A significant court ruling affecting tenants in Türkiye has been announced. According to a precedent decision by the Yargıtay 6. Hukuk Dairesi, the deposit refund at the end of a lease will no longer be based on the original amount, but instead calculated according to the current rental value.

What Does This Mean?

Under this ruling:

  • Landlords can no longer return the original deposit amount paid years ago
  • The deposit must be proportional and updated based on the rental price at the end of the contract

This aims to protect tenants from losing value due to inflation and rising rents.

How Is It Calculated?

The new method works as follows:
Determine the ratio of deposit to rent at the beginning of the contract. Apply the same ratio to the current rent at the time of moving out

Example

  • Initial rent: 5,000 TRY
  • Deposit: 10,000 TRY (equal to 2 months’ rent)

If the rent increases to 15,000 TRY at the end of the lease: The deposit refund should be 30,000 TRY (equivalent to 2 months of current rent)

Background of the Decision

The case behind this precedent dates back to 1993. A tenant sought to recover the deposit based on its current value upon moving out, and the high court ruled in favor of updating the deposit amount, setting an important legal precedent.

Why It Matters

This ruling:

  • Protects tenants from financial loss
  • Promotes fairness between landlords and tenants
  • Sets a guiding precedent for future disputes

Foreign residents in Türkiye are advised to consider this update when signing or terminating rental agreements.