Russians in Antalya, Arabs in Trabzon raised prices for rental housing

While the prices of rental flats, which have tripled in the last year in Antalya, are forcing the city’s civil servants and retirees to emigrate, Trabzon is also seeing a noticeable development in rent increases.

Trabzon, which was not even in the top 10 provinces with the highest rent growth in August, has rapidly climbed the ranking of rent champion provinces in the last two months.

Trabzon, which was the fourth largest rent-growing province in September, jumped two more ranks in October to become the country’s second-highest rent-growing province after Antalya.

According to BETAM data, Antalya became the champion of rent growth with a year-over-year increase of 257 percent in October, while apartment rental prices in Trabzon increased by 200 percent in October. The annual increase in rents jumped from 166.8% to 200% in just one month.

Then why?

While the intense demand from the Russians after the war was effective in increasing prices in Antalya, what is happening in Trabzon?

‘THE CURRENT STOCK OF HOUSING IS NOT ADEQUATE TO THE DEMAND’

Speaking to Sozcu.com.tr, the president of the Trabzon Chamber of Builders and Realtors, Ayhan Taflan, explained that the first effective reason for the sharp increase in housing and rent prices was the inability to build new houses. due to high construction costs and the melting of existing ones. housing stock in Trabzon.

Taflan said that the prices of houses for sale in Trabzon start from 1.5 million TL and the demand for rented houses is increasing from citizens who cannot buy a registered house.

“There is a housing stock that cannot meet the current demand. This causes prices to rise rapidly,” Taflan said, adding: “Due to Trabzon’s rugged terrain, land shortage and the incredible increase in construction costs further cause the inability to produce new housing.”

AVERAGE RENTAL PRICES REACHED 5 THOUSAND TL

Taflan noted that average rental prices in Trabzon reached 5 thousand TL and this figure was between 3 thousand and 4 thousand TL at the beginning of the year, and continued as follows:

“People’s housing needs were constrained by prices.

As long as supply is tight, demand is high, and costs remain high, prices will never come back. Let it come back, even standing still is enough. The government needs to find a solution to this problem.”

‘ARAB TOURISTS LOOKED FOR RENTAL FLATS INSTEAD OF HOTELS’

Speaking to Sozcu.com.tr, the president of the Trabzon branch of the TMMOB Chamber of Civil Engineers, Mustafa Tiryaki, explained that the arrival of many foreign tourists, especially from the Gulf countries, to Trabzon this year was effective. in rising prices.

Pointing out that citizens could not make purchases due to the levels reached by the prices of houses for sale, Tiryaki said: “When sales fell, the option of renting to foreigners arose. When the number of tourists coming to our city was high this year, houses were converted into apartments and began to be rented daily and monthly to foreigners, especially Arabs,” she said.

Tiryaki said: “As this actually reduced the supply of housing, it increased the prices of houses for sale and negatively affected the prices of other rental flats.”

818 HOMES SOLD TO FOREIGNERS IN THE FIRST 10 MONTHS

According to data from the Turkish Statistical Institute (TUIK), a total of 952 houses were sold to foreigners in Trabzon last year.

While 750 homes were sold in the first 10 months of last year, this number increased to 818 in the first 10 months of 2022.

Although the sales of houses to foreigners in Trabzon increased in the period January-June 2022 compared to the same months of the previous year, they began to decrease annually from July (except August).

Finally, the number of residences sold to foreigners in Trabzon between September 2021 and 2022 increased from 189 to 78; In the October 2021-2022 range, it decreased from 115 to 66.

Officials from the city’s Chamber of Real Estate and the Chamber of Civil Engineers point out that although there was an increase in sales in the first 10 months of this year compared to the same period of the previous year, sales remained very low compared to previous years, and this is why the rental rate increased more this year.

‘It has tripled in a year, we can’t even believe it’

Tiryaki says that right now, even they can’t believe the level of rental prices in Trabzon:

“Rents have gone up to absolutely incredible levels. Compared to a year ago, rents have doubled, tripled, or even quadrupled in some places. We are even surprised when we hear it. We were used to the high rents in Istanbul, but we couldn’t get used to the increase in Trabzon.”

‘THERE ARE FLATS RENTED BY FOREIGN OWNERS’

Speaking to Sozcu.com.tr, CHP Trabzon MP Ahmet Kaya said that tourists from Gulf countries played a role in the sharp rise in rental prices.

“When we look at the average income of people living in Trabzon, the level of rents is very high. It is not possible to explain these rent increases with the current income of our local citizens,” Kaya said, continuing as follows:

“This year renting a house has become a preferred option for foreigners. Apart from this, there are also houses bought by foreigners and rented at high prices. This drives up prices.”