Important warning for tenants from an expert!

Along with the rising cost of living and inflation, the rental crisis is also growing. According to a report by ANKA, İzmir Real Estate Club President Rıdvan Akgün stated, "Based on the statements from the Ministry of Treasury and Finance for 2025, I can say that rental prices could increase by at least 50 percent by next summer."

Rıdvan Akgün said the following regarding rent increases:

"The root cause of the high rent increases in İzmir is that contractors are no longer able to produce housing. Many construction firms have almost gone bankrupt. They are forming consortiums. Then they break up again. Costs are high.

“PEOPLE ARE DESPERATE, THERE IS A HOUSING PROBLEM.”

When there is no production, prices rise due to the existing supply in the market. Of course, this is the situation, but there is a refugee reality in Turkey. İzmir has also received a high share of this. Since it is in a region where people can work for 12 months... In the past, it used to be Istanbul. Now it is happening to İzmir. People want labor. Rental prices have increased. People are desperate, there is a housing problem. To solve this, they are almost at the point of setting up tents.

A 20 percent increase is actually a very modest increase. Because rates are gradually rising according to inflationary realities. Rental prices rise most in June, July, August, and September. But when there is a vacant apartment, people demand current prices for empty units.

I believe that rental housing prices in the markets will record a 10-15 percent increase by the new year due to the supply-demand imbalance.

According to the Ministry of Treasury and Finance's inflation calculations for 2025, I can say that rental prices could increase by at least 50 percent by next summer."

CARAVAN DETAIL

Emphasizing that citizens are turning to alternative housing methods due to high rents, Akgün noted the following:

The lowest rental prices here start from 15-20 thousand liras. And that is in the surrounding neighborhoods and districts outside the metropolitan area.

Also, when we look at the building stock, we see that the rental prices of old buildings and unmaintained apartments are low.

Newly built buildings are rented out at prices almost twice as high as old apartment prices. If we categorize them, people without means are starting to flee not to the city center, but to the outskirts of the city. Because they do not have an income to pay the rent. People in the middle segment can pay up to 25-35 thousand liras.

They stay in the metropolis. But unfortunately, there are quite a lot of people in İzmir who pay 150 thousand liras in rent per month in very exclusive, pool-equipped, beautiful, well-maintained, and secure gated communities. So, if we categorize them, there are the rich and the poor.

The middle class is nowhere to be found. With these increases, rental prices are currently between 20 thousand and 40 thousand liras on average. These are average, modest rental prices. You cannot find a rental apartment under 20 thousand in the İzmir metropolis.

If we look at Istanbul, we can state even higher figures. When we look at Ankara, the figures are also very high there. Because the presence of refugees puts the clear and net demand at the forefront, people cannot find a place to stay. Even if they do, their budget is not enough. If you notice, in recent years, people are saying 'let me have a piece of land' and are going off, arranging plots from cooperatives, and putting containers inside them. People living in caravans have started to become very common. All of these are signs of desperation."

“THE WINTER MONTHS ARE THE BEST TIME TO RENT.”

Pointing to the winter months for people looking for rentals, Akgün said, "The winter months are actually the best time to rent. Because there is not much movement in the winter months, there may be a supply formation, a stock. And the price balance may settle. But especially after April, when we say May, June, it already increases by 20-30 percent here. When August and September come, it is another 20-30 percent. We advise citizens that if they are going to move into an apartment, they should do it immediately."

News Source: 12punto