Understanding the 3-Year Holding Period for Investments in Turkey: A Guide for Investors

3-Year Holding Period for Investments in Turkey is one of the most critical rules investors must follow when applying for Turkish Citizenship by Investment. Under Turkish law, eligible investments such as real estate, bank deposits, or capital contributions must be maintained for a minimum of three years to qualify for citizenship. This requirement not only ensures that investors are serious about their financial commitment but also strengthens the Turkish economy by fostering stability.

For global investors seeking a second passport, Turkey offers a strategic location, a strong investment market, and visa advantages such as access to the U.S. E-2 Investor Visa and Schengen long-term visas. In this guide, we explain the rules, legal aspects, benefits, and practical insights you need to understand about the 3-Year Holding Period—and how to comply successfully.

What is the 3-Year Holding Period for Investments in Turkey?

Basic Definition

The 3-Year Holding Period refers to the legal requirement that foreign investors must hold their qualifying investment—whether real estate purchase, bank deposit, capital investment, government bonds, or job creation—for at least three years. During this time, the investment cannot be sold, withdrawn, or liquidated.

Connection with Turkish Citizenship by Investment

This rule is a cornerstone of the Turkish Citizenship by Investment (CBI) Program. Investors who purchase property worth at least $400,000 or deposit $500,000 into a Turkish bank account must agree to maintain that investment for three years. Compliance is verified by official government certificates, such as the Certificate of Conformity.

Common Misunderstandings Investors Should Avoid

• Early Withdrawal: Selling property or withdrawing funds before three years will result in revocation of the citizenship process.

• Shared Ownership Issues: Only investments that individually meet the minimum threshold qualify.

• Incorrect Valuation: A property must pass an official valuation report (Ekspertiz Raporu) to be recognized as eligible.

Why the 3-Year Holding Period Matters for Investors

Legal Significance under Turkish Law

Turkish Citizenship Law No. 5901 and related regulations mandate the 3-year rule to safeguard the program’s integrity. It ensures that citizenship is granted only to those making genuine, long-term contributions to Turkey’s economy.

Protection of Long-Term Investments

By requiring investments to remain locked for three years, Turkey guarantees stability in real estate, banking, and business sectors. This not only protects the national economy but also shields investors from speculative risks.

Impact on Citizenship Applications

Compliance with the 3-Year Holding Period is directly tied to the approval of Turkish Citizenship by Investment applications. Authorities will review title deed annotations (Tapu Kilidi) or bank blockage letters before issuing final citizenship.

How to Comply with the 3-Year Holding Period Rule

Eligible Investment Types

• Real Estate Investment: Purchase of property worth at least $400,000, registered with a 3-year no-sale annotation on the title deed.

• Bank Deposit: Minimum $500,000, converted into Turkish Lira and blocked for 3 years.

• Fixed Capital Investment / Business: Contributing to a Turkish company or establishing one that creates jobs.

• Government Bonds / Funds: Approved financial instruments with a 3-year lock-in.

Required Documents and Official Registration

Investors must obtain:

• Foreign Exchange Purchase Certificate (Döviz Alım Belgesi)

• Blockage Letter from the bank

• Certificate of Conformity from relevant ministries

• Title Deed Annotation for property investments

Monitoring and Maintaining Compliance

• Work with licensed lawyers in Turkey (such as English-speaking investment lawyers at Kurucuk & Associates, Istanbul).

• Ensure all transfers go through Turkish banks.

• Keep regular communication with your legal team to avoid missed deadlines or compliance errors.

Benefits of the 3-Year Holding Period for Investors

Security and Stability of Investment

The holding period ensures investments are shielded from short-term market volatility while accruing potential returns (e.g., high Turkish Lira interest rates on deposits, or property appreciation in Istanbul’s booming real estate market).

Pathway to Turkish Citizenship by Investment

Maintaining the 3-year lock is the direct gateway to citizenship, passports, and the right to live, work, and study in Turkey.

Investor Confidence and Government Guarantees

The structured process—supported by government-issued certificates—offers legal protection and transparency, building confidence for international investors.

