In recent years, residential leases have become one of the most disputed legal subjects in Turkey. Rent increase caps, lease renewal, eviction of the tenant and rent reassessment to current market value all directly affect both landlords and tenants. This article addresses the basic rules and most common disputes for residential leases under the Turkish Code of Obligations.
Legal Framework
The principal rules on residential and roofed business premises leases are set out in Articles 339–356 of the Turkish Code of Obligations No. 6098. The key provision on rent increases is TCO Article 344.
The Rent Increase Cap (TCO Art. 344)
Article 344 of the TCO sets a ceiling on how much rent can be increased in a renewed lease year:
For renewed lease periods, any rent increase cannot exceed the change in the consumer price index based on the twelve-month average of the previous lease year.
In other words, the annual increase cap for residential leases is set as the 12-month average CPI. This figure is published monthly by TÜİK and applied based on the renewal month.
Important note: The legislature may from time to time introduce temporary measures changing this cap (such as the 25% cap that was applied in earlier periods). For any specific dispute, you should always check the rule in force at the date your lease is renewed. Professional advice is strongly recommended in concrete disputes.
What if the contract specifies a higher rate?
Even if the lease contract specifies an increase rate higher than the TCO Art. 344 cap, the portion exceeding the statutory cap is invalid. The tenant has the right to recover the excess paid.
Lease Renewal
In Turkish law, even where the lease contract is fixed-term, the tenant has a statutory right of renewal. Under TCO Article 347, if the tenant does not wish to terminate the lease at the end of its term, the lease is automatically renewed for one more year on the same terms.
For the landlord to be able to terminate the lease, on the other hand, only a limited and specific list of grounds applies. The landlord cannot simply refuse to renew at will; non-renewal is possible only on the eviction grounds set out in the law.
Grounds for Eviction
The Turkish Code of Obligations is designed to protect tenants and limits the cases in which a landlord may evict a tenant. The main eviction grounds are:
1. Non-Payment of Rent
If the tenant fails to pay the rent, the landlord may use the two valid notices mechanism. A tenant who has been the subject of two written notices within a single lease year may be sued for eviction within one month of the end of that lease year.
2. Eviction Based on Need
Where the landlord, his/her spouse, ascendants, descendants or persons the landlord is legally obliged to support has a genuine housing need, eviction proceedings may be brought at the end of the lease term. In this action, the need must be proven to be genuine, sincere and necessary.
3. Need of the New Owner
A new owner who purchases the leased property may, where they or their relatives need the property, give written notice to the tenant within one month of acquisition and bring eviction proceedings six months after acquisition.
4. Reconstruction or Substantial Renovation
Where reconstruction, substantial renovation or expansion of the leased property is required and use becomes impossible during the works, eviction proceedings may be brought.
5. Ten-Year Extension Period
For fixed-term residential leases, after the contract term ends and a ten-year extension period has run, the landlord may terminate the lease without specifying any reason. Written notice must be given at least three months in advance.
6. Eviction Undertaking
If the tenant has, after signing the lease, given a written undertaking to vacate the property on a specific date, the landlord may, within one month from the undertaken date, apply for enforcement or bring eviction proceedings on that basis.
Rent Assessment and Adaptation Lawsuits
For lease contracts that have run for more than five years, the landlord may file a rent assessment lawsuit (kira tespit davası) requesting that the rent be adjusted to market value taking into account current conditions and comparable rents. In this action, the judge determines a new rent considering comparable properties, the characteristics of the leased property and conditions in the area.
For leases of less than five years, an adaptation lawsuit (uyarlama davası) may also be brought when there are unforeseeable, extraordinary changes in economic conditions; however, the conditions for such an action are strict and the courts examine the specific facts carefully.
Frequently Asked Questions
Can the landlord raise the rent mid-year?
No. Rent increases can only be applied for renewed lease periods. A unilateral mid-year increase is not legally binding.
Is a verbal lease valid?
Yes — a verbal lease is also legally valid. However, written form is always advisable for evidentiary reasons. With verbal leases, proving rent increases or eviction grounds can be very difficult.
I'm a tenant — how much time do I have to vacate?
The timeline depends on the eviction ground and the procedure used. For example, an enforcement action based on an eviction undertaking can move quickly, while an action based on a need claim takes longer. The tenant is not obliged to leave the property until the eviction order becomes final.
When should the deposit be returned?
The deposit must be returned within a reasonable time after the property has been handed back in its original condition and all rent payments have been confirmed. Where a landlord wrongfully withholds the deposit, an action can be brought.
Can the landlord forcibly take the keys?
Absolutely not. Without a court decision or the tenant's consent, changing the locks, removing the tenant's belongings, or cutting off utilities — all of which constitute self-help — may give rise to criminal liability and damages.
Have a rental dispute?
At Çağlar Hukuk ve Danışmanlık, our Antalya office assists clients with rent increase disputes, eviction proceedings, rent assessment and adaptation lawsuits, and deposit recovery claims.
Official sources: Turkish Code of Obligations No. 6098 · TÜİK — CPI figures