Rental Prices in Tehran Increased by Approximately 51 Percent Over One Year
A survey by Iran’s Central Bank on the housing rental price index in December 2021 shows that rent for houses in Tehran has increased by 50.7 percent compared to December of the previous year.
According to this report, this index also increased by 54 percent compared to all urban areas in the same month of the previous year.
The Central Bank also estimated the average price per square meter of residential units in December 2021 at 32 million and 936 thousand and 400 tomans.
This figure shows an increase of 1.1 percent compared to November 2021 with an average price per square meter of 32 million and 590 thousand and 800 tomans. However, in December 2020, the average price per square meter of housing was 27 million and 386 thousand tomans, which means an increase of 20.3 percent within one year.
The Central Bank also identified District 1 of the capital with an average price per square meter of 70 million and 218 thousand tomans as the most expensive area in Tehran and District 18 with an average price per square meter of 15 million and 647 thousand and 900 tomans as the cheapest area in the capital.
The Statistical Center of Iran recently announced that the annual inflation rate in December 2021 for households in the country reached 42.4 percent and the point inflation rate in this month reached 35.9 percent.
The annual inflation rate refers to the percentage change in the average of the price index figures over one year up to the current month, compared to the corresponding period before that.
In the major group of “non-food goods and services,” the rental of residential units had the highest price increase compared to the previous month.
Official reports from Iran’s National Statistical Center show that in 2016 and 2017, the average share of housing in household expenses was 44 percent, which increased to between 55 to 60 percent of household expenses in 2020 and 2021.
According to Rostam Qasemi, the Minister of Roads and Urban Development, currently on average 60 to 70 percent of household expenses are spent on housing costs.
In recent years, multiple official reports have been released about the housing situation, the staggering increase in rent, and the astronomical growth in housing prices, especially in large cities such as Tehran.
Recently, multiple reports have also been released about renting rooftops and sleeping in buses by citizens who cannot afford to pay rent in Tehran.
The rate of increase in rental prices in major Iranian cities, especially Tehran, has reached such a level that the Coordinating Headquarters of the Economic Affairs of Ibrahim Raisi’s government announced efforts to control rental prices, efforts that have not yet yielded results.
Source: Radio Farda
