Turkey lifts limit on apartment rental increases

Ankara intends to lift the restriction on increasing the cost of renting an apartment from July 1 of this year and no longer extend its validity; now it is a maximum of 25%, reports TGRT Haber TV channel with reference to Justice Minister Yilmaz Tunca.

“The decree on the 25 percent increase limit, which was introduced after the exorbitant rise in rental prices in the last two years, will end on July 1. <…> the decree will no longer be extended,” the channel quoted the minister as saying.

Previously, the Turkish authorities introduced a 25% limit on rent increases in order to prevent uncontrolled increases in rents and ensure a balance between them and income. This rule was subsequently extended until July 2024. In turn, landlords criticized this measure because, in their opinion, when determining rent, the annual inflation rate and the consumer price index should be taken into account.

According to official data, annual inflation in Turkey in January amounted to 64.86%. However, independent economists from the ENAG group estimate the increase in consumer prices at 129.11%.