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Rent Increase vs Annual Inflation in Türkiye

Region: TürkiyeHesaplayıcı3 min read

Short answer

Türkiye's rent increase cap is not annual inflation but the CPI 12-month average change. Annual inflation compares one month with the same month a year earlier; the average compares the last 12 months with the 12 before. In August 2026 annual inflation was 31.51% and the average, which caps September renewals, 31.79%.

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Formula

12-month average change = (average index of the last 12 months / average index of the 12 months before − 1) × 100

annual change = (this month's index / same month last year's index − 1) × 100

maximum new rent = current rent × (1 + 12-month average change)

  • Index: TÜİK’s consumer price index (CPI, TÜFE). Its base year has been 2025=100 since January 2026.
  • TÜİK publishes both rates every month. Rent uses the 12-month average change of the month before the renewal month (Turkish Code of Obligations art. 344).

Step-by-step example

A home, current monthly rent 25,000 TRY, renewal date 15 September 2026:

  1. Find the month before: August 2026.
  2. Take TÜİK’s rates for August 2026: 12-month average change 31.79%, annual change 31.51%.
  3. Legal maximum rent: 25,000 × (1 + 0.3179) = 32,947.50 TRY. The increase is 7,947.50 TRY.
  4. For comparison, with the annual rate: 25,000 × (1 + 0.3151) = 32,877.50 TRY. This is not the legal cap.

This month the two rates are close and the rents differ by 70 TRY. In other months the gap is much larger.

The two rates month by month

A rent of 25,000 TRY with TÜİK data:

Renewal Month used CPI 12-month average Annual inflation Legal maximum rent Rent at the annual rate
September 2025 August 2025 39.62% 32.95% 34,905.00 TRY 33,237.50 TRY
January 2026 December 2025 34.88% 30.89% 33,720.00 TRY 32,722.50 TRY
April 2026 March 2026 32.82% 30.87% 33,205.00 TRY 32,717.50 TRY
June 2026 May 2026 32.24% 32.61% 33,060.00 TRY 33,152.50 TRY
September 2026 August 2026 31.79% 31.51% 32,947.50 TRY 32,877.50 TRY

The rates come from TÜİK’s consumer price index bulletins; the annual changes were checked against the TCMB table.

Why the two rates differ

The 12-month average takes every month of the last year into account, so it lags behind annual inflation. While inflation falls, the average stays above the annual rate: in August 2025 the average was 39.62% and the annual rate 32.95%. When inflation rises again, the annual rate can pass the average: in May 2026 the annual rate was 32.61% and the average 32.24%.

The legal cap is always the average. The parties may agree on a smaller increase. Residential leases renewed from 11 June 2022 to 1 July 2024 were also capped at 25%; the rent increase calculator applies that cap in this period.

Worked example: A 20,000 TRY residential rent renewed in September 2026

Maximum new rent

26,358 TRY

Maximum increase
6,358 TRY
Maximum increase rate
31.79%
CPI 12-month average change
31.79%
Step by step
  1. Maximum increase rate

    increase rate = CPI 12-month average change (2026-08)

    increase rate = 31.79% = 31.79%

  2. Maximum new rent

    maximum new rent = rent × (1 + increase rate)

    maximum new rent = 20,000 × (1 + 31.79%) = 26,358

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