What Is the Legal Basis for Rent Increases?
Under Article 344 of the Turkish Code of Obligations, rent increases for residential and covered commercial leases may not exceed the change in the Consumer Price Index (CPI) 12-month average for the previous year. If the contract specifies a lower rate, that rate applies; if no rate is specified, the CPI 12-month average acts as the ceiling. Note: the relevant figure is not the annual inflation headline rate but the percentage change in the 12-month CPI average compared with the prior 12 months (published by TÜİK as the 'CPI Annual Average Change Rate'). This is typically lower than the year-on-year inflation figure reported monthly.
CPI vs PPI — What's the Difference?
- CPI (Consumer Price Index): Measures price changes for goods and services purchased by households. The statutory ceiling for residential rent is tied to CPI.
- PPI (Producer Price Index): Measures price changes for goods and services sold by producers. Commercial leases may be freely negotiated; some commercial contracts reference PPI.
For residential leases, the legal cap is always the CPI 12-month average — PPI is not binding for residential rent. This is the most commonly confused point.
Step-by-Step: How to Calculate Your Rent Increase
- Find the latest 12-month CPI average change rate from TÜİK or Kiratespit's live data panel.
- Multiply your current rent by that rate.
- Add the result to your current rent.
Worked example:
Current rent: ₺20,000 CPI 12-month average change rate: 58% (example — check current rate) Increase = ₺20,000 × 0.58 = ₺11,600 New rent = ₺20,000 + ₺11,600 = ₺31,600
If your contract specifies a lower rate (e.g. a fixed 25%), that rate takes precedence — the CPI rate is a ceiling, not a floor. Parties may agree to a lower increase.
If you're in a dispute about your rent increase, see our guide on how to file a rent lawsuit .