CONSTRUCTION HYPOTHEC

Construction hypothec which is regulated between 895. and 897. articles of Turkish Civil Code is one of the registration-based legal hypothecs. Thanks to construction hypothec, contractors and craftspeople can guarantee their credits which arising from their works that they perform by making effort or both making effort and using material in structures or other affairs on immovable property. Against to other hypothec right holders, holders of construction hypothec (contractors and craftspeople) who rank equally among themselves without taking into account the registration date, have a pre-emptive right in increasing value of immovable property. According to 897. article of Civil Code this increasing value obtains thereby taking away sale price of land from its sale price with structure that is on it