Frequently asked questions
Every question from our guides, in one place.
How mortgages work in Azerbaijan
Can a foreigner get a mortgage in Azerbaijan?
Mortgage products through the Fund are aimed at citizens, and the subsidised track in particular is tied to citizen categories. Foreign buyers in practice purchase with their own funds or bank financing arranged individually — confirm with the specific bank.
What is the difference between the subsidised and standard mortgage?
Subsidised is 4% a year with 10% down but restricted to specific categories. Standard is open to everyone: 8% with 20–30% down.
Can I mortgage a property without a title extract?
No. A home without a çıxarış qualifies for neither track. It has to be documented first.
How much income do I need?
There is no fixed floor, but the monthly payment cannot exceed 70% of monthly income. For a 1,000 AZN payment you would need roughly 1,430 AZN of documented income.
How a property purchase is completed in Azerbaijan
How much does the notary cost when buying a flat in Baku?
Between unrelated parties, 250 AZN state duty plus roughly 37.5 AZN in service fees. Between close relatives it drops to about 23 AZN.
Can a sale be done without a notary?
No. An agreement outside the notarial process does not transfer ownership. Treat such an offer as a warning.
Can foreigners buy property in Azerbaijan?
Foreign nationals can buy buildings and flats. Agricultural land is restricted. Confirm your specific case with a notary before committing.
How do I verify a title extract is genuine?
Extracts from 2019 onwards are electronic and verifiable in the state registry. If a seller waves a paper document and hurries you, ask for the electronic check.
Undocumented homes: what to know before you buy one
Is it risky to buy property without a title in Azerbaijan?
The risk sits with the buyer: no mortgage, no insurance, a difficult resale, and most cases of the same flat being sold to several buyers occur with undocumented property.
How much does it cost to register a title?
Roughly 500–1,000 AZN: about 200 AZN state duty, 200–300 AZN for the technical passport, plus case-specific extras.
What should I ask for before buying an MTK flat?
The title extract and Form 1. Failing that, the cooperative's general-assembly decision and proof the share is fully paid.
Property fraud patterns and how to protect yourself
How do I spot a fake property listing in Baku?
Be careful when the price sits far below the district median and the seller cannot document why. Checking whether the photos appear on another site also helps.
Is it safe to pay a deposit?
Only if it is formalised at the notary. Recovering a deposit handed over outside the notarial process is very difficult in practice.
Should I pay an agent to submit my mortgage application?
No. Applying through the e-gov portal is free.
Azerbaijani property terms — what they mean
What is Çıxarış (title extract)?
The çıxarış is the ownership document issued by Azerbaijan's state property register — colloquially 'kupça'. Without one a home cannot be mortgaged or insured.
What is MTK (housing construction cooperative)?
An MTK is a cooperative that builds flats on a share basis. Documenting an MTK flat is a separate process — ask for the title extract and Form 1 before buying one.
What is Subsidised mortgage?
A state-backed mortgage at 4% a year (3.7% with the Fund's guarantee), requiring at least 10% down and available only to specific categories of applicant.
What is Beh (deposit)?
A deposit paid to secure a deal. In Azerbaijan it should be formalised only before a notary — recovering a deposit handed over outside the notarial process is very difficult in practice.
What is Encumbrance certificate?
A document showing whether a property is pledged, under arrest or otherwise restricted. It must be checked before any purchase in Azerbaijan.
What is Undocumented property?
A home with no title extract. It cannot be mortgaged or insured and is hard to resell; more than 500,000 such units exist in Azerbaijan.
What is Notarial procedure?
In Azerbaijan a property sale is valid only when executed before a notary. In Baku, between unrelated parties, the state duty is 250 AZN plus roughly 37.5 AZN in service fees.
What is Khrushchyovka, Leningradka, Stalinka?
Soviet-era apartment designs whose typical sizes differ: a two-room khrushchyovka is usually 41–50 m², a leningradka 44–53 m², a stalinka 50–72 m².
What is Kotlovan (off-plan purchase)?
Buying a flat while the building is still at foundation stage. The price is below a finished flat's and the risk sits with the buyer.
What is ASAN İmza and SİMA?
Azerbaijan's electronic signature tools. Mortgage applications are submitted with them through the 'Elektron İpoteka' section of the e-gov portal, free of charge.
What is Form 1?
Form 1 is the certificate showing in whose name a flat is registered and who is officially resident there. It must be requested alongside the title extract when buying an MTK flat.
What is Technical passport?
