EghtesadOnline: Tehran’s housing Consumer Price Index in the 12-month period ending Dec. 20, 2020, which marks the end of the ninth Iranian month, increased by 68.2% compared with the corresponding period of last year, latest data released by the Statistical Center of Iran show.
SCI had put the average annual inflation rate for the preceding Iranian month, which ended on Nov. 20, 2020, at 65.2%.
The housing inflation for Nov. 21-Dec. 20, 2020, registered a year-on-year increase of 83% compared with the similar month of the previous Iranian year. The year-on-year inflation of the month ending Nov. 20 was 114.7%.
The housing CPI (using the Iranian month to April 19, 2016, as the base) stood at 589.8 in the month under review, indicating an 8.5% decline compared with the month before.
During the month ending Nov. 20, the housing CPI stood at 644.7, registering a 1.3% rise compared with the previous month.
A total of 2,555 homes were sold in the capital during the ninth month of the current fiscal year (Nov. 21-Dec. 20), registering a 42.8% and 73.2% decline compared with the preceding month and the same month of last year respectively.
Data published by the Central Bank of Iran on its website also indicate that the average price of each square meter of a residential property in Tehran stood at 269.05 million rials ($1,099) during the month under review, showing an increase of 98.9% over last year’s same month.
Home prices in the capital city decreased by 1.1% compared with the eighth month of the current year.
The CBI data also show that during the month ending Dec. 20, newly-built residential properties up to five years old constituted the highest proportion of deals at 39.1% (or 1,000 deals), down by 3.4 percentage points compared with the same month of last year.
That lost share was added to homes that were six to 10 years old and those above 20 years. Homes with a lifespan of six to 10 years and those above 20 years accounted for 20.7% and 12.6% of total deals compared with the same month of last year’s 19.3% and 9.7%, respectively.
The share of deals involving homes that were 11 to 15 years and 16 to 20 years old decreased from 12.8% and 15.7% of the total deals of last year’s same month to 12.3% and 15.2% this year respectively.
The distribution of dealt properties shows that among Tehran’s 22 districts, District 5 grabbed the highest share of total deals at 12.7%. It was followed by districts four and 10 with a share of 7.9% both.
All-in-all, 10 districts (five, four, 10, two, one, 15, 14, seven, 11, eight) grabbed the lion's share of the deals at 69.4% with the remaining 12 districts holding a 30.6% share.
Among Tehran's 22 districts, District 1 registered the highest average home price of 571 million rials ($2,333) per square meter. District 18 offered the capital city's cheapest homes with an average per-square meter price of 108.1 million rials ($441). The aforesaid figures show a respective increase of 84% and 66% YOY.
Residential units with an average price range of 140 million rials ($572) to 160 million rials ($653) per square meter were the most popular in Tehran during the Iranian month under review, as they grabbed a 7.9% share of all deals. They were followed by units priced at 180 million rials ($735) to 200 million rials ($817) per square meter with a share of 6.6% and homes priced at 120 million rials ($490) to 140 million rials ($572) per square meter with a share of 6.3%.
From the total number of deals, 59.7% belonged to homes cheaper than the average per-square meter price of the city (i.e., 269.05 million rials or $1,099).
Residential units with a floor area of 50-60 square meters registered the highest number of sales with a 15.6% share of total deals.
Units with an area of 60-70 square meters and 70-80 square meters came second and third with shares of 14.1% and 11.3%, respectively. All-in-all, residential properties with an area of less than 80 square meters had a 55% share of total deals.
CBI data further show that Tehran’s homes worth between 6 billion rials ($24,519) and 8.5 billion rials ($34,736) were the most popular with a 14.9% share of total deals. These were followed by homes with a price tag of between 8.5 billion rials and 11 billion rials ($44,953) and those priced at between 3.5 billion rials ($14,303) and 6 billion rials ($24,519) with a share of 9.5% and 8.4% of total deals.
Collectively, homes valued under 16 billion rials ($65,386) had a 50% share of total home deals in Tehran during the ninth month.
The CBI report also shows that during the first nine months of the current Iranian year (started March 20, 2020), the number of home deals finalized in Tehran totaled 70,598, which shows a 42.9% rise year-on-year.
In the same period, the average price of each square meter of a home in the capital stood at 222.6 million rials ($909), signaling a YOY surge of 74.2% compared with the nine months of last year.