Renting Property in Turkey as a Foreigner

1. Introduction

Foreigners who move to Turkey for work, study, retirement or investment usually face one of the same first questions: How does a lease agreement work in Turkey and how can I protect myself legally?

Whether you are renting an apartment in Istanbul, leasing an office in Ankara, or negotiating a shop contract on a busy tourist street, understanding Turkish lease law is essential. Turkish law offers strong protections for tenants in many situations, but at the same time imposes clear obligations and formalities on both landlord and tenant.

This article explains, in clear and practical language, how lease agreements work in Turkey from a foreigner’s perspective. It focuses on:

  • The legal framework and key concepts
  • Mandatory rules you cannot “waive” by contract
  • Rent, deposits, increases and payment rules
  • Duration, renewal and termination of leases
  • Rights and obligations of landlords and tenants
  • Special issues for foreigners (language, registration, address, residence permits, disputes)

The aim is to give foreign tenants, landlords and investors a realistic roadmap so that they can sign, perform and, if necessary, terminate Turkish leases safely and lawfully.


2. Legal Framework: Which Law Applies?

2.1 Main Legislation

Lease agreements in Turkey are primarily governed by:

  • Turkish Code of Obligations (TCO) (Türk Borçlar Kanunu – “TBK”)
  • Turkish Civil Code (Türk Medeni Kanunu) – especially for property and ownership issues
  • Enforcement and Bankruptcy Law (İcra ve İflas Kanunu) – for eviction and rent collection
  • Foreigners and International Protection Law – indirectly relevant for residence permits and address registration
  • Municipal regulations and building/use permits – for practical suitability of the premises

For residential and roofed workplace leases, the TCO contains many mandatory protections for tenants. These protections cannot be eliminated by contract to the detriment of the tenant, even if the tenant is a foreigner.

2.2 Foreign Tenants and Landlords

In most cases, Turkish law will apply to lease agreements relating to immovable property located in Turkey, regardless of the nationality of the landlord or tenant. Even if the parties choose a foreign law in the contract, Turkish mandatory rules on leases will still apply to Turkish immovables.

This means:

  • A foreigner renting an apartment in Istanbul is protected by the same mandatory rules as a Turkish tenant.
  • A foreign investor renting an office or shop must respect Turkish rules on rent increases, termination, eviction and so on.

3. Form and Language of Lease Agreements

3.1 Written vs. Oral Contracts

Under Turkish law, leases do not have to be in writing to be valid. An oral lease agreement is, in theory, possible. However, for foreigners this is extremely risky and not recommended, because:

  • You will have no clear proof of the agreed rent, deposit, duration, or rights and obligations.
  • It becomes very hard to prove your legal position in case of a dispute.
  • You cannot easily demonstrate your address for legal, tax or immigration purposes.

Therefore, in practice, a written lease agreement is strongly recommended for all foreign tenants and landlords.

3.2 Language Issues: Turkish vs. English

Many foreigners sign lease contracts drafted only in Turkish. This is legally valid. However, if you do not understand Turkish, you may be agreeing to clauses with serious legal consequences (for example: penalty clauses, eviction undertakings, automatic renewals).

Best practice for foreign parties:

  • Use a bilingual lease agreement (Turkish–English) or attach an English translation as an annex.
  • Clearly specify which language version will prevail in case of discrepancy (usually Turkish).
  • If the contract is only in Turkish, have it reviewed and translated by a lawyer before signing.

Remember: in disputes before Turkish courts, Turkish will be the working language, and the Turkish text of the agreement will carry the most weight.

3.3 Signatures and Capacity

The lease should be signed:

  • By the owner (or a properly authorized representative/agent with power of attorney), and
  • By the tenant (and, if applicable, a guarantor).

Foreigners should verify:

  • That the person claiming to be the landlord is actually the registered owner in the Land Registry (Tapu Müdürlüğü);
  • That any agent or real estate broker has valid written authority.

Otherwise, you risk paying rent to someone who is not legally entitled to lease the property.


4. Essential Clauses in a Turkish Lease Agreement

A properly drafted lease agreement for property in Turkey should at least include the following elements:

4.1 Parties and Identity Details

  • Full name and ID number (TCKN) or passport number
  • Address of both landlord and tenant
  • Contact information (phone, email)

For foreign tenants, the lease is often used for:

  • Residence permit applications
  • Address registration with the population registry

Therefore, the identity details must be accurate and consistent with your other documents.

4.2 Property Description

The contract must clearly describe the leased property:

  • Full address, block, parcel, flat number, floor
  • Type of property (residential apartment, villa, office, shop, warehouse)
  • Use purpose (residential, office, commercial, mixed use)
  • Common areas included (parking, storage, garden, etc.)

