Apartment Prices in Tehran Increased by 62% in One Year

The Central Bank of Iran has reported that the average price of residential units sold through real estate agencies in Tehran was 7.4 million tomans per square meter, showing an increase of 6.1% compared to the previous month and 62.1% compared to August of last year. This report, published on Tuesday, September 6, on the official website of the Central Bank of Iran, adds that the number of residential apartment transactions in Tehran in August this year reached 12,000 units, which reflects a decrease of 11.2% compared to the previous month and 33.2% compared to the same month last year. According to the Central Bank of Iran, units built within the last five years accounted for the largest share at 44.3%. The report also states that in August this year, the housing rental index in Tehran showed a growth of 14.1% compared to August last year. This report only includes housing statistics related to Tehran. However, Hesam Aghabayi, the first vice president of the Real Estate Advisors Union, stated on September 5 to the Tasnim news agency that, on average, housing prices have increased by 55% over the past year, affecting especially the weak and middle classes of society. He also referred to the 'non-standard' age of houses in Iran, saying that 'the lifespan of buildings in developed countries is 150 to 200 years, while in Iran it is about 50 to 60 years, which has decreased; to the point that today houses over 15 to 20 years are referred to as dilapidated, and this issue poses a threat to both construction, crisis management, and public safety.'