Restriction on Rent Increases in Turkey Will be Lifted from July 1

Rent in Turkey can be increased by more than 25% per year fr om July 1. The lim it on rent increases will not be extended.

Over the past few years, rents in Turkey have begun to rise rapidly. There were many lawsuits between owners and tenants.

According to the analytical portal Endeksa, rents in Turkey over the past two years have increased by 265% in nominal terms (in lira), or by 47% when adjusted for inflation.

Minister of Treasury and Finance Mehmet Şimşek announced that the cap on rent increases will be lifted as of July 1, 2024, by a new regulation. For two years in a row, owners were prohibited from raising rents by more than 25% per year. Now, at the end of the contracts, the owners will be able to increase the rent to the market level.

The increase in housing rents will return to the previous algorithms. The market rental rate will be calculated based on the calculation of average inflation for 12 months in accordance with Article 344 of the Code of Obligations. After 2 July, residential rent increases will be based on average inflation, i.e. the average 12-month consumer price index, based on the rate in the bulletin announced by TUIK each month.

From January 1, 2024, lease agreements must be registered through the state e-government system e-devlet. Within 15 days you must enter a copy of the agreement into the system. The landlord and tenant can make changes to the agreement online. The conditions under which the owner notifies of the increase are specified in the contract. All payments from the tenant are visible in the system.