
What Are the Rights of a Foreign Buyer if the Contractor Fails to Deliver the Property on Time?
Real estate acquisition in Turkey is an important investment decision, especially for foreign nationals. In this process, the timely and complete performance of the contracts made between homebuyers and contractors is of great importance. However, from time to time, situations such as the contractor failing to deliver the promised property within the specified period may be encountered. In such cases, the rights that foreign buyers have under Turkish law and the legal remedies they can pursue are examined in this article.
The Importance of the Real Estate Sales Contract When a property is purchased by a foreign buyer in Turkey, two types of contract processes are generally followed: a preliminary sales contract (ordinary written or notarized) and an official sales contract made at the land registry. If the property is still under construction or in the project phase, a "promise to sell real estate contract" or "preliminary contract" is drawn up between the contractor and the buyer. In these contracts, matters such as the features of the property, the delivery date, the payment plan, and the penalty clauses to be applied in case of delay must be clearly stated. Having the contract drawn up at a notary public or annotating it in the land registry is a critical step in terms of securing the buyer's rights.
Legal Basis in Case of Contractor's Delay in Delivery The situation where the contractor fails to deliver the property on the date specified in the contract is evaluated within the framework of the provisions of the Turkish Code of Obligations (TBK) and the Law on the Protection of the Consumer (TKHK).
Default (Temerrüt) Under the Turkish Code of Obligations According to the Code of Obligations, if the contractor fails to perform their obligation (delivery of the property) at the time agreed upon in the contract, they are considered to be in default. For the default to occur, the buyer is generally expected to send a formal notice (ihtarname) to the contractor, granting them a reasonable additional period to perform their obligation. However, if a definitive delivery date is specified in the contract or if the performance of the obligation is tied to the condition of defaulting upon notice, the necessity of granting an additional period may be eliminated.
Promise to Sell Real Estate Contracts Under the Law on the Protection of the Consumer The TKHK provides broader protection by considering the buyer as a consumer, especially in housing finance or prepaid housing sales. According to the law, the transfer or delivery period of the immovable property in prepaid housing sales contracts can be a maximum of thirty-six months from the contract date. If delivery is not made within this period, the buyer may have the right to withdraw from the contract and demand the refund of the amounts paid.
Rights of the Foreign Buyer The fundamental rights that a foreign buyer can exercise if the contractor fails to deliver the property on time are listed below:
-
1. Granting Additional Time and Demanding Exact Performance: The buyer can send a formal notice to the contractor, granting a reasonable additional period for the fulfillment of the obligation specified in the contract. If delivery is still not made during this period, the buyer retains the right to demand the exact delivery of the property. In this case, compensation for damages incurred due to the delay can also be claimed.
-
2. Right to Withdraw from the Contract (Termination): If the property is not delivered despite the granted additional period, the buyer can exercise the right to withdraw from the contract. With withdrawal, the parties return to their pre-contractual status. The buyer can demand the refund of the amounts paid along with legal interest and the compensation of negative damages (expenses made in reliance on the contract) incurred due to the non-performance of the contract.
-
3. Claiming Delay Compensation and Penalty Clauses: If there is a penalty clause agreed upon in the contract to be paid in case of delay, the buyer can demand this amount. Furthermore, compensation for damages arising from the delay in the delivery of the property due to the contractor's default (positive damages such as loss of rental income, alternative accommodation expenses) can also be requested. The demand for delay compensation can be asserted together with the demand for exact performance, or it can be claimed in the event of withdrawal from the contract if the conditions are met.
-
4. Protection Provided by the Preliminary Contract Annotated in the Land Registry: If the promise to sell real estate contract is annotated in the land registry, the buyer's right is strengthened and can be asserted against subsequent owners. This situation serves a protective function for the buyer by preventing the property from being sold to third parties or having other transactions carried out on it.
Legal Process The legal process to be followed in case of the contractor's delay in delivery generally includes the following steps:
-
Sending a Formal Notice: A formal notice is sent to the contractor via a notary public, notifying them that they are in default and that the obligation must be performed within a certain period.
