Living in Turkey 2025: Expat Guide

Turkey’s true value for a global entrepreneur or expat lies in a duality few other nations can match. 

It is a place where the economic volatility you read about in the news can directly fuel lifestyle advantages on the ground. 

The result is the ability to swap a GBP£7,000 monthly burn rate in a city like London for a superior quality of life in Istanbul at a fraction of the cost. 

Such a direct reallocation of capital liberates large sums annually from the grasp of high taxes and consumption.

Operating effectively in this environment demands a grasp of an administrative culture where personal relationships and a good local fixer are more valuable than the official rule book. 

It also means learning to think in two currencies at once, earning in dollars or euros while leaning on the Lira’s fluctuations for daily purchasing power.

The greatest rewards are there for the expats who truly master the environment.

The first move, therefore, is to quantify these variables. 

Such an assessment involves placing the tangible financial and lifestyle advantages on one side of the ledger. On the other hand, the operational demands mean resilience is needed to thrive there. 

Pros and Cons of Living in Turkey as an Expat

Living in Turkey offers a mix of advantages and disadvantages. Key benefits include a lower cost of living compared to many Western countries, a warm climate and a rich culture with friendly people. However, challenges also exist. 

The Pros

The primary advantage extends beyond housing to include:

• Low cost of living
• Low operational business costs
• Affordable premium services
• Large expat community
• Access to excellent private healthcare at a fraction of the price in the West
• Turkey’s strategic location functions as a stable base for managing interests across Europe, the Middle East and Asia, with major hubs just a short flight away 
• A fast residency process, often obtained through real estate ownership, is simple by international standards. 
• A territorial tax system means that income sourced from outside the country is generally not taxed, permitting you to protect and grow your capital with remarkable efficiency. However, Turkey’s system is more complex and foreign income may be subject to relief, but not all is automatically exempt.

The Cons 

On the other hand, the potential challenges of life in Turkey include:

• In this high-inflation environment, the constant volatility of the Turkish Lira requires minimising local cash holdings. 
• The country’s administrative processes can be opaque and slow, with outcomes often depending on personal relationships rather than clear rules. 
• Turkey is a geopolitically dynamic nation. An expat must be aware of possible sudden changes in policy or social tensions. 
• Although English is widely spoken, when relocating permanently and dealing with local bureaucracy, the language barrier can still be an obstacle. 

What is Living in Turkey Like?

Successful daily life in Turkey will hinge on your ability to master its trust-based social hierarchy. 

A primary objective is to find a respected senior figure, an ‘abi‘ or ‘abla‘ (older brother or sister), who will vouch for you.

Trust is earned through small, consistent actions outside of work hours, remembering a child’s name, asking about an old parent or showing real interest in their city. 

You must also master the art of indirect communication. A direct ‘no’ is rarely used as it is considered impolite. 

Learning to interpret a non-committal ‘we will see’ is a skill for accurately gauging commitments and avoiding misunderstandings. 

Demonstrating your own long-term commitment is equally important. 

An effort to learn the language, an appreciation for local history or simply holding long-term residency sends a powerful message. It signals that you’re an investor in the culture, not just someone seeking a quick profit.

What is the Cost of Living in Turkey?

A country’s cost of living is an important factor for any would-be resident or investor. 

Cost of Living in Turkey vs US (Istanbul vs. Chicago)

To quantify the financial benefits that Turkey offers, the table below contrasts Istanbul, Turkey’s economic hub, with Chicago.

All figures are presented in US Dollars (US$) to serve as a stable comparison. 
The percentage difference column shows how much cheaper Istanbul is compared to Chicago. This data is based on user-contributed data provided by Numbeo and changes frequently. Check the figures here for the most up-to-date figures.

Expense Item	Istanbul, Turkey (Average Cost in USD)	Chicago, IL, USA (Average Cost in USD)	Percentage Difference
Housing (rent per month)
1-Bedroom Flat (City Centre)	US$1,000	US$2,400	58%
3-Bedroom Flat (City Centre)	US$2,100	US$4,500	53%
Utilities (per month)
Basic (Electricity, Heat, Water)	US$70	US$180	61%
Internet (60 Mbps+)	US$12	US$65	82%
Food & Dining
Meal, Inexpensive Restaurant	US$10	US$20	50%
Meal for 2, Mid-Range Restaurant	US$50	US$100	50%
Monthly Groceries (Estimate)	US$350	US$600	42%
Transportation
Monthly Transport Pass	US$40	US$85	53%
Taxi Start (Normal Tariff)	US$0.80	US$4.25	81%
Lifestyle & Leisure
Fitness Club, Monthly Fee	US$45	US$75	40%
Cinema Ticket	US$5	US$15	67%

Knowing Your Monthly Budget in Istanbul

When building a budget, housing will be your largest expense.

