Housing Rental in Tehran Increased 54 Percent in Azar Compared to Same Month Last Year

The Central Bank of Iran released a new report on the country’s housing situation, stating that the housing rental index in Tehran and all urban areas of Tehran province increased by 51.2 percent and 54.2 percent respectively in Azar 1400 compared to Azar of the previous year.

This comes as the government’s National Coronavirus Combat Headquarters set a ceiling on rent increases in late Khordad of this year, determining the maximum increase for Tehran, major cities, and other cities at 25, 20, and 15 percent respectively.

Iranian government officials say housing shortages are causing dramatic increases in rental prices, and on this basis have launched a “National Construction Movement to Build One Million Homes Annually” and promised to implement this project over the next four years with the participation of the Islamic Revolutionary Guard Corps, economic institutions under the supervision of the Office of the Supreme Leader of the Islamic Republic, as well as cooperation with foreign countries including China.

Many view the feasibility of these projects with skepticism. Lack of transparency in the performance of these institutions and their tax exemptions amid Iran’s economic downturn are among the major criticisms leveled against these organizations.

According to reports from Iranian media, following the intensification of the rial’s devaluation against the dollar over the past month, home purchases in Tehran have surged again.

Central Bank statistics show that 9,772 homes were traded in Tehran in Azar of this year, which is three times higher than Azar of the previous year and represents approximately a 34 percent increase compared to Aban of this year.

The average price per square meter of housing in Tehran also increased by more than 21 percent in the past month compared to Azar of the previous year, reaching above 32 million tomans.

Source: Radio Farda