Housing prices in Iran have soared by 83% according to the Ministry of Roads and Urban Development.
“According to the new numbers, the average price for each cubic meter of a residential unit in Tehran’s District 1 has reached 18,532,000 tomans which shows a 4.2% increase. This is a new record for the outgoing Ahmad Akhoundi (Minister of Roads and Urban Development),” Tasnim state-run News Agency wrote.
Ahmad Akhoundi resigned from the Ministry post on October 20.
“Also last month, 8,117 sale deeds were registered in Tehran which shows a 9.4% fall compared to last month. The number of sale deeds this year for the month of October was 12,317 which indicates a 34% decrease compared to last October,” the news agency added.
Before this an economist in Iran had said in comments carried by the Javan Online state-run website that 41 million people didn’t own homes in Iran, adding that they had to allocate two-thirds of their wages for rent.
This is while another state-run website said in May that the housing price would not be affected by the US-led sanctions but rather by mismanagement of the foreign exchange market.
“Housing market experts argue that since Iran is self-sufficient in producing building materials and because most construction is based on domestic productions, equipment and building materials, sanctions alone will not lead to a hike in housing prices,” Eghtesad Online wrote.
“Although if the foreign exchange market and economic conditions are not managed during the sanctions, the housing market will definitely be affected by these negative developments and there will be price hikes and stagnation,” the website added.