Türkiye recorded the highest increase in rental prices in Europe in 2025. According to Euronews, citing Eurostat data, rents rose by 78%, significantly outpacing other countries.
Across the European Union, the average increase was just 3.1%, with most countries seeing single-digit growth. Croatia and Montenegro followed with around 18%, highlighting how sharply Türkiye stands out.
Including EU candidate countries and members of the European Free Trade Association (Iceland, Liechtenstein, Norway, and Switzerland), Türkiye remains far ahead among 36 countries, with annual rent inflation of 77.6%.
At the lower end, countries such as Finland and Kosovo saw minimal growth of around 1%, while Luxembourg recorded about 1.6%.
Experts attribute this surge to broader economic factors. High inflation plays a key role, significantly impacting nominal rent growth.
At the same time, homeownership has become less affordable due to rising property prices, high mortgage rates, and limited access to long-term financing, pushing more people into renting.
Inflation exceeding 60% in recent years and the depreciation of the Turkish lira have further strengthened real estate as a hedge, driving both property prices and rents higher.
A temporary rent cap introduced in July 2022 (limiting increases to 25%) also had unintended consequences. While it protected existing tenants, landlords raised prices significantly in new contracts, widening the gap.
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