While the exorbitant rise in rents is shaking up citizens, landlords are resorting to a different path every day. Some of them are demands for above-guideline or even 100% raises, time plays, and unfair evictions to rent the house at a higher price. The fact that they couldn’t raise as much as they wanted, the difficulty of evicting, and the increase in value of the home as prices increased were effective in this decision to sell. What happens if a house with tenants is sold? We asked this question to the president of the Real Estate Law Association, lawyer Ali Güvenç Kiraz.
Pointing out that the tenant-landlord relationship has deteriorated in recent months due to market conditions, attorney Kiraz assessed the decision to sell as follows: “The landlords want to evict their tenants because they have learned that they cannot increase the 12-month CPI change. tariff for their tenants under 5 years. At this point, there are two options; Evacuation and acquisition by necessity, i.e. eviction due to the sale of the house to someone else. In eviction due to need, the need of the owner himself or the person for whom he is responsible must be proven, and if he files a lawsuit, it will take 2-2.5 years. For this reason, the owners now want to sell their buildings with tenants and transfer all the financial and temporal risks to the new owner. In such a case, Kiraz explained the roadmap to follow on behalf of both parties as follows:
STEP BY STEP PROCESS
*The owner who buys a property with a tenant must send a warning to the tenant within 1 month from the date of transfer of the deed. The notice must be given to the tenant within one month from the date of transfer of the deed. In this Notice, he will ask that he be the new owner of the building, to deposit the rent on his account, and to evacuate either within 6 months, or at the expiration of the lease contract, as provided by the law.
* At this point, dates become important. For example, if there is a lease contract with a start date of 01.01.2022 and an end date of 31.12.2022, if the former owner sells the building on 01.03.2022, it is in his interest that the new owner gives a notice of 6 months to the tenant. Because in the 9th month, the right to evacuate will intervene and he will not have to wait for the 12th month. But if the previous owner sells the building on 01.10.2022, it will be correct if the new owner sends the warning again and requests the eviction on 31.12.2022 instead of giving 6 months. This is an optional right.
CANNOT RENT TO OTHERS
* If the tenant does not vacate the house in either case, the landlord has the right to file an eviction suit. It takes an average of 2-2.5 years. Being sued during this period does not change the tenant’s responsibilities. The tenant must pay regular rent by making the legal increase rates.
*The purchase by a person of a house with a tenant does not give the right “to evacuate the tenant under any circumstances”. The new owner or his family must prove that he needs real estate. If the tenant is evicted in eviction due to acquisition, the new owner will not be able to rent to third parties for a period of 3 years. If determined by the previous tenant that he rented, he will receive 1 year of the last rental price as compensation. In other words, if someone who is buying a house for investment says, “Let’s rent twice the previous tenant”, it’s not legally possible.
*If the tenant continues to stay at home, it is not necessary to conclude a new contract with the new owner. This can only happen if the parties agree. If not accepted, the same contract continues. The rights and responsibilities written in the old contract are valid for both parties.
THE NEW HOST PAYS THE DEPOSIT
Lawyer Kiraz said that the new owner should pay the deposit received by the previous owner on the vacated real estate. Kiraz said: “In the event of a sale, all rights and responsibilities in the real estate will be transferred to the new owner. If the tenant lost due to the deposit (TL, not dollars, but the money was badly lost), this loss of interest must also be paid in addition to the deposit. Another important point is that the deposit can in no way be considered as rent. It will be used if the damages, losses and accessory costs caused to the building have not been paid. The deposit cannot be counted for paint and whitewash either. According to the Supreme Court of Appeal, paint and whitewash are not a bad and contemptuous use of the building, and therefore the tenant does not have to have it done.
123.5 PERCENT INCREASE ACROSS THE COUNTRY
Rising rents continue unabated. According to the report prepared by sahibinden.com with the cooperation of Bahçeşehir University Economic and Social Research Center (BETAM), the annual rate of increase in the average price per square meter of rental housing in the country was 123, 5% in March, while the average price per square meter of rental housing increased to 37.7 TL.
The annual rent increase rate was 126.5% in Istanbul, 116.1% in Ankara and 82.8% in Izmir. Thus, the average prices per meter for rental housing rose to 53.9 TL in Istanbul, 25.9 TL in Ankara and 32.5 TL in Izmir. According to the research, despite the increase in rental prices, demand for rental housing increased significantly in March. The rental housing demand indicator, which was 155.2 in February, rose to 181 in March, thus increasing the demand for rental housing by 16.6% compared to the previous month. In addition, it was reported that the number of rental advertisements is gradually decreasing.
A CASE CAN BE OPENED AFTER 5 YEARS
One of the issues that has been on the agenda lately is rent-fixing lawsuits. To know; The statutory rent increase for residences and workplaces is the 12-month average of the CPI. The rate announced by TUIK in April was 29.88%. The owner cannot say to his tenant: “Rents have increased too much in the region, I want a 50% increase”.
However, there is a 5 year criterion at this stage. If the tenant has lived in the same house for more than 5 years, the landlord can file a “lease determination file”. He asks for a new figure to be determined saying “The rent was lower than the regional average”. At this stage, the expert looks at the regional average. So whatever the owner wants, this number will not be valid. In addition, a discount is also applied to protect the former tenant. Stating that these lawsuits were concluded in more than 2 years, the experts recommend that tenants and landlords compromise.
Source: Hürriyet / Gülistan Alagöz