Cap on rent hike to be introduced, says minister

Authorities are working on a new regulation that would introduce a cap on rent increases, Justice Minister Bekir Bozdağ has said.

"The limit in rent hikes will be based on the inflation rate, and this will be a temporary measure," Bozdağ told reporters in the Central Anatolian province of Yozgat.

Officials from the Environment, Urbanization and Climate Change Ministry, the Justice Ministry, the Trade Ministry and the Treasury and Finance Ministry will soon conclude their study on the regulation regarding rent hikes, the minister said, adding that officials are looking at the practises in other countries.

When the cap is set, consumer price inflation will be taken into account, but it will be the rate which will be acceptable by both sides (landlords and tenants), said Bozdağ.

In earlier remarks, Environment, Urbanization and Climate Change Minister Murat Kurum said that regulations designed to prevent exorbitant increases in rent prices will be submitted to parliament soon, adding that the government is also working to increase the supply of residential units.

The minister said that the legislation on rent could be sent to the national assembly within eight to 10 days.

Kurum reiterated that rent hikes cannot exceed the consumer price inflation. "However, some people increase rents for their properties well above the inflation rate, which is in fact the violation of laws. Tenants, who face such rent increases, should go to courts," he said.

President Recep Tayyip Erdoğan will make the plans under consideration on rent public soon, then the bill be submitted to parliament, the minister added.

Not only the Environment Ministry, but other ministries were also be involved in the work on rent regulations which will...