‘Rent Increase Formula Suggested in Spain’ – Warning for Istanbul, Antalya, and Mersin Residents
President Erdoğan has emphasized once again that strict measures will be taken to prevent rent increases in Turkey. Speaking at a recent event, he stated that dormitories are one of the most important factors for students, and Turkey has a capacity of 850,000 student dormitories more than enough for students. He also stressed that the government will set standards for rent prices and any arbitrary rent increases will be prevented.
According to real estate specialist, Mustafa Hakan Özelmacıklı, the demand for rental housing has increased recently, with the prices of newly-built flats in Istanbul ranging from 120 to 170 Turkish lira per square meter. Many people are unable to find rental houses at reasonable prices, especially in popular tourist destinations like Bodrum, where prices can be as high as 15,000 Turkish lira per month.
In order to prevent further increases in rental prices, some experts have suggested adopting the Spanish model, which imposes tax sanctions on property owners who keep their houses vacant. Additionally, upper rent limits are set in Spain to ensure that rental housing remains affordable.
The government is expected to take regulatory action to alleviate the current pressure on the housing rental market. In the meantime, experts recommend implementing public legal practices and integrating rental contracts into the e-Government system. Rental value maps should be created quickly by licensed real estate businesses and regions, and the supervisory role of the public in the rental system should be free from economic concerns.
While it is unlikely that housing prices will decrease significantly in the short term, experts anticipate that they will stabilize. However, it is essential to provide more affordable housing options, such as smaller units for individuals, to meet the growing demand for rental housing and prevent further increases in rental prices.
