NOSNurdan in her current flat, which she has to leave
NOS Nieuws•vandaag, 20:54
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Mitra Nazar
correspondent Turkey
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Mitra Nazar
correspondent Turkey
Retired Nurdan has been living in her flat in Istanbul’s Kartal district for only a year. But her living room is already full of moving boxes. There is a hefty rent increase coming, which she cannot afford. She is preparing for her third move in three years.
With every move she is pushed further out of her beloved Istanbul. Even the far-flung suburbs have become unaffordable. She has already started packing, but she has not yet been able to find a new home. “Everyone asks, where are you going now?” she says as she wraps her glassware in newspaper. “The answer is: I don’t know.”
Nurdan is not alone. There is a lot of moving in Istanbul, towards the suburbs and further out of the city. The main reason: persistently high inflation, which has been above fifty percent for three years. It is causing an unprecedented rental crisis, which is greatest in the metropolis of Istanbul, where rents have tripled in recent years.
No more going to the movies
In Turkey, a landlord may increase the rent annually by the percentage of inflation. In September, the determined rent increase was no less than 65 percent. In reality, landlords have often increased rates by even higher percentages in recent years. This causes conflicts between landlords and tenants. And when tenants leave, rents sometimes double overnight for new residents.
For Nurdan, an increase of 65 percent means that her rent will be higher than her pension. “It’s devastating, both financially and emotionally,” she says. Her pension was never a fortune, but she was able to support herself. “I even had money left over to occasionally go to the movies or the theater with friends. That is no longer possible.”
NOSNurdan with moving boxes
The rental crisis made the international press in January. The then head of the Turkish Central Bank, Hafize Gaye Erkan, had moved in with her family because she could not find a place to live after coming from the US to take the top job. “Could it be that rents in Istanbul are higher than in Manhattan?” she wondered out loud in an interview.
Figures from the Turkish Statistical Office (TUIK) show that more than 2 million people moved from Istanbul between 2018 and 2023. People mainly moved back to their native villages or to smaller cities in the country.
Interest policy
According to economists, the fact that inflation in Turkey has risen so high is a direct consequence of the interest rate policy of the Turkish Central Bank, which is fully under the control of President Erdogan.
For years he insisted that interest rates remain low to stimulate investment. But low interest rates invariably lead to high inflation. Despite repeated increases in salaries and pensions, most Turks’ incomes lag behind inflation.
According to experts, there is simply not enough money in the treasury to equalize this. The minimum wage has now fallen below the poverty line. More than half of Turks earn around the minimum wage. The opposition is calling for early elections due to the ongoing crisis, but Erdogan promises improvement soon.
The Turkish government says the reason for high inflation is in the wake of the coronavirus pandemic, geopolitical tensions in the region, and says other countries are also struggling with inflation and livelihood crises. Erdogan asks people to be patient and promises that better times will come soon.
‘The toughest period is behind us’
Since Erdogan’s re-election last year, a new economic direction has been set with the appointment of Mehmet Simsek as finance minister. He did manage to convince Erdogan that interest rate policy had to change.
Interest rates rose sharply at the beginning of 2024, which should eventually reduce inflation. Yet inflation still peaked at 75 percent in May. “We need patience and time,” Simsek said in an interview with CNN Turk. “The toughest period is behind us.” Simsek predicts that the Turkish economy will not show real improvement until the end of 2025.
Uncertain times are coming again for the retired Nurdan. She has considered moving to the country. But she was born and raised in Istanbul. “That’s my problem,” she says. “I don’t have a village to come from and go back to, like a lot of people do right now. I’ll be a stranger everywhere.”
The Rental Crisis in Istanbul: A Comedy of Errors
Ah, Turkey! The country that gave us not only stunning views of the Bosporus but also a real-life soap opera unfolding in the city of Istanbul. Meet retired Nurdan, a woman whose boxes could rival the collection of a hoarding reality TV star. She’s been living in her flat for about a year now—short enough to still know the best pizza joint in the neighborhood and long enough to get emotionally invested in the paint color of her living room. But with a rent hike looming larger than her moving boxes, Nurdan finds herself embarking on yet another moving adventure. Can she even keep track of how many addresses she’s had in just three years? Spoiler alert: it’s three, and counting!
“Where Are You Going?”: The Million-Dollar Question
As she wraps her cherished glassware in old newspapers, friends pose the million-dollar question: “Where are you going now?” To which she replies, “I have no clue mate, but if you hear of a flat that’s going for the price of a pack of chewing gum, please let me know!” Nurdan’s not alone in this chaotic game of musical chairs known as apartment hunting in Istanbul, as residents are being pushed further and further out of the city. It’s like a bad magic trick where all the good real estate disappears before your very eyes.
The Inflation Station: Buckle Up!
Let’s not kid ourselves; this is no ordinary rent hike. No, dear reader, we’re talking about an inflation rate that’s been molecularly bonding itself to 50% for the last three years. It’s enough to make anyone question their life choices, like, “Why didn’t I take that job as a shepherd in rural Anatolia instead of staying in this financial Bermuda Triangle?” Rents in Istanbul have reportedly tripled, leaving someone like Nurdan wondering if she should start considering a cardboard box dealership as a viable side hustle—it’s all the rage in the suburbs!
No More Movie Nights
And just like that, go the hopes of a cheeky film night at the cinema—farewell to popcorn, hello to wondering where your next meal is coming from. ”I used to have cash left over to catch a flick now and then,” Nurdan laments, “but now it’s all about deciding which basic utility to prioritize—water or that tasty kebab.”
Prices Going Up, But Not Our Salaries
Turkey’s rental woes were even headline news earlier this year when the former head of the Turkish Central Bank publicly mused whether rents in Istanbul had surpassed those in Manhattan. You know it’s serious when we start comparing Istanbul to the Big Apple! And yet, after all this open-air theater, the tenants are often left with a new reality: landlords have taken to raising their rates faster than a cat can knock a glass off a table.
Economic Theories and Reality Checks
According to so-called experts—otherwise known as economists—Turkey’s inflation fiasco is the direct consequence of President Erdogan’s interest rate policies. It’s like a rollercoaster, but instead of thrills, you’re just feeling sick from the constant ups and downs. Spoiler alert: it’s not fun! Turkey’s minimum wage now sits below the poverty line; it’s about as useful as an umbrella in a windstorm!
Patience, They Say…
As we delve deeper, finance minister Mehmet Simsek talks of a new era and rising interest rates as a solution to the country’s financial folly. But waiting until the end of 2025 for “real improvement”? Come on! At this rate, Nurdan might have a great-grandchild before she sees her rent level out. Patience indeed. “The toughest period is behind us,” says Simsek. Well, mate, that’s easy to say when you’re not the one moving boxes every few months!
The Allure of Rural Life: A Bittersweet Escape
After numerous failed searches, Nurdan considers moving to the countryside. “But alas,” she muses, “I’m a city girl at heart. I’ve got no village to retreat to. I’d just end up the bewildered tourist in my own life story.” That’s right, her heart beats for Istanbul, even if her wallet feels like a thin piece of paper fluttering in the wind. Now, that’s a true romantic tragedy!
Closing Thoughts
As the beautiful Turkish city grapples with a rental crisis, one thing is clear: Nurdan’s plight is a microcosm of a larger issue affecting countless residents. The real estate game is treacherous, and for every flat someone may pack up and move into, another story of resilience and struggle emerges. As economic strategies swirl, one can’t help but feel for those like Nurdan, wrestling with the absurdity of it all. So here’s to hoping for a more stable Istanbul: where moving boxes become relics of the past, and laughter can return to the silver screen.