-
Mediation: As in many commercial disputes, it may be mandatory to apply for a mediation process before filing debt and compensation lawsuits arising from real estate sales.
-
Filing a Lawsuit: If an agreement cannot be reached during the mediation process, a lawsuit for exact performance, withdrawal from the contract, or compensation can be filed in the competent Civil Court of First Instance or Consumer Court (depending on the nature of the dispute).
Recommendations for Foreign Buyers There are some points that foreign nationals acquiring real estate in Turkey should pay attention to in order to effectively protect their rights in potential legal disputes:
-
Detailed Examination of the Contract: It is highly recommended that the sales contract be reviewed by an experienced lawyer, especially regarding the delivery date, penalty clauses, payment plan, and withdrawal provisions.
-
Collection of Evidence: All correspondence, payment receipts, commitments, and notifications regarding the delay must be kept regularly.
-
Legal Consultancy: In the event of encountering situations such as delivery delays, obtaining legal consultancy from a lawyer who masters the Turkish legal system and specializes in foreigners law and real estate law, and conducting the process through a lawyer, is of great importance to prevent the loss of rights.
This article has been prepared to provide general information regarding the rights of foreign buyers if the contractor fails to deliver the property on time. Since every concrete case has its own unique conditions, an expert lawyer should be consulted for a detailed legal assessment and roadmap.
More content:
- Rights of Foreign Buyers for Delayed Property Delivery in Turkey (2026)
- Understanding Turkish Inheritance Law for Foreigners: Key Steps & Legal Insights
- Residence Permit Requirements for Foreign Property Owners in Alanya (2026 Updated)
- 5 Major Mistakes Foreigners Make When Buying Real Estate in Turkey (2026)
- Inheritance Law for Foreigners in Turkey: Navigating Succession Rules and Legal Procedures
- Inheritance Law in Turkey for Foreigners: A Comprehensive Guide
- Buying Property in Alanya for Foreigners: Title Deed Process (2026)
- Turkish Inheritance Law for Foreigners: A Comprehensive Guide to Assets in Turkey
- Understanding Inheritance Law for Foreigners in Turkey: A Comprehensive Guide
- Inheritance Law for Foreigners in Turkey: What You Need to Know
- Inheritance Law for Foreigners in Turkey: Navigating Succession When a Loved One Passes Away
- What Foreigners Need to Know: A Comprehensive Guide to Buying Property in Turkey
- Inheriting Property in Turkey: A Guide for Foreign Nationals on Turkish Inheritance Law
- Buying Property in Turkey as a Foreigner: A Comprehensive Legal Guide
- Inheritance Law in Turkey for Foreigners: What Happens to Assets?
- Inheritance Law for Foreigners in Turkey: A Comprehensive Guide
- Buying Property in Turkey as a Foreigner: A Step-by-Step Legal Guide
- How Do Foreigners Buy Property in Turkey? A Step-by-Step Legal Guide for Safe Real Estate Investment
- Understanding Turkish Inheritance Law for Foreigners: A Comprehensive Guide
- Turkish Inheritance Law for Foreigners: A Comprehensive Guide to Assets in Turkey
- Inheritance Law in Turkey for Foreigners: What Happens to My Assets?
- Buying Property in Turkey as a Foreigner: A Comprehensive Legal Guide
- Inheritance Law for Foreign Nationals in Turkey: A Comprehensive Guide
- Inheritance Law for Foreigners in Turkey: Navigating Succession and Estate Procedures
- Inheritance Law in Turkey for Foreigners: What You Need to Know
- Inheritance Law for Foreigners in Turkey: A Comprehensive Guide
- Understanding Inheritance Law for Foreigners in Turkey: A Comprehensive Guide
- Inheritance Law for Foreigners in Turkey: Navigating Turkish Succession Rules for Your Assets
- Inheritance Law for Foreigners in Turkey: A Comprehensive Guide for Non-Turkish Nationals
- A Comprehensive Guide to Acquiring Turkish Citizenship by Real Estate Investment in 2024
Turkish
English
German
Russian