautiful. If you are looking to invest in foreign property you could do much worse than invest in a holiday home here.
These are just a few reasons that make Estonia a good place to be looking at but it won't be long before lots of people have the same idea. Outside investment is great for the country's economy and a strong, stable economy is good for the investors. Get in there now before prices rise!
Both Amy Morgan & Catherine Harvey are contributors for EditorialToday. The above articles have been edited for relevancy and timeliness. All write-ups, reviews, tips and guides published by EditorialToday.com and its partners or affiliates are for informational purposes only. They should not be used for any legal or any other type of advice. We do not endorse any author, contributor, writer or article posted by our team.
Amy Morgan has sinced written about articles on various topics from Real Estate, Finances and Real Estate. Amy Morgan is a journalist writing on for. Amy Morgan's top article generates over 4400 views. to your Favourites.
Catherine Harvey has sinced written about articles on various topics from Culture and Society, Home and Wedding Gowns. Property expert Catherine Harvey looks at the newest place for investment.. Catherine Harvey's top article generates over 1500000 views. to your Favourites.