EghtesadOnline: The average Consumer Price Index for rent levels of residential homes in urban areas during the four-quarter period leading to June 21, which marks the end of spring, increased by 28.8% compared with the corresponding period of last year.
The Statistical Center of Iran had put the annual inflation rate for the preceding quarter (winter), which ended on March 20, at 27.5%.
The highest and lowest average annual inflation rates were registered for Hamedan and Sistan-Baluchestan provinