Those Who Built Their Own Buildings in Urban Transformation

Owners of risky buildings, tenants or holders of limited real rights, business owners, or those who have been tenants in a business premises for more than one year, who have reached an agreement with the state, are provided with support. According to Article 6 of Law No. 6306, these individuals are granted loans, land, or housing certificates subject to the terms of the agreement.

Credit support

According to Article 12 of the Credit Regulation, loans may be provided by the Ministry from the special account for transformation projects to owners of risky buildings that have been evacuated, demolished, or expropriated by agreement, or to individuals who have resided or had a business in such buildings as tenants or holders of limited real rights for at least one year, and who wish to rebuild their homes and workplaces using their own resources
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Payment terms

For those who wish to build their own home or workplace using their own resources,
a loan is approved with a 25% down payment. The remaining amount will be transferred to the borrower's account in three equal installments, taking into account the progress of the construction. Repayment of the loan will begin after the construction is completed.

Control

The Ministry has the authority to monitor those who use the loans. In other words, the Ministry can check whether the loan is being used for its intended purpose.

Transfer of loan

It is also possible to transfer the loan debt. However, according to the third paragraph of Article 16 of the Loan Regulation, in order for the loan debt to be transferred, the house acquired with the loan must be transferred or purchased by someone else who meets the same conditions as the borrower. Otherwise, the debt will be made due and payable by the Ministry in accordance with the procedures and contractual provisions and collected accordingly.

For more information and support on this matter, you can consult with our firm's experienced lawyers