What Can You Do If the Construction Company Fails to Deliver the Apartment or the Title Deed?

As of 2026, a significant number of buyers who purchased homes in off-plan construction projects in Turkey still have not received their keys months, and sometimes years, after the delivery date stated in their contract. Delays have become the rule rather than the exception, particularly in urban regeneration and land-for-flats (kat karşılığı) projects carried out in major cities. The problem is not limited to the physical non-delivery of the apartment; in some cases, even after construction is completed, the transfer of the title deed (TAPU) can be postponed for months.

These two situations, non-delivery of the apartment and non-transfer of the title deed, are legally resolved through different mechanisms, and the type of contract the buyer holds directly determines which step should be taken and when. This article examines that distinction and the practical process a buyer can follow.

Why Does the Type of Contract Matter?

In residential projects, the relationship between the buyer and the contractor or landowner is generally based on one of three types of contract: a land-for-flats construction contract (kat karşılığı inşaat sözleşmesi, an agreement between the landowner and the contractor into which the third-party buyer enters at a later stage), a promise-to-sell agreement (gayrimenkul satış vaadi sözleşmesi, executed before a notary and containing a future commitment to transfer title), and a pre-paid off-plan sale (ön ödemeli konut satışı, a sales model in which part or all of the price is paid in advance before the project is completed).

Consider, for example, a foreign investor in Istanbul who purchases an apartment on a pre-paid basis from a project where construction has not even broken ground yet. Such a contract falls under the Law on the Protection of Consumers, which grants the buyer the right, once the seller’s stated delivery period has expired, to terminate the contract outright or demand delivery, with no further conditions attached. By contrast, where the landowner is a party to a land-for-flats contract, the rights of the third-party buyer depend on how they became part of that relationship, whether by assignment, a preliminary agreement, or a direct sale. The first step, therefore, is to clearly determine which category your own contract falls into.

When the Delivery Date Has Passed: Is a Formal Notice Required, or Can You Act Immediately?

Even among practitioners, there is no clear consensus on this point. Some lawyers insist that a formal notice of default (ihtarname) must always be sent, granting the seller an additional period, before filing suit or terminating the contract. The general default provisions of the Turkish Code of Obligations, however, state that where the contract fixes a definite delivery date, the debtor falls into default automatically once that date passes, with no further notice required.

In our view, where the contract specifies a clear and definite date, waiting months to send a notice is nothing but a waste of time; during that period, the buyer effectively delays both the accrual of interest and the exercise of the right to terminate. Suppose the contract states delivery “by 31 December 2025” and that date has passed; the buyer can claim compensation for the delay, or terminate the contract and demand a refund of the amount paid, without sending any further notice. If, instead, the contract uses vague language, such as an approximate delivery period rather than a fixed date, then sending a written notice to put the seller in default is the safer course of action, since with an indefinite term, establishing exactly when default began can become an evidentiary problem.

If the contract provides for a penalty clause, that penalty can be claimed directly, provided it is not excessive; furthermore, if the buyer can prove that the actual loss exceeds the penalty amount, the excess may also be claimed.

If the Title Deed Is Never Transferred: The Action to Compel Registration

In some cases, construction is actually completed and the apartment is delivered, yet the title deed is never transferred into the buyer’s name. This usually stems from a dispute in the internal relationship between the contractor and the landowner, building registration issues, or a deliberate delay. Consider, for instance, a buyer who purchased an apartment in a project in Beyoğlu and has been waiting two years for the title deed: they are actually living in the apartment, but the registered owner is still the contractor or the landowner.

In this situation, the remedy is an action for cancellation of title and registration (tapu iptali ve tescil davası, also referred to in practice as an action to compel registration). This action must be filed with the court where the property is located; this jurisdictional rule is a matter of public policy and cannot be altered by agreement between the parties. The buyer’s possession of a notarized promise-to-sell agreement or a written sales contract forms the basis of the claim. Where an annotation (şerh) has been placed on the title deed, its time limit must also be watched carefully; filing suit before the annotation expires, or renewing it in time, is essential to preserving its protective effect against third parties.

If the property has been transferred to a third party, it must be established whether that party acted in good faith; a registration claim against a good-faith third party generally will not succeed, in which case the buyer’s remedy shifts to a claim for damages.

An Additional Layer for Foreign Investors: Citizenship-Linked Projects

For foreign buyers planning to apply for Turkish citizenship by investment through real estate, delay takes on an additional dimension. The valuation report, title deed registration, and documentation of the transfer of the purchase price are all part of the application process; if the title deed transfer is delayed, the related application timeline is directly affected.

Suppose an investor from the United Kingdom purchases a pre-paid apartment in a project that meets the investment threshold and is waiting for the title deed transfer to be completed; in this process, both the contractual rights and the administrative application timeline must be tracked in parallel. For other points foreign buyers should watch for in title deed transactions, it may be useful to review what to watch out for when buying a title deed; common mistakes are addressed separately in mistakes foreign investors make when buying real estate.

The Practical Sequence to Follow

So concretely, which steps should be taken, and in what order? First, clarify the type of contract you hold and whether the delivery date is definite or indefinite. Next, if a definite date has passed, proceed with a claim for delay compensation or termination; if the date is indefinite, send a written notice of default first. If the title deed has not yet been transferred, check the term of any annotation on the title deed, renew it if necessary, and act promptly to file an action to compel registration.

Another point that should not be overlooked in this process is the general statute of limitations: for claims arising from contract, the ten-year general limitation period set out in the Turkish Code of Obligations continues to run, and remaining passive throughout that period can later work against the buyer in terms of evidence and interest calculations.

In summary:

• Determine the type of your contract and whether the delivery date is definite or indefinite.
• If a definite date has passed, proceed directly to your claim without sending a notice; if it is indefinite, send a written notice of default.
• If a penalty clause exists, claim it, and document your actual loss if it exceeds the penalty amount.
• If the title deed has not been transferred, check the term of any annotation and file the action to compel registration in time.
• If you are a foreign investor, do not assess your administrative application timeline independently of the title deed process.

The specific details of each individual case can change which remedy is more appropriate; the steps outlined above therefore provide a general framework and do not guarantee any particular outcome.