The technical passport records a property's area, layout and technical characteristics. It is required in order to register a title extract and costs 200–300 AZN.
What is State Register of Real Estate?
The state database in which every property right in Azerbaijan is recorded. The title extract is issued from it, and documents from 2019 onwards can be verified electronically.
What is Power of attorney (etibarnamə)?
A notarised document by which an owner authorises someone else to act on their behalf. If a sale is being conducted under one, its scope and validity must be checked.
What is Certificate of inheritance?
The document for a property passing by inheritance. When buying one, confirm that every heir has consented — a single heir who did not can later challenge the sale.
What is Shared ownership?
Where a property belongs to several people in shares. Selling it requires every co-owner's consent, and if only a share is sold the other co-owners have a right of first refusal.
What is Down payment?
The share of the price a buyer pays from their own funds when using a mortgage. At least 10% on the subsidised track, 20–30% on the standard one.
What is Commission?
The fee an agent takes when a deal completes. With us, searching is free for buyers and tenants — commission is charged only on a completed deal, at an agreed percentage.
What is Simplified tax on a sale?
A tax that may apply on the seller's side in a property sale — up to 15 AZN per square metre depending on the case. The notary calculates the exact amount.
What is Tax on rental income?
Income from renting out residential property is taxed at 10%, withheld at source, and requires registration with the tax authority; failing to register carries a fine.
What is New build (yeni tikili)?
Buildings of modern design, usually with a lift, parking and central utilities. Ceilings and rooms are larger than in Soviet-era stock.
What is Old build (köhnə tikili)?
Soviet-era blocks — khrushchyovka, leningradka, stalinka and similar designs. Cheaper per square metre and often closer to the centre.
What is Detached house (həyət evi)?
A private house with its own plot. The price covers both the building and the land, and the documents for each must be checked separately.
What is Garden house (bağ evi)?
A house built on a garden plot. It is usually intended for seasonal rather than permanent living, and the land's designation differs from residential land.
What is Sot?
The unit used for land in Azerbaijan: one sot equals 100 square metres, so six sot is 600 m².
What is Commercial unit (obyekt)?
Non-residential space used for retail, services or production. Its value is driven by location, access and street frontage.
What is Top floor and ground floor?
In the Azerbaijani market the top and ground floors are usually priced below middle floors — street noise and security on the ground, roof leaks on the top.
What is Unrenovated (təmirsiz)?
The flat is in developer-handover condition: walls, floors and plumbing are unfinished. The price is lower, but the renovation budget has to be added to it.
What is Cosmetic, mid and premium renovation?
Market labels for finish levels: cosmetic means a surface refresh, mid means move-in ready, premium (yevro) means high-grade materials and workmanship throughout.
What is Utilities (gas, water, electricity)?
A property's gas, water, electricity and sewerage supply. In houses and outlying settlements especially, whether a gas line has been run materially affects the price.
What is From the owner (sahibindən)?
A listing placed directly by the owner rather than an agent. Buyers seek these to avoid commission, but the words 'sahibindən' in a listing do not prove that it is one.
What is Agent (makler, rieltor)?
The intermediary who brings the parties together in a sale or a letting. In Azerbaijan a dedicated law regulating the profession is still only a draft.
What is Barter?
Exchanging one property for another instead of paying cash, usually with a balancing payment. 'Barter olar' in a listing means the owner is open to a swap.
What is Valuation?
Establishing a property's market value. For a mortgage, a formal report from a valuer the bank accepts is required.
What is Demolition programme?
Baku's official programme for demolishing older blocks. Being on the list can be either a risk or an opportunity, so it must be checked before buying.
What is Security deposit?
A sum a tenant pays up front against possible damage, typically one month's rent. It is returned at the end of the tenancy if the terms were not broken.
What is Utility bills (kommunal)?
Gas, water, electricity, heating and refuse charges. Whether a rent includes them must be established up front — it changes the monthly cost substantially.
What is Daily rental?
Letting a flat by the night, for visitors and short trips. It carries different pricing, a different contract and usually different expectations from the owner than a long let.
What is Flatshare (otaq yoldaşı)?
Renting a home jointly by sharing it. The price is per person, and in matching, gender, age and daily routine matter as much as the budget.
What is Long-term rental?
A monthly tenancy, usually agreed for a year or more. A formal contract protects tenant and owner alike, and is required for tax purposes too.
Figures are as of mid-2026 and taken from official sources. The law changes — confirm the current figure with a notary, a bank or the relevant authority before you commit to a transaction.