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Real Estate Fraud: Falsifying Facts

Date Published:

May 25, 2017

Last Updated:

January 27, 2023

The Turkish real estate market is full of various construction projects, some of which are achieving great success, and others that stop for many reasons. As a result of the spread of real estate fraud cases, especially among real estate marketers, they find methods of falsifying facts to market these failed projects and creating reasons that are in line with the Turkish economic and political conditions to push investors to buy in projects that have been suspended for years and it is not known when it will be completed.

The fraud is evident when stories are fabricated about the reason for stopping the project different from the real reason, in addition to allegations that the Turkish government will complete these projects, which makes the investor feel safe about receiving the apartment and the possibility of its price and investment value rising later.
But before you get involved in buying an apartment in a project of this kind, you must make sure of the following information so as not to fall victim to falsification of facts:
Who is the direct authority responsible for the project, what is the name of the construction company and how is its reputation in the Turkish real estate market?
- What is the real reason behind the project stopping? There may be a legal or financial problem that caused the project to stop.
What is the reason behind the apparent decrease in the price of apartments in this project compared to similar projects?
- To inquire about whether there were investors who have bought in the project before, and about the possibility of reselling the apartment after purchasing it, and the timing of receiving the apartment ready.
- Communicate with government agencies and reliable real estate companies to ensure the information promoted by marketers.
What are the reasons for stopping construction projects?
Bankruptcy: The bankruptcy of the party financing the project is one of the most common causes of project failure, as the project stops and remains in the hands of the parties to which the project owner owes.
A dispute over the ownership of the land: or the percentage of distribution of apartments and profits if there are partners in the project.
The death of the project owner and the emergence of inheritance issues and related disputes.
- The project's violation of government standards in construction quality, materials used, and safety and security systems used in the project.
The existence of a reservation on the project as a result of legal violations.
What is the truth about the government guarantee on stalled projects?
In some projects, those responsible for them borrow loans from the Turkish government to complete them, and then they are unable to pay back for various reasons. It happens that the government seizes the project as a kind of compensation, but this seizure does not constitute a government promise to complete the project, finish it, and hand it over to the investors.
The Turkish government and its well-known construction companies, such as Emlak Konut and Toki, have timelines for large projects that they are committed to completing and give priority to. And if it happens and the government decides to complete the stalled project and hand over its apartments, then this will take a long time that may extend for years, and therefore the delivery time will be unknown, and the investor will not be able to benefit from the property by renting it, reselling it, or even living in it, and the capital will remain frozen for a long period, which means a loss in the short and long term. .
How to avoid real estate fraud in falsifying facts about projects?
Dealing with well-known and reliable companies is the best solution to avoid falling victim to real estate fraud by falsifying the realities of investment projects in Turkey. At the level of construction companies, there are major companies that have a good reputation in the market, whether those affiliated with the government or reliable private companies. Dealing with them largely guarantees the receipt of the property on time.
Attention should also be paid to the real estate company marketing the projects, as it must carefully choose a company known for its reliability, high transparency, and the accuracy of the information it provides to its clients. In this regard, Turkey Dream Apartment Kamiran offers a distinguished free service by giving honest and correct advice about the construction status of any real estate project in Turkey and sincere advice about the usefulness of buying in the project or not.

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