Legal Aspects & Practical Considerations

What Happens if Investment is Sold Early?

If property is sold or funds withdrawn before the 3-year period, the Certificate of Conformity is revoked, and the citizenship application is denied or annulled.

Role of Turkish Lawyers and Government Authorities

Lawyers guide investors through power of attorney, bank procedures, residency permits, and title deed annotations. Government bodies such as the Ministry of Environment and Urbanization, BRSA, and Population and Citizenship Affairs monitor compliance.

Case Examples / Common Mistakes to Avoid

• Buying property without checking encumbrances or liens.

• Failing to obtain official valuation reports.

• Attempting to bypass the holding rule through fraudulent “buyback guarantees.”

Expert Insights on the 3-Year Holding Period

Advice from Investment Lawyers in Turkey

According to Kurucuk & Associates Law Firm in Istanbul, “The key to a successful Turkish Citizenship by Investment application is meticulous compliance with the 3-Year Holding Period. Every stage—from title deed annotation to bank blocking—must be correctly executed.”

Tips to Maximize Returns While Complying

• Opt for fixed-term bank deposits with higher interest rates.

• Choose high-demand real estate projects in Istanbul for stronger appreciation.

• Consider diversification (real estate + bank deposits) within the framework of the law.

Frequently Asked Questions about the 3-year holding rule for Turkish citizenship by investment

What is the 3-year holding rule for Turkish citizenship by investment?

It is a legal requirement to keep your qualifying investment—property, bank deposit, or other approved assets—for at least 3 years.

Can I sell my property in Turkey after getting citizenship?

Yes, but only after the 3-year holding period is completed. Selling earlier can risk revocation of the process.

How strict is the 3-year holding period for Turkish citizenship?

It is strictly enforced by Turkish authorities. As M. Özgür Kurucuk notes, even minor violations can lead to denial or cancellation of citizenship.

What happens if I sell my investment before 3 years for Turkish citizenship?

Your Certificate of Conformity is cancelled, and the citizenship application is rejected or annulled.

Does the 3-year holding period for Turkish citizenship start from the purchase date or the citizenship date?

It starts from the date the investment is officially registered—such as the property title deed annotation or bank blockage letter.

What types of investments are subject to the 3-year holding rule in Turkey?

• Real estate worth at least $400,000

• Bank deposits of $500,000

• Government bonds or approved funds

• Capital investments or job-creation enterprises

Is the 3-year rule for Turkish citizenship applied to the main applicant only or also to family members?

It applies to the main applicant’s investment. Spouses and children obtain citizenship as dependents without additional investments.

Can I rent out the property during the 3-year holding period for Turkish citizenship?

Yes. Renting is allowed, as long as the property is not sold or transferred.

Are there any exceptions to the 3-year holding requirement for Turkish citizenship?

No. There are no exceptions—compliance is mandatory for all eligible investments.

How does the Turkish government verify compliance with the 3-year holding period?

Authorities check official records such as title deed annotations, bank blockage letters, and certificates issued by relevant ministries.

What documents prove I have held the investment for 3 years in Turkey?

Key documents include the title deed with a 3-year annotation, bank blockage letter, and the Certificate of Conformity.

Can I use a bank deposit for the citizenship investment and withdraw it after 3 years?

Yes. After completing the 3-year period, the funds can be withdrawn or reinvested without affecting citizenship status.

What are the consequences of violating the 3-year holding agreement for Turkish citizenship?

Violation results in application rejection or citizenship revocation. That’s why Kurucuk & Associates emphasizes strict compliance from day one.

Get Expert Guidance on Turkish Citizenship by Investment

Our experienced English-speaking lawyers at Kurucuk & Associates, Istanbul specialize in guiding investors through every step of the process. From ensuring compliance with the 3-Year Holding Period for Investments in Turkey to securing your Turkish passport, we provide end-to-end legal support.

📞 Contact us today to protect your investment and secure your future with Turkish Citizenship by Investment.