Why aidat is growing: reasons for higher service costs
In Turkey, there is a special fee in the property market – Aidat – which is charged for the maintenance and upkeep of housing. Recently, the amount of this fee has increased rapidly, which has a negative impact on both property owners and landlords, as well as tenants. The problem of high rates is particularly acute in Istanbul.
Aidat is a regular payment that covers the lift operation and electricity consumption at the entrance of a residential complex or office building. t also covers the salaries of property managers.
As a result of rising inflation, increasing prices and decreasing purchasing power, the aidat has skyrocketed, leading to criticism from households. Tenants were the first to feel the increase, as they were already struggling with rising rents.
The increase in the minimum wage and the rising cost of most services have also affected the amount of Aidat. In addition, experts believe that the rise in fees is also due to inefficient property management. Owners have failed to optimise processes in time, which has led to an increase in service costs.
Overview of fees in the Turkish capital
EVA Gayrimenkul analysed the dynamics of aidat in the Istanbul market:
– in 2023, the amount of aidat increased from 40% to 154%;
– since the beginning of 2022, as inflation has increased, the fee has increased by 170%;
– the highest service charge is in the capital’s Besiktas district. Here, a 100 square metre apartment costs an average of around 2,900 liras aidat;
– in the capital’s Şişli district, the aidat is around 2450 liras;
– in Kadıköy – 1800 liras.
Other parts of Istanbul have also seen an increase in fees. In Üsküdar, for example, aidat increased by 169% between the beginning of 2022 and August 2023, reaching 1800 liras. The increase in the prestigious Atasehir district was 160% to 1,950 liras. Across Istanbul, a 100-square-metre apartment will cost an average of 500 liras per month to maintain.
Options for dealing with rising aidat
Municipalities are also concerned about the rapid growth of the tax. To solve the problem, the authorities are discussing the possibility of introducing uniform criteria for calculating aidat. The changes are still under consideration. It is still unknown which standards will be approved. Remarkably, the authorities will require management companies to obtain a special licence as part of the changes. In addition, they plan to introduce software that will allow the relevant authorities to control the level of collection and further distribution of funds. At the same time, the authors of the project note that it is impossible to apply a fixed rate to all properties.