Government imposes limit of 25 percent maximum in rent increases

Justice Minister Bozdag said “In terms of housing rents, an increase in rental agreements to be renewed until July 1, 2023 is being made so that they do not exceed 25 percent of the previous year’s rent.” Justice Minister Bekir Bozdag announced that the rent increase rate will be limited to 25 percent.

With inflation rising above 70 percent, good news has come to tenants considering the rate of rent. Justice Minister Bekir Bozdag announced that the rent increase rate would be limited to 25 percent.

THE HIKE WAS INDEXED TO INFLATION EARLIER

The rate of rent increase was normally determined according to the average of 12-month consumer inflation. However, due to the fact that inflation was rising more and more, tenants had to face high hikes. In May, annual consumer inflation rose to 73.50 percent, the highest level since October 1998. Accordingly, the increase rate for citizens who would enter into a new lease agreement in June was to be calculated at 39.33 percent.

Representatives of three ministries headed by Murat Kurum, Minister of Environment, Urbanization and Climate Change, had held a meeting at the end of May due to the exorbitant rent increases experienced recently and announced that they were working on a new arrangement.