The year 2025 has brought significant changes to Turkey’s rental laws, which are particularly relevant for property owners and real estate investors. These new regulations focus on creating a legally supportive environment for real estate investments, ensuring the rights of both property owners and investors, while maintaining a balanced protection for tenants.

All you need to know about Turkey’s rental regulations and tenant rights in this article – Rental Laws and Tenant Rights in Turkey 2024.

1. Annual Rent Increase Mechanism Linked to Inflation (CPI)

• Current rental increase laws are tied to the Consumer Price Index (CPI) based on a 12-month average, published by the Turkish Statistical Institute (TÜİK). This serves as the legal cap for annual rent increases.
• Landlords are not permitted to increase rent above this CPI average, unless granted by a special court ruling. Example: the CPI for July 2025 was announced at 43.23%, which must be used as the legal basis for rent renewal.
• A lower rent increase can be agreed upon if both parties consent.

2. End of the Temporary 25% Rent Cap

In previous years, a temporary legal cap limited annual rent increases to 25% to support economic stability. However, this cap expired on July 1, 2024, and the system reverted fully to the CPI-based framework.

3. Investor and Landlord Protection Amid Economic Fluctuations

Relying on the CPI provides transparency and predictability in rental costs, especially for foreign investors, retail businesses, and commercial property owners. This framework strengthens legal trust and long-term stability in the real estate investment market.

4. Legal Procedures for Rent Adjustment and Disputes

When both parties cannot agree on a rent adjustment within the CPI framework, the landlord may file a rent determination lawsuit. The process typically involves:

• Mediation or amicable negotiation.
• If unsuccessful, a court decision based on market data and comparable properties, often granting a “fair discount” to long-term tenants.

5. Rights and Obligations of Both Parties

Landlord’s Rights:

• To receive full rent payments on time.
• To request the legal increase or initiate legal proceedings if no agreement is reached.
• To terminate the contract in cases of tenant default.

Tenant’s Rights:

• Cannot be evicted for refusing an increase beyond the CPI limit.
• Enjoys automatic contract renewal unless proper termination notice is given.
• Security deposit (deposit) must be recorded and returned according to the contract and property condition.

6. Digital Transformation – Rental Contracts via e-Devlet

As part of Turkey’s digital transformation, a new service was launched in 2025 enabling landlords and tenants to draft and authenticate rental agreements directly through the e-Devlet portal using their verified accounts.

The landlord prepares the contract using the dedicated section titled “Rental Agreement Transactions – Kira Sözleşmesi İşlemleri” on e-Devlet.

The tenant then receives a digital notification and can approve the agreement via their personal e-Devlet account.

Once approved, the system generates an official rental contract with a unique electronic barcode, which can be downloaded and used in all legal transactions related to the lease.

This system enhances transparency, speeds up the process, reduces paperwork, and ensures security for both parties. In the upcoming second phase of the project, licensed real estate agents with legal authorization will also be able to draft contracts on behalf of landlords, to be digitally approved by both parties through their government e-portal accounts.

Conclusion

• In 2025, Turkey offers a balanced legal framework that protects both investors/property owners and tenants.
• The CPI-based rent increase system ensures predictability and stability for investors.
• Legal recourse for disputes provides clarity and fairness.
• Organized taxation and administrative requirements highlight Turkey’s efforts to attract international real estate investment.
• With the digitization of rental contracts via e-Devlet, the rental sector is becoming more efficient, transparent, and investor-friendly.