Cap on rent hike to be extended, says justice minister

The government is considering extending a 25 percent cap on rent hikes, Justice Minister Yılmaz Tunç has said.

"Works [on the cap] are ongoing. We are hoping to finalize the respective regulations by July 1," Tunç told reporters following the ruling Justice and Development Party's (AKP) central decision and executive board meeting.

The minister added that parliament will have the final say on the respective legislation.

The government introduced the regulation that limits rent hikes to 25 percent in the face of public discontent over skyrocketing housing costs. The cap on rent hike will expire on July 1.

The government is working to address the pressing issues, such as inflation and cost of living, said Ömer Çelik, the AKP spokesperson.

"We are listening to complaints from the public regarding rent hikes. We will continue to fight against it," Çelik said.

More than 27 percent of Turks lived in rented houses, while 56.7 percent lived in their own homes in 2022, showed a survey the Turkish Statistical Institute (TÜİK) released last month.

The housing cost is particularly a big problem in the country's most populous cities.

The income of a household should be at least between 30,000 Turkish Liras ($1,300) to 60,000 liras to rent a two-bedroom apartment in central Istanbul, according to a study by TSKB Real Estate Appraisal.

The study found that household income should be around 20,000 liras and 25,000 liras on average to afford a two-bedroom apartment's rent in the three biggest cities, namely Istanbul, Ankara and İzmir.

The study assumed that households spend 30 percent of their income on rent.