For foreigners it is crucial to confirm that the property can legally be used for the intended purpose (for example, an apartment may not legally be used as an office without change of use).

4.3 Duration of the Lease

Typical lease durations in Turkey:

  • 1 year fixed term for residential leases
  • Longer terms (e.g., 3 or 5 years) for commercial and office leases

Important practical point: In Turkish law, fixed-term residential and roofed workplace leases do not automatically end at the stated expiry date if the landlord does not serve proper notice. The tenant usually has strong continuation rights, as explained below.

4.4 Rent Amount and Currency

The agreement should specify:

  • The monthly rent amount
  • The currency (Turkish Lira, EUR, USD, etc.)
  • The payment date (e.g., by the 5th of each month)
  • The payment method (bank transfer is preferred)

For foreign tenants and landlords, foreign currency leases are common, especially for commercial properties in central districts. However, Turkish law contains restrictions on foreign currency indexing in some situations. Parties should seek legal advice if they plan to index rent to USD or EUR.

4.5 Deposit (Security)

The landlord may ask for a security deposit to cover potential damage or unpaid rent. Under Turkish law:

  • The deposit for residential and roofed workplace leases cannot exceed three months’ rent.
  • The deposit must be placed in a bank account in the tenant’s name, with a blocked term deposit, and both parties’ consent is needed for withdrawal (or a court decision/enforcement office order).

In practice, many landlords still keep the deposit in cash, but this is contrary to good practice and may create disputes later. Foreign tenants should insist on bank deposit to create a traceable, secure mechanism.

4.6 Rent Increases

Turkey has had a high inflation environment in recent years. Rent increase rules are therefore very important. Under the TCO, rent increases for residential leases are usually limited by indexation to a specific inflation figure, and sometimes by temporary caps introduced by legislation.

A typical clause might say that the annual rent increase will be limited to a certain index published by the Turkish Statistical Institute. Foreign tenants should check:

  • Which index is used
  • Whether the clause respects mandatory legal limits
  • Whether any extraordinary increase clause is included (for example, re-adjustment after a certain number of years)

4.7 Utilities and Service Charges

The contract should clearly regulate:

  • Who pays for electricity, water, gas, internet
  • How maintenance fees (aidat) and building common expenses are divided
  • Whether the tenant is responsible for minor repairs and how major structural repairs are handled

Ambiguity here leads to frequent disputes, especially in managed residential complexes and shopping centers.


5. Rights and Obligations of the Tenant

5.1 Payment of Rent and Deposits

The tenant’s primary obligation is to pay rent on time. Best practice for foreigners:

  • Pay by bank transfer, not in cash
  • Always include a clear description (e.g., “January 2026 rent for Flat 10, X Building”)
  • Keep all receipts and bank statements

If the tenant fails to pay rent, the landlord can send a payment order through the enforcement office and ultimately initiate eviction proceedings. Two separate unpaid rent periods within a certain time frame can justify termination for default.

5.2 Proper Use and Care of the Property

The tenant must:

  • Use the property in accordance with the lease purpose
  • Take reasonable care and avoid causing damage
  • Respect neighbors and building rules

If the tenant uses the property in an unlawful or abusive way (for example, turning a residential flat into an illegal hostel or noisy bar), the landlord may have the right to terminate the lease.

5.3 Prohibition on Unauthorised Sublease and Transfer

Unless the contract explicitly allows it, the tenant cannot sublease the property or transfer their tenancy to a third party without the landlord’s written consent.

Foreigners operating businesses should be especially careful when planning to:

  • Share the space with another company
  • Transfer the lease as part of a sale of business
  • Allow Airbnb or other short-term rentals

Unauthorized sublease can be a valid reason for the landlord to terminate the lease.

5.4 Notification of Defects and Repairs

If the tenant discovers defects in the property (such as structural issues, severe leaks, electrical hazards), they should:

  • Immediately inform the landlord in writing
  • Request necessary repairs within a reasonable time
  • Keep evidence (photos, videos, correspondence)

Under certain conditions, if the landlord fails to remedy serious defects, the tenant may claim rent reduction, damages, or even termination of the lease.


6. Rights and Obligations of the Landlord

6.1 Delivery of the Premises

The landlord must deliver the property in a condition:

  • That is suitable for the agreed use (habitable, safe, with basic utilities)
  • That complies with legal and administrative requirements (for example, building usage permit)

If the landlord delivers a defective property or fails to deliver at all, the tenant may claim compensation and, where appropriate, terminate the contract.

6.2 Major Repairs and Structural Issues

The landlord is responsible for:

  • Major structural repairs (roof, main plumbing, building structure)
  • Necessary works to keep the property suitable for use

Minor maintenance (such as replacing light bulbs, small fixtures) can be placed on the tenant, but major repairs normally remain the landlord’s obligation.

