NEWS

The 25% rent increase rate in residences has been abolished. The Ceiling Rent Increase for August was determined as %65,93%.

The Turkish government has announced the removal of the “25 percent increase limit” on housing rents, effective on July 1.

The cap, which has been in place for the past two years to protect residential tenants amidst ongoing high inflation, limited the annual rent increase to 25 percent.

Treasury and Finance Minister Mehmet Şimşek confirmed on a recent TV program that this temporary measure, introduced in June 2022, was designed for short-term relief and would now expire.

The new rent increase will be based on the 12-month Consumer Price Index (CPI) average as before the cap.

Gökmen Öğüt, general manager of a housing price statistics platform, emphasized that the market needs time to stabilize post-regulation. “The removal of the regulation will significantly affect the sector. We expect the market to find its balance,” he said.

In the meantime, the inflation-adjusted increase in rents remains capped at 50 percent. The average rent in Istanbul has soared, reaching up to 20,000 Turkish Liras ($610).

Similarly, Ankara and İzmir have seen average rents hit 17,000 and 19,000 liras, respectively.

These increases have sparked widespread disputes between landlords and tenants.

In the face of rising rents in their regions, landlords saw the 25 percent increase as an "unfair" limit. In addition, landlords, who stated that they make a living with a single house rent, said that they had a hard time in the inflationary environment.

Hasan Ceran, a real estate law specialist, explained that the judicial system is now frequently handling cases where landlords attempt to increase rents above the previous 25 percent limit.

“The 12-month CPI average as of May 2023 was 62.51 percent,” Ceran noted. “If landlords increase rents by this rate, the financial burden on tenants will be substantial.”

Ceran added that disputes often lead to litigation, with mediation processes becoming more common.

Landlords can request an increase above the CPI rate only if the rental period exceeds five years, subject to court approval.

New lease agreements will adhere strictly to the CPI average, with no increases permitted beyond this figure. However, landlords and tenants continue to face complexities.

Legal experts anticipate that disputes will likely increase once the 25 percent cap is lifted.

“From July 1, landlords can adjust the rents according to the CPI, leading to potential increases far exceeding the previous cap,” lawyer Umut Metin said.

“Ensuring fair practices while accommodating economic realities is crucial for market stability,” he added.

Burgundy Passport(General Passport)

Bordo passport is the passport that every Turkish citizen receives if their application is approved. Every citizen who fulfills the conditions and does not have any problem in traveling abroad can have this passport.

Green Passport(Special Passport)

Green passports are issued to permanent employees in government offices. The main advantage of having a green passport is that they do not face any visa problems when entering most European countries

Gray Passport(Duty Passport / Service Passport)

Grey passhe most important feature of this passport is that it is issued to go on a certain mission, so the passport must be re-submitted after the end of the mission.ports are generally issued to individuals who need to travel abroad to represent an organization.

Black Passport(Diplomatic Passport)

Black passport is a type of passport issued to government officials. Members of parliament and ministers are the main holders of this passport. In addition, this passport remains valid until the end of their term of office. The black passport allows visa-free entry and exit to many countries.

Blue Tapu or Agricultural Tapu

It is granted to the owners of agricultural lands. Owners can use their lands for planting, raising animals, etc. These lands are not suitable for urbanization. Moreover, construction is not permitted on them except in a small percentage, after the approval of the concerned authorities. The owners of the Blue Tapu in Türkiye can benefit from their land through legal methods, such as planting and raising animals in it.

Red Tapu

The Red Tapu in Türkiye is granted to residential real estate of various types.. Apartments, villas, shops, independent houses, houses within complexes and houses inside buildings.

Types Of Red Tapu

• Kat Irtifakı Tapu: Ownership of the independent unit which is not ready for use yet (either because of an on-going development/construction work or due to the fact that usage permit from the municipality has not been gathered yet)

• Kat Mulkiyeti Tapu: Ownership of the independent unit which is ready to use.. (Flat, house, office etc built on the mainland).

Thus, Kat Irtifakı Tapu is an official ownership document specifying the complex number, residential building, floor number, apartment number and its specifications. Upon completion of the construction process, it will be replaced by Kat Mulkiyeti Tapu.

1. Province

2. City

3. District

4. Settlement

5. Street

6. Locality

7. Number of development lot

8. Real estate type *

9. Total area of the development

10. Boundaries

11. Type of ownership

12. Cadastral value

13. Purpose of the real estate**

14. The share in real estate in a land lot with several owners

15. Block

16. Floor

17. Apartment number

18. Former owner and the reason for the transfer of the title***

19. Real estate owner

20. Date of the transfer of the title (registration of the Tapu)

21. Number in the cadastral register

22. The signature of the Head of the Tapu Office or a person authorized to sign on his or her behalf.

TAPU is a document confirming the right of ownership to the acquired real estate in Turkey. It is this document that confirms the transaction and only after it is obtained you are recognized as the full owner of the Turkish real estate.

