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Failure of Million-Housing Promises; Housing Economist: Raisi's Government Built Fewer Houses Than Before

Feb 5, 2026 February 5, 2026 2 min read 📰 VOA Persian
📋 Key Takeaway

A housing economist has revealed that the Iranian government under President Raisi has constructed significantly fewer homes than promised, with annual production dropping from 300,000 to 200,000 units. This decline, coupled with rising rental costs and a severe housing shortage, has made homeownership an unattainable dream for many Iranians. The situation highlights the government's failure to address the housing crisis amidst economic challenges.

🔍 Quick Context Guide
💡 Bottom Line: The Iranian government's inability to fulfill housing promises highlights a growing economic crisis and social discontent.

👥 Key Players

Ebrahim Raisi MENTIONED
President of Iran
"As the current president, Raisi's policies and promises directly impact Iran's economic and housing landscape."
Habibollah Setarian MENTIONED
Housing Economist
"Setarian provides expert analysis on housing issues, highlighting the failures of government policies."
Iran Open Data MENTIONED
Data Reporting Organization
"This organization provides critical statistics that inform public understanding of economic conditions in Iran."

📰 What Happened

The Iranian government has failed to meet its promise of building one million housing units annually, with construction dropping from 300,000 to 200,000 units. This has exacerbated a severe housing shortage and made homeownership unattainable for many Iranians.

  • Only 200,000 housing units were built last year, down from 300,000.
  • Rental prices have increased by 55% compared to the previous year.

💡 Why It Matters

🇮🇷 For Iran: The housing crisis reflects broader economic mismanagement, affecting quality of life and social stability.
🌍 Regional: A deteriorating economic situation in Iran could lead to increased instability in the region.
🌐 International: The failure to address housing and economic issues may affect international perceptions of Iran's governance and stability.

📚 Background

Iran has long struggled with housing shortages and economic challenges, which have been exacerbated by sanctions and mismanagement. The promise of affordable housing has been a key political issue.

Iran's economic policies Housing crises in urban areas
📡 Source: NEUTRAL
📊 Confidence: 70%
The article is based on expert analysis and data reports, providing a factual overview of the housing situation in Iran.

Despite the Iranian government's promises to build millions of houses, a housing economist has reported a significant decline in housing construction under President Ebrahim Raisi compared to previous administrations. According to today's issue of the 'Ham-Mihan' newspaper, Habibollah Setarian, a university professor, stated: 'For over two decades, one million housing units should be built annually, but only 300,000 units are produced.' This housing economist added that the annual construction of '300,000 housing units' has decreased in the last two years to '200,000 housing units.' Given that a report published on November 29 by 'Iran Open Data' indicates that the price of 'one serving of chelow kebab' is twice the 'daily food cost' of a worker, the dream of homeownership has become unattainable for many income brackets in Iran. According to Setarian, Iran is currently facing a 'severe housing shortage' and is attempting to meet the 'housing needs' under current economic conditions, which is impossible due to the extensive budget required for such construction. Based on a mid-November report from the 'Donya-e-Eqtesad' newspaper, in the two years since the launch of the 'one million housing units per year' plan, which Raisi promised during his presidential campaign in June 2021, the effective supply has reached '600,000 units' while the effective demand is '650,000 individuals.' Furthermore, alongside the housing construction crisis, Iranian media reported on November 18 that this year's rental contracts have seen a '55 percent' increase compared to last year, which is more than double the 'historical average of this rate.' The gap between food and housing and basic needs; quality of life is in free fall; marriage in the style of the Islamic Republic; starting a shared life with 26 million tomans in installments; one newspaper; tenants face inflation and taxes, suffering from 'misguided policies'; the Ministry of Roads: the price of each meter of 'national housing' may reach 12 million tomans; report from Iran Open Data: the price of one serving of chelow kebab is twice the daily food cost of a worker; workers are on the verge of being excluded from the 'national housing plan.'

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Translated from the original and edited for English readers. View original source →

Translation confidence: 85%

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