Gross rental yield in Turkey is roughly 6% to 8% in lira terms, but the lira loses value every year. This guide shows the numbers by city, what is left after tax and costs, and why the euro result is the one that matters.
Investment property in Turkey shows a gross rental yield of roughly 6% to 8% a year in lira terms, higher than most of Europe. The catch is the currency: rents and prices are in lira, and the lira loses value against the euro every year, so the yield you see on paper is not the return you keep if you count in euros. This guide gives the numbers by city, what is left after tax and costs, how rent increases work, and what to buy for which goal. Figures are indicative as of October 2026 and are not a promise for any single unit. For what you pay to buy, see Turkey property prices and buying costs.
Gross yield by city
Gross yield is annual rent divided by the purchase price, before any cost or tax. We worked it out from two August 2026 averages published by Endeksa and Emlakjet, the average monthly rent and the average sale price. This is our own arithmetic on two different samples, so treat it as an indicator, not a measured yield:
- Istanbul: rent about 45,510 TL a month against an average price of about 7.4 million TL, roughly 7.4% gross
- Ankara: about 34,440 TL against 5.1 million TL, roughly 8.1%
- Izmir: about 33,369 TL against 6.6 million TL, roughly 6.1%
- Antalya: about 29,306 TL against 6.1 million TL, roughly 5.8%
- Turkey on average: about 28,040 TL against 5.3 million TL, roughly 6.3%
Global Property Guide reports similar levels for the first quarter of 2026, as summarised in search results: about 8.2% on average in Istanbul, with big differences by district. Esenyurt one-bedroom flats show over 10% and Şişli two-bedrooms about 8.4%, while Kadıköy sits near 4.2% to 5.3%. In Antalya, Kepez and Muratpaşa one-bedrooms show about 7.6% to 8.0%, Konyaaltı about 6.3%, and Alanya roughly 3.9% to 6.1%. The pattern is the usual one: cheaper outer districts and small units yield more, prime and seafront areas yield less because prices carry a lifestyle premium.
Lira yield versus euro return
This is the part that decides whether Turkey works for you. In August 2026 Turkish home prices were up about 23.5% in lira over twelve months, but after inflation they were down about 6.2%. The central bank counted the eighth month in a row in which prices fell further behind inflation. Rents were up about 22.3% nationally, which is also below inflation of roughly 32%.
Meanwhile the lira weakened: the euro cost about 48.7 lira at the end of October 2025 and about 53.8 lira in mid-July 2026. If you earn rent in lira and spend or count in euros, roughly a tenth of that income is lost to the exchange rate within a year, and the capital gain in lira shrinks the same way. A 7% gross lira yield can therefore be a much smaller yield in euros, and a property can rise in lira while barely moving in euros. Istanbul is the exception that helps: Emlakjet reports Istanbul rents rising about 9.4% above inflation in the year to August 2026, and the central bank put Istanbul rents up about 32% in July. That is why a deep, central market tends to protect an owner better than a resort town.
How rent increases work
A long-term residential lease in Turkey can be raised once a year. Since the 25% cap ended in July 2024, the limit on a renewal is the twelve-month average inflation rate, and a landlord cannot go above it without a court decision. Reported limits were about 34% for February 2026 and about 33% for April 2026. The limit applies to existing tenants; a new tenancy is priced at the market rent. In practice a landlord who keeps a tenant for years falls behind the market, while one who re-lets at market keeps pace with inflation. Confirm the current month's limit and how it applies to your lease with a Turkish lawyer.
Tax and costs: from gross to net
Rental income is taxed in Turkey, including for non-residents who own property there. For a home let to a tenant, an annual exemption applies, 47,000 TL for income earned in 2025, and a 15% lump-sum expense deduction is taken from the rest. The remainder is taxed on the progressive scale of 15% to 40%. For 2026 income the brackets are 15% up to 190,000 TL, 20% up to 400,000 TL, 27% up to 1,000,000 TL, 35% up to 5,300,000 TL and 40% above, so a normal investor lands in the 15% to 27% band. Residents and non-residents file by March of the following year, with payment in two instalments. A non-resident is reported to get the exemption only if there is no other full return, so check your own case.
An illustration on our own assumptions, not market data: an Istanbul flat at the average price earns about 7.4% gross. One empty month a year takes off about 0.6 points, building fees, insurance, repairs and property tax we assume at about 1 point, and income tax on that rent at 2026 brackets comes to about 1 point. That leaves about 4.8% net in lira, before the exchange rate. Your numbers will differ with the building, the tenant and your tax position.
Short-term lets: a harder case than it looks
Many buyers count on holiday income in Antalya, Bodrum or Istanbul. Since 2024 any rental of 100 days or less per contract needs a permit, and in a multi-owner building that needs the consent of all owners, as we explain in Turkey short-term rental rules. Market aggregators show what happened: in the twelve months to mid-2026 occupancy averaged only about 29% in Antalya and about 30% in Istanbul across all listings, and the number of active listings fell by about 45% in the Antalya area and 50% in Istanbul. These are aggregator figures, not official statistics, and professionally managed units do better than the average, but do not buy on a holiday-let yield without a permit in hand.
What to buy for which goal
- Steady lira income and some protection against inflation: a modest flat in a deep Istanbul or Ankara district with year-round tenants
- Lifestyle and occasional use: Antalya and the coast, accepting a lower yield and a seasonal market. See best areas to buy in Turkey
- Capital preservation in euros: be cautious. Over the last year lira gains were mostly an exchange-rate effect, so compare with other markets, for example Turkey versus Dubai or Georgia versus Turkey
- Residence or citizenship: that is a different decision with its own rules, see Turkey citizenship and golden visa
Before you buy, read the risks too: Turkey property investment risks and the resale checklist.
FAQ
What is a good rental yield in Turkey? Roughly 6% to 8% gross in lira in the big cities, with about 4% to 5% net in lira after costs and tax. In euros it is lower. Is Istanbul better than Antalya for rent? On the August 2026 averages Istanbul shows a higher gross yield and rents rising faster than inflation, while Antalya is more seasonal. Is there a rent cap? Renewals are limited to the twelve-month average inflation rate, but new lets are at market rent. Do foreigners pay tax on Turkish rent? Yes, rental income from Turkish property is taxable, with an exemption for residential lets. Can I rely on Airbnb income? Not without a permit, and occupancy has been low, so model long-term rent first.
How we help
We shortlist Turkish property to your goal, compare the lira yield with the euro outcome, check whether a holiday-let permit is realistic and coordinate local lawyers and accountants. Start with the Turkey page.
This material is informational only and is not legal, tax or investment advice. Figures are indicative, come from market and professional sources and change over time; confirm current rates and rules with a Turkish lawyer or tax adviser before you buy.