In Turkey, the only official state body performing and controlling the processing of paperwork for purchased real estate is the Office of Cadastre and Tapu. This organization is the state guarantor of the legality and transparency of a transaction.

After the conclusion of the contract and performance of all the procedures required to start the processing of the real estate, the agency, under a power of attorney from the client submits his documents to the Office of Tapu and Cadastre of the city and the district where the property was acquired.

After the arrival of positive responses from the relevant inspection bodies for foreign citizens and the payment of the relevant taxes and duties, the Buyer receives a master document, recording the title to the property (TAPU), confirming that the transfer of title from the seller to the new owner has been performed

TAPU, the title, means the establishment of a timeless and absolute right of ownership, which, after the conclusion of the purchase and sale contract, may not be challenged by anyone at court. One or more individuals or legal entities may be real estate owners.

What is the concept of earthquake insurance in Türkiye?

It is mandatory insurance that includes damage to buildings after an earthquake.

(DASK)

It is a term for the institution established by the Turkish government to combat earthquakes and natural disasters

Concerned with repairing damages

Caused by earthquakes

The DASK is determined annually and is one of the conditions for transferring real estate ownership in Turkey and opening invoices

Monthly subscriptions.

Buildings that are not subject to earthquake insurance in Turkey are subject to the Public Housing Law as buildings Public services.

Earthquake insurance fees in Türkiye vary in value based on several factors

Factors including:

1 - Location

2 years construction

3- Property area

Turkey passport holders can travel to various countries around the world, each with distinct visa requirements. There are a total of 117 visa-free travel destinations for Turkey passport holders.

Albania
Albania
Angola
Angola
Antigua and Barbuda
Antigua and Barbuda
Argentina
Argentina
Azerbaijan
Azerbaijan
Bahamas
Bahamas
Barbados
Barbados
Belarus
Belarus
Belize
Belize
Bolivia
Bolivia
Bosnia and Herzegovina
Bosnia and Herzegovina
Botswana
Botswana
Brazil
Brazil
British Virgin Islands
British Virgin Islands
Brunei
Brunei
Chile
Chile
Colombia
Colombia
Cook Islands
Cook Islands
Costa Rica
Costa Rica
Dominica
Dominica
Dominican Republic
Dominican Republic
Ecuador
Ecuador
El Salvador
El Salvador
Equatorial Guinea
Equatorial Guinea
Eswatini
Eswatini
Fiji
Fiji
Gabon
Gabon
Gambia
Gambia
Georgia
Georgia
Guatemala
Guatemala
Haiti
Haiti
Honduras
Honduras
Hong Kong
Hong Kong
Iran
Iran
Jamaica
Jamaica
Japan
Japan
Jordan
Jordan
Kazakhstan
Kazakhstan
Kosovo
Kosovo
Kyrgyzstan
Kyrgyzstan
Macao
Macao
Malaysia
Malaysia
Mauritius
Mauritius
Micronesia
Micronesia
Moldova
Moldova
Mongolia
Mongolia
Montenegro
Montenegro
Morocco
Morocco
Nicaragua
Nicaragua
North Macedonia
North Macedonia
Panama
Panama
Paraguay
Paraguay
Peru
Peru
Philippines
Philippines
Saint Kitts and Nevis
Saint Kitts and Nevis
Saint Lucia
Saint Lucia
Sao Tome and Principe
Sao Tome and Principe
Serbia
Serbia
Singapore
Singapore
South Africa
South Africa
St. Vincent and the Grenadines
St. Vincent and the Grenadines
Suriname
Suriname
Tajikistan
Tajikistan
Thailand
Thailand
Trinidad and Tobago
Trinidad and Tobago
Tunisia
Tunisia
Turks and Caicos Islands
Turks and Caicos Islands
Ukraine
Ukraine
Uruguay
Uruguay
Uzbekistan
Uzbekistan
Vanuatu
Vanuatu
Venezuela
Venezuela

The main reasons to invest in Turkey are the growing economy, population, large domestic market, skilled labor force, innovative investment climate, strategic location, incentive opportunities, low taxes on corporations, and opportunities in several sectors.

With the help of agreements, laws, and policies that encourage foreign investors, it is aimed to attract foreign capital to our country.

Overall, Turkey is an ideal country to invest in with its developing economy, young labor force, and many other reasons. Overall, Turkey is an ideal country to invest in with its developing economy, young labor force, and many other reasons.

The Government Incentives

for the Foreign Investors

Turkey offers an extensive investment incentives program that supports to minimize the upfront cost burden and accelerate the returns on investments. Also, the Turkish government provides many support programs through various grants, incentives, and loans. Therefore, with all these incentives that the government offers, it provides great advantages to foreign investors.

A document showing the market value of the property according to specific criteria.

The validity of the real estate appraisal report that is obtained by accredited companies is valid for 90 days from the date of issuance. If the property is sold during this period, the same report can be used more than once.

It is a condition of real estate registration, and a property cannot be purchased by a foreigner until after obtaining this report.