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Newspaper close to the government announced: Dutch model against exorbitant rent increases

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After the housing prices in Turkey, which rose to 110 percent in the last year, the government began to seek solutions to rein in the prices.

According to the news of Yücel Kayaoğlu from the Turkish newspaper, which is known for its closeness to the government; AKP staff said, “Business has gotten out of hand in Turkey. According to the Ordinary Code of Obligations, rent increases up to 5 years are made according to the CPI. You can’t get over it. However, after 5 years, if the owners want, they can make a new rent determination by saying ‘My rent is low’. He can sue for it. Housing owners can request a new increase over the current value after 5 years. However, today, the landlords want to make a compelling increase to their tenants after 2 years have passed. Citizens are suffering. I think a step will be taken to eliminate these grievances,” he said.

THE NETHERLANDS METHOD

One of the analysis proposals that came to the agenda in the studies initiated by the Ministry of Environment and Urbanization, the Ministry of Treasury and Finance and the economic staff of the AKP was the method that was put into practice in the Netherlands recently.

The Netherlands has decided to limit rental prices in order to prevent high rent increases. Report, homeowners will not be able to rent their dwellings at exorbitant prices above the value determined by the government. A similar procedure is being discussed in Turkey. However, unlike the Netherlands, the limits to be imposed on rent increases will be regional. In this context, it is stated that a limitation may be imposed on rent increases in obvious regions, especially in metropolitan areas. AKP sources said, “This is not for the whole of Turkey. For example, Istanbul is on the agenda and these high increases in certain parts of Istanbul are the subject of speech. These regions can be determined and proportional limitations are imposed accordingly. The Netherlands did this. A similar practice is being discussed in Turkey,” he said.

HOUSING PRODUCTION FOR RENTAL

Another proposal that comes to the agenda is the production of housing ‘for rental purposes only’ as an analysis of the increasing prices through land and TOKİ. Proposals are being discussed to give some basis to the construction companies that will produce housing in this area, and to reduce the taxes collected from rental income so that the property owners do not suffer. By putting these formulas into use, the government aims to meet the housing supply and to restrain the rent increases.

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