A modern 2-bedroom flat in an expat-preferred area like Cihangir or Etiler can range from US$1,200 to US$2,500. Outside the centre, in areas like Kadıköy on the Asian side, this can drop down to US$1200 to US$1,600.

Aside from housing, expats should budget around US$60 to US$100 for electricity, water, gas and refuse. 

A monthly grocery bill for two people focusing on fresh produce from local markets will be approximately US$300 to US$400.

An Istanbulkart monthly travel pass is around 1,300 lira (US$40). 

Taxis are affordable, but ride-sharing apps like Uber and BiTaksi are also common.

Totaling these core figures, a single person can maintain a comfortable lifestyle in Istanbul for around US$1,500 to US$2,000 per month. 

A family of four would require a budget in the range of US$2,800 to US$4,000, with the final figure depending on accommodation and schooling needs.

Is Living in Turkey Safe?

To assess safety, we must start with two key sources: Numbeo, a crowdsourced global resource for quality-of-life data and the Global Peace Index (GPI) for national stability.

Numbeo data for Istanbul consistently shows a ‘High’ Crime Index, considerably higher than Western European hubs like Lisbon or Berlin, which report ‘Low’ to ‘Moderate’ levels. 

Consequently, the level of situational awareness required in Istanbul exceeds what’s typical in most of Europe. 

In terms of the Global Peace Index, Turkey consistently ranks as one of the least peaceful nations in the European region. 

The data, therefore, reveals a key distinction. The main risk for an expat is not always violent street crime, but rather the country’s overall political and geopolitical instability.

How to Get Residency in Turkey?

The process of securing Turkish residency is, on paper, one of the most straightforward systems available to a foreign national. 

For those with a long-term vision, one option is the Long-Term Residence Permit (LTRP). 

You can get it after living in Turkey for eight years on a Short-Term Residence Permit (STRP).

An individual who has long-term residence can also get residence for their spouse and children.

The official checklist includes the following:

• A lease or title deed to a local property
• Valid private health insurance
• Proof of sufficient funds.

It all seems deceptively simple.

However, Turkey’s administration runs on lots of paperwork, strong tea and the belief that an official stamp improves any document. Or five. 

As a result, the interpretation of requirements can change without notice, and approvals can feel frustratingly arbitrary. 

For this reason, engaging a reliable local professional is a mandatory investment in your own sanity. 

The reward, however, is a foothold in a country that, for all its administrative quirks, remains remarkably accessible compared to most of its European neighbours.

Taxes in Turkey as an Expat

The Turkish tax system operates on your residency status and the source of your income. 

You become a Turkish tax resident by spending more than 183 days in the country within a single calendar year. Once you cross this threshold, any income generated from employment or business activities inside Turkey is subject to its standard progressive income tax rates. 

Corporate tax and VAT (KDV) also apply to all local business operations.

For foreign-sourced income, the system can function territorially. A tax resident whose primary centre of life and business – their ‘vital interests’ – remains outside of Turkey is typically only taxed on their Turkish-sourced earnings. 

Turkey often does not tax income from foreign companies or renting out property outside the country. 

Correctly structuring your financial affairs to align with these rules is complex. Our team at Nomad Capitalist can help. 

Living in Turkey Expat Guide: FAQs

Go Where You’re Treated Best

The principle of ‘going where you’re treated best’ is about creating a life of greater freedom and prosperity. 

Turkey is a prime example of this philosophy in action. It offers a powerful combination of affordability, accessible residency and a strategic location. 

It also offers a banking system that grants a degree of financial privacy and a legal framework suitable for asset protection. 

These elements make it a top-tier choice for certain entrepreneurs seeking to optimise their global footprint.

However, the ‘treated best’ equation is a holistic strategy that requires evaluating a portfolio of options, as different priorities lead to different jurisdictions. 

For entrepreneurs who want to access the European Union, Portugal has always been a popular choice. However, Portugal has a higher cost base and more bureaucracy than Turkey. 

While Portugal offers a way to optimise your taxes within Europe, you could also be looking to exit traditional tax systems altogether. In such cases, the Bahamas has no income, capital gains or inheritance taxes. 

This tax freedom is often balanced against a higher cost of living and a focus on lifestyle over business expansion. 

Yet, for others, the ideal equation is not just about tax minimisation but about finding a dynamic and affordable base. 

In that case, attention often turns to Southeast Asia, where Malaysia stands out. Its long-stay visa program and territorial tax system provide a superb platform for those with business interests in the region. 

Choosing between Turkey, Portugal or any other jurisdiction demands a bespoke, holistic plan that integrates your personal, financial, and business goals across multiple legal and tax systems. 

Crafting such a plan is complex. It requires expert guidance to navigate the nuances and build a truly resilient global life.

If you are ready to stop just thinking about it and actually go where you’re treated best, the team at Nomad Capitalist is here to create your blueprint.

If that sounds like you, then let’s chat.