Revision of Turkish mortgages laws 'unlikely in the near future'
A revision of Turkey's recently introduced mortgage laws in unlikely to occur in the near future, according to new claims from one expert.
Oxford Business Group (OBG), an economic research and briefings company, has said that the new laws were met with "considerable fanfare" upon their introduction as they are expected to widen access Turkish property.
However, no tax breaks for mortgages emerged in the new laws - something that is not likely to change because the Turkish government needs to expand its tax base, according to Ilgrin Erdogan, an equity research manager with AK Securities.
He told OBG: "The biggest problem the government faces is collecting taxes, so I do not expect a revision of the mortgage law in the near future."
The company also states that many people seeking Turkish property find higher interest rates a bigger problem than a lack of tax breaks - so are waiting for interest rate cuts a result, although this might not happen soon.
The new mortgage laws in Turkey were introduced in February 2007 to drive a new property market driven by borrowing, as in the case of most of the European Union - an organisation the country would like to be a part of.
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