Housing in Tehran; 87% Decline in Transactions, Less Than 1% Price Decrease
According to new statistics from Iran’s Ministry of Roads and Urban Development, housing transactions in Tehran in Farvardin of the current year declined by 87 percent compared to the previous month.
The average price per square meter of residential units in Tehran in Farvardin of the current year also decreased by 0.72 percent compared to the previous month, reaching 15 million and 545 thousand tomans.
According to Tasnim News Agency, based on these official statistics, in the first month of the current year, 1,096 real estate contracts were registered in the real estate registration system, which compared to 9,077 contracts in Esfand of the previous year, shows an 87 percent decline.
The highest average price among Tehran’s 22 districts was related to District 1 at 32 million tomans per square meter, and the lowest average price was assigned to District 18 at 7 million and 118 thousand tomans per square meter.
According to this report, the greatest price decline in the period from Esfand 1398 to the end of Farvardin 1399, with approximately 16 percent decrease, occurred in District 12 of Tehran.
In this district, the average price per square meter of residential units in Esfand of the previous year was 9 million and 205 thousand tomans, which reached 7 million and 714 thousand tomans in Farvardin of the current year.
The less than one percent decline in housing prices in Tehran occurred while in the past autumn, following a tripling of gasoline prices and a decline in the value of the rial, housing prices in District 1 of Tehran, known as Shemiran, increased by 34 percent, which had a significant impact on the overall average of the housing market in Tehran.
According to the Statistical Center of Iran, the price growth of housing in Tehran in Azar of the previous year was reported at approximately seven percent, but according to a field report, house prices in District 1 of Tehran, with an increase of eight million tomans per square meter, reached an average of 31 million tomans per square meter.
At that time, the reason for the price surge in housing in Tehran was attributed to “periodic speculation influx into the housing market” following the tripling of gasoline prices and an increase in currency prices.
Following the increase in inflation figures and the decline in the value of the rial, most people’s transactions in Iran are solely in the form of converting assets from rials to housing, dollars, gold, or stocks.
Source: Radio Farda
