A New Era Begins in Rental Agreements

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A New Era Begins in Rental Agreements

Minister of Treasury and Finance Mehmet Şimşek announced that they are working on a new system that includes radical changes in rental contracts. This system, which will be implemented at the beginning of 2024, aims to move the leasing processes to a digital platform to provide a more transparent and secure structure.

According to the new regulation, rental agreements will be carried out in two phases via the e-Government system. By the end of the year, tenants and landlords will be included in the system, while real estate agents will join later. This application will facilitate more integrated solutions for issues such as avoiding rental income declarations and problems in presenting contracts.

How will the two-phased system work? Real estate expert Mustafa Hakan Özelmacıklı stated in a statement that the system will operate in two stages. In the first phase, property owners will be able to present their prepared rental agreements to the tenant for review. These agreements will include basic information such as the rental amount, the owner’s bank account details, rental increase, and duration.

With the tenant's approval, the agreements will be transmitted to the parties with timestamping and barcodes. In the second phase, real estate businesses will come into play, assisting in the preparation of contracts and the inclusion of additional clauses.

Eliminating fraudulent documents with the system's advantages One of the major benefits of the new system is that it prevents the issuance of fraudulent and misleading documents. All approved contracts will be accessible to relevant institutions, thus preventing unlawful practices. This will establish a more reliable foundation for leasing transactions.

Real estate businesses will guide landlords facing difficulties in transitioning to the digital system while also supporting the more detailed preparation of rental contracts. This process will contribute to reducing disputes between tenants and landlords by ensuring transparency in rental agreements.