Attention landlords and tenants! June inflation announced: Rent increase rate revealed

The Turkish Statistical Institute (TUIK) has shared the inflation data for June with the public.

Accordingly, the Consumer Price Index (CPI) increased by 1.37 percent on a monthly basis and 35.05 percent on an annual basis in June. These announced rates also determined the 12-month average inflation, which directly affects rent increases.

RENT INCREASE RATE DROPPED TO 43.23 PERCENT

As of June, the new rent amount to be paid by residential and commercial tenants whose lease contract period has expired was determined according to the 12-month CPI average. This rate was 43.23 percent.

Compared to the rate announced last month, tenants faced a slightly lower increase rate this month. In May, the rent increase rate was at the level of 45.80 percent.

RENT INCREASE CAP CONTINUES FOR RESIDENCES

For residential rents, in accordance with the legal regulation that came into effect in July 2022 and is still in force, the upper limit for rent increases is capped at 25 percent. This rate applies only to residences and is implemented for contracts that have expired. This regulation aims to protect the tenant.

HOW IS THE RENT INCREASE CALCULATED?

Rent increase rates are determined according to the 12-month CPI average announced by TUIK. Data from the month preceding the month in which the increase will be made is taken into account. For example, if the rent increase is to be made in October, the 12-month average in TUIK's September data is taken as the basis.