In some parts of Istanbul, luxury home rents spiraling out of control

Finding an affordable housing in Istanbul is becoming increasingly difficult for low- and medium-income groups with rent prices in the city rising fast.

A recent survey found that the average rent price of a 100 square meter house in Istanbul climbed to 16,000 Turkish Liras ($589).

The annual increase in residential properties has been on the decline but it is not the case with rents. According to a study by Istanbul-based Bahçeşehir University's Economic and Social Research Center (BETAM), the year-on-year increase in rent prices accelerated from 110.8 percent in June to 121 percent in July. The annual inflation rate was 47.8 percent last month.

In Istanbul, the annual increase in rents was 109.5 percent.

Of course, rents vary depending on the location and other factors.

The monthly rent of some houses at luxury apartments or condominiums can go up to 650,000 liras. There are hundreds of ads posted on real estate platforms for such houses.

Most expensive houses are located on the European side of the city, particularly in the Beşiktaş district. Monthly rents of luxury, spacious and new homes in the Ulus neighborhood range between 90,000 liras to 400,000 liras. In Bebek in the same district, monthly rents of luxury flats can go up to 200,000 liras.

The story is no different on the Asian side of the city. In the Çengelköy quarter of the Üsküdar district a five-bedroom house is rented for 250,000 liras.

In the Acıdabem neighborhood, the monthly rent of a four-bedroom apartment is around 145,000 liras.

In an effort to bring rent prices under control, the government recently extended a regulation which limits rent hikes to 25 percent by another year until July 2024.