As reconstruction in Türkiye’s earthquake-hit provinces nears completion, the government is preparing a new housing initiative aimed at easing access to homes and reversing the decline in home ownership, which has fallen to a low of about 56%.
Under the plan, authorities intend to launch a nationwide affordable housing campaign to build 500,000 homes in the country’s 81 provinces. For the first time, the programme will include social rental units to meet the needs of low-income households and speed up urban renewal. Both projects will be implemented by the Housing Development Administration (TOKİ).
By the end of this year, 453,000 homes are scheduled to be delivered in the earthquake zone. After that, state bodies will turn their attention to the wider challenges of the housing market. Announcing the new plan earlier this week, President Recep Tayyip Erdoğan said: “Through the Ministry of Environment, Urbanisation and Climate Change, we are launching the construction of 500,000 social housing units in all 81 provinces.” He added that the plan will include rental homes for low-income citizens.
Described as the biggest social construction drive in the history of the Turkish Republic, the initiative will be presented in more detail in the coming days. Under the plan, the state will cover 40–50% of construction costs so that units can be sold well below market prices. The main goal is to increase access to housing and raise home ownership among low-income and homeless groups.
Soaring rents in recent years have become a major problem affecting millions of households. A temporary 25% cap on rent increases did not solve it. The average rent for a 100-square-metre flat nationwide is now around TRY 25,000 (about USD 600), reaching TRY 35,000 in Istanbul, while new-build units rent for far more.
To address this, the government plans to build social rental units. Minister of Environment, Urbanisation and Climate Change Murat Kurum has confirmed that these projects will be carried out on both the Asian and European sides of Istanbul. This rental model, used in some countries but new to Türkiye, is expected to have three main benefits:
- Affordable options for low-income households
- Protection for tenants from landlord pressure through institutional renting
- Slower rent growth as housing supply expands
Real estate representatives welcomed TOKİ’s initiative but stressed that the private sector should also be involved. According to experts, high land costs mean most new projects target high-income buyers, while the main need is in the middle class.
