Mortgage Calculator (Turkey)
Mortgage installments for Turkey, loan-tax exemption applied.
A TRY 1,000,000 housing loan (mortgage) at 2.5% monthly interest over 120 months costs TRY 26,361.79 per month, TRY 3,163,417.10 in total (TRY 2,163,417.10 total interest; exempt from KKDF and BSMV).
Calculation breakdown
| Monthly installment | ₺26.361,79 |
|---|---|
| Total repayment | ₺3.163.417,10 |
| Total interest | ₺2.163.417,10 |
| Total tax (KKDF + BSMV) | ₺0 |
| Final installment (adjusted) | ₺26.364,09 |
Housing (mortgage) loans in Turkey differ from personal loans in one important way: loans under the housing-finance framework are exempt from the KKDF and BSMV loan taxes, so the installment contains only principal and interest. This tool takes the loan amount, the bank's advertised monthly rate and the term in months, then computes the monthly installment, total repayment and total interest using the equal-installment (annuity) method, building the full payment plan with kuruş precision.
How is it calculated?
Turkish mortgages are typically fixed-rate, equal-installment (annuity) loans in lira. The calculation has two steps:
- Installment: the annuity formula gives the payment:
installment = principal × r(1+r)ⁿ / ((1+r)ⁿ − 1), whereris the monthly nominal rate andnis the term in months. Since housing loans are exempt from KKDF and BSMV, the advertised rate is also the effective rate. - Payment plan: each month, interest accrues on the remaining principal and the rest of the installment reduces the balance. Because kuruş rounding accumulates, the final installment is adjusted by a few kuruş so the balance closes exactly.
All amounts are computed as integer kuruş (cents); rounding is half-up to the kuruş.
| Parameter | Value | Source |
|---|---|---|
| RUSF (consumer loans) | 15% | RG 07.07.2023/32241 (BSMV, 7345 CK) + RG 28.10.2010/27743 (KKDF) (2026-06-12) |
| BITT (consumer loans) | 15% | RG 07.07.2023/32241 (BSMV, 7345 CK) + RG 28.10.2010/27743 (KKDF) (2026-06-12) |
Example
Mortgage terms in Turkey commonly run 10 years or longer, and over such a span interest re-accrues on the outstanding balance every month — so total repayment ends up well above the amount borrowed. Even a small difference in the monthly rate changes the long-run cost substantially. Enter the amount you are considering, the advertised monthly rate and the term in the tool above to see the installment and the total interest burden, and compare different terms side by side.
Frequently asked questions
Do Turkish mortgages pay KKDF and BSMV?
No — loans under the housing-finance framework are exempt from both taxes. On a personal loan the interest is grossed up by 15% KKDF and 15% BSMV, while a mortgage installment contains only principal and interest.
Should I enter a monthly or an annual interest rate?
Enter the monthly nominal (contractual) rate. Turkish banks advertise mortgage pricing as a monthly rate; if you only have a simple annual rate, dividing it by 12 gives an approximate monthly figure.
Why is the total repayment so much higher than the loan amount?
Because interest accrues every month on the full remaining balance and mortgage terms are long, the interest total compounds over the years. A shorter term raises the monthly installment but cuts total interest substantially — run the tool with different terms to see the trade-off.
When does the principal start falling quickly?
In the second half of the term. Early installments are mostly interest, so the balance shrinks slowly at first; as the debt falls, the interest share drops and more of each installment goes to principal.
Are appraisal fees, mortgage charges and insurance included?
No; the tool models the principal-and-interest payment plan only. Appraisal fees, mortgage registration costs, compulsory earthquake insurance (DASK) and home insurance vary by bank and property, and add to the total cost separately.
Why is the last installment slightly different?
Monthly interest amounts are rounded to the kuruş, and the small differences accumulate over a long term. The final installment is adjusted so the loan closes exactly; the tool shows it as a separate line when it differs.