Across Turkey, rental housing prices are rising at a pace seldom seen in recent years, Turkey rental housing price increase 2025 The upward trajectory of rent rates reflects a combination of inflation, currency weakness, and an undersupplied housing market. The latest data published by the Turkish Statistical Institute (TÜİK) shows that by May 2025, the legal maximum rent increase had climbed to around 48.73 % compared with a year earlier.
Consider major cities such as Istanbul, Izmir, and Antalya: each continues to report double-digit monthly rises in rent, especially in highly sought-after districts. For example, as recently as an estimate from late 2024-early 2025, analysts predicted a further 50 % increase in rental rates in some regions of Turkey.
High inflation and the removal of previous caps on rent hikes (which had limited increases to 25 %) mean landlords now have greater scope to raise rents, though legal limits still link increases to the 12-month average consumer price index (CPI).
Buy-to-let investors are increasingly seeing Turkey as a high-yield rental market, but tenants and home seekers face growing pressure. Rental affordability is becoming a significant issue for many households in large cities. According to media reports, rent in Istanbul in some prime districts has risen by several hundred per cent within just a few years, placing serious strain on middle-class incomes.
For those considering investment opportunities, the rapid rental growth offers strong potential returns. Yet it also demands caution: currency depreciation and inflation can erode real value, and regulatory changes may affect future yields. National housing data show that while nominal house-price increases are moderate (11–30 % in U.S. dollar terms), real-term gains are often negative once inflation and lira devaluation are factored in.
When you factor in new government housing schemes aimed at providing low-cost units to ease the rental market, the story becomes more complex. A government plan to build 250,000 housing units is expected to marginally ease rental inflation, yet many analysts remain sceptical about its short-term impact given high demand and limited supply.
In sum, Turkey’s rental housing market in 2025 stands at a crossroads. For investors the trend points toward high nominal returns, but for tenants the pressure on rental affordability is intensifying. Before entering this market it is vital to consider inflation, currency risk, regulatory limits on rent increases, and local supply constraints.
