Shocking details about housing prices in Tehran | The price of a 50-square-meter house is more than 20 years of a worker's salary
In the wake of the housing crisis, reports indicate a 500 percent price increase in some areas around Tehran.
On Sunday, August 17, ILNA News Agency reported on the "shocking" increase in housing prices in major cities and the capital, writing that over the past year, housing prices in some areas around Tehran have increased by up to 500 percent.
The news agency also quoted economic analyst Ehsan Soltani as saying that based on calculations, the average housing price in Tehran reached $1,060 per square meter in July of this year, and if we consider the minimum wage of workers to be 2 million tomans, if workers want to buy just 50 square meters of house, they would have to save 250 months – that is, 20 years and 9 months – of their entire salary!
Previously, the first deputy head of Tehran Province's Real Estate Department had reported the recession and decrease in the purchasing power of housing applicants in Tehran, and said that the recession in the housing market would deepen in the second half of the year, such that the housing market has not experienced such a recession in the past quarter of a century.
As the economic crisis in Iran continued, the value of the national currency plummeted, and the production and service sectors suffered a severe recession, some capital flowed into the housing sector, which led to an increase in prices. In addition, the rising inflation rate in the Iranian economy made housing more expensive than before.
Source: Voice of America
