A new solution to the housing crisis: Rent increases twice a year

The exorbitant price increases seen in every category recently have also hit the housing sector. As the crisis between landlords and tenants grows, the mediation system, introduced to prevent a backlog in rent lawsuits, is producing different solutions. One of the practices frequently suggested by mediators has become "rent increases twice a year."

According to a report by Gazete Duvar, in one prominent mediation case, a retired property owner stated that their rent remained far below market value. The tenant was paying 4,000 TL in monthly rent, and it was claimed that the fair market value was 24,000 TL. The parties applied to a mediator, and a gradual increase plan was developed.

As a result of the agreement, the rent was increased to 8,000 TL for the first 6 months and to 14,000 TL for the second 6 months. Thus, the rent was increased twice within the year, and the parties accepted the agreement.

In another mediation example, the parties reached an agreement by going to a mediator while a rent determination lawsuit was ongoing. While the court process was continuing, the fair market rent for similar properties had been determined as 24,000 TL.

News Source: 12punto