6.3 Respect for Tenant’s Possession

Once the lease starts, the tenant has the right to peaceful possession of the property. The landlord:

  • Cannot enter the property without tenant’s consent (except in emergencies, or as agreed – for example, for inspections with prior notice)
  • Cannot disturb the tenant’s use by constant visits or interference

Foreign tenants should be aware that informal practices (such as landlords entering with “their key”) are not legally justified unless the tenant consented.

6.4 Eviction and Legal Procedures

If the tenant:

  • Habitually fails to pay rent,
  • Violates the contract seriously, or
  • Uses the property unlawfully,

the landlord may pursue eviction via enforcement proceedings or court action. However, eviction is not automatic; it must follow formal legal procedures, often through the enforcement office and sometimes the courts. Self-help measures (changing locks, cutting utilities) can expose the landlord to legal liability.


7. Duration, Renewal and Termination

7.1 Automatic Renewal for Tenants’ Benefit

A key feature of Turkish law is that residential and roofed workplace leases are strongly tenant-protective. In many cases:

  • When the fixed term (for example, one year) expires,
  • If the tenant does not give notice to leave, and
  • If the landlord does not serve a valid termination notice under legally accepted grounds,

the lease automatically continues on the same terms, usually for another year.

This means that a foreign tenant who pays rent on time and does not breach the contract often enjoys long-term security of tenure.

7.2 Landlord’s Right to Terminate

The landlord’s ability to terminate a residential or roofed workplace lease is limited. Common legal grounds include:

  • Non-payment of rent
  • Persistent breach of contractual obligations
  • Landlord’s genuine need for the property (for personal or close family use), under specified conditions
  • Reconstruction or major renovation, subject to legal rules
  • Two justified payment warnings within a certain period

Even in these cases, the landlord usually has to follow formal procedures and timelines, and often needs a court judgment to enforce eviction.

7.3 Tenant’s Right to Terminate

The tenant has more flexibility and may:

  • Terminate at the end of the fixed period by giving written notice within the legal notice period (usually at least 15 days before expiry),
  • Terminate for just cause (for example, serious defects or impossibility of use),
  • Terminate by mutual agreement (settlement with landlord),
  • In some cases, terminate due to extraordinary circumstances (such as severe change in economic conditions, if the legal tests are met).

Foreign tenants should pay special attention to notice periods and form requirements, and serve notices by provable methods (such as notary or registered mail).


8. Deposits, Guarantees and Bank Issues

8.1 Legal Limit on Deposits

As noted, Turkish law limits deposits for residential and roofed workplace leases to three months’ rent. If a landlord demands six or twelve months’ rent up front as deposit, this may be contrary to law and may be challenged.

8.2 Bank Account Requirement

The deposit should be:

  • Deposited in a bank;
  • In a term savings account in the tenant’s name;
  • Blocked, so that it can only be withdrawn with joint instructions of landlord and tenant or a court/enforcement office decision.

Despite this, many landlords prefer cash. Foreign tenants should insist on a banking method, as it provides much stronger legal protection and clear records.

8.3 Personal Guarantees and Sureties

Landlords sometimes require personal guarantors (for example, an employer or relative). Under Turkish law, guarantee (kefalet) agreements have their own formalities:

  • They must be in writing;
  • The guarantor’s liability must be clearly stated, including maximum amount and duration;
  • In some cases, certain warnings must be included.

Foreign tenants who act as guarantor for another person, or whose friends sign as guarantor, should be aware that these commitments can be strictly enforced.


9. Registration and Address Issues for Foreigners

9.1 Residence Permits and Immigration

Foreigners who apply for residence permits in Turkey are usually required to show:

  • A valid lease agreement or property ownership document;
  • Confirmation of the address where they will stay.

Therefore, the lease should:

  • Be properly signed and dated;
  • Reflect the true rent and address;
  • Not contain false information just to reduce taxes, because this can create serious legal risks.

9.2 Address Registration (Nüfus Kayıt Sistemi)

After signing the lease and moving in, foreigners must register their address with the civil registry (Nüfus Müdürlüğü). The lease contract is often used as supporting documentation. Any inconsistencies in the contract (wrong apartment number, different names, etc.) can cause administrative problems.

9.3 Tax Considerations for Landlords

Landlords (Turkish or foreign) must declare rental income to the Turkish tax authorities. Some landlords may ask foreign tenants to pay a higher amount unofficially and show a lower amount in the written lease for tax reasons. This is risky for the tenant because:

  • The written contract may show a lower rent than you actually pay, making it difficult to prove the real amount in disputes.
  • It may expose both landlord and tenant to tax-related issues.

Best practice is to have the written contract reflect the actual rent and to make all payments by traceable bank transfer.


10. Dispute Resolution, Eviction and Practical Tips

10.1 How Rent and Lease Disputes Are Resolved

Disputes over rent, defects, deposit return, or termination are usually resolved by:

  • Turkish courts (civil courts of peace or civil courts of first instance, depending on the issue and amount),
  • Enforcement offices (for rent collection and eviction proceedings), and
  • Sometimes mediation, which may be mandatory in certain types of disputes before filing a lawsuit.

For foreign tenants and landlords, language and procedural complexity can be challenging. Having local legal representation is usually essential in formal proceedings.

10.2 Eviction Procedure in Brief

If the landlord wants to evict the tenant for non-payment or other legal grounds, they typically:

  1. Send a payment order or warning through the enforcement office or notary;
  2. If the tenant does not comply, file for eviction;
  3. Follow court or enforcement procedures until a final decision or enforceable order is obtained;
  4. Request execution by the bailiff office, which can physically remove the tenant with the help of the police, if necessary.

Self-help eviction (changing locks, physical pressure) is not legal and may lead to claims for damages by the tenant.

10.3 Common Pitfalls for Foreign Tenants

Some recurring problems faced by foreigners in Turkey include:

  • Signing a purely Turkish contract without understanding key clauses;
  • Paying large cash deposits without any bank record;
  • Accepting artificially low rent in the contract while paying more in reality;
  • Not verifying that the “landlord” is actually the registered owner;
  • Failing to respect notice periods for termination;
  • Trying to use the flat for short-term rentals (Airbnb) where building rules or Turkish regulations do not allow it.

To avoid these pitfalls, foreigners should:

  • Have the lease reviewed by a lawyer before signing;
  • Prefer bilingual contracts and bank transfers;
  • Keep copies of all documents and communications;
  • Immediately seek legal advice if conflicts arise.

11. Special Issues for Commercial Leases

While many of the above principles also apply to commercial leases (shops, offices, restaurants), there are additional aspects for foreign investors and companies:

  • Fit-out and renovation works: Who pays for them, and what happens to the fixtures at the end of the lease.
  • Turnover-based rent in shopping centers or malls.
  • Long-term lease commitments linked to franchise or distribution agreements.
  • Competition law issues (exclusivity, non-compete clauses in shopping centers).
  • Corporate guarantees from parent companies or foreign shareholders.

Commercial leases are usually more complex and heavily negotiated, and foreign businesses should ensure that the lease is aligned with:

  • Their corporate structure in Turkey,
  • Their tax planning, and
  • Any franchise, license or distribution agreements they may have.

12. Practical Checklist for Foreigners Renting in Turkey

Before signing a lease agreement in Turkey, a foreign tenant or investor should go through this basic checklist:

  1. Verify the Landlord
    • Is the person the registered owner?
    • If represented by an agent, is there a valid power of attorney?
  2. Check the Property
    • Is the property suitable for the intended use (residential, office, shop)?
    • Are there any obvious defects or legal issues (unlicensed construction, lack of occupancy permit)?
  3. Get a Written, Bilingual Contract
    • Include Turkish and English texts where possible.
    • State which language version prevails.
  4. Clarify Key Terms
    • Rent amount, currency, payment date and method.
    • Deposit amount and method (bank account).
    • Duration, renewal terms and notice periods.
    • Rent increase mechanism and any caps.
  5. Regulate Utilities and Building Fees
    • Who pays for electricity, water, gas, internet?
    • How are common charges (aidat) calculated and paid?
  6. Confirm Sublease and Use Restrictions
    • Are subleases allowed?
    • Are short-term rentals or business use permitted?
  7. Consider Residence and Tax Issues
    • Will the lease support your residence permit application?
    • Does the contract reflect the real rent?
  8. Keep Documentation
    • Signed contract, copies of IDs, bank receipts, correspondence.
    • Photos/videos of the property at the beginning and end of the lease.
  9. Get Legal Advice Where Needed
    • Especially for high-value leases, commercial premises, or unusual terms.

13. Conclusion

Lease agreements in Turkey offer both opportunities and risks for foreigners. Turkish law is generally protective of tenants, especially in residential and roofed workplace leases, but it also expects parties to respect specific formalities and procedures.

For foreign tenants, the most important points are:

  • Always use a written, clear and understandable lease, ideally bilingual.
  • Respect legal limits on deposits and rent increases.
  • Pay rent through traceable banking channels.
  • Observe notice periods and keep all documentation.

For foreign landlords and investors, understanding the tenant-protective nature of Turkish lease law is crucial when planning investment returns and exit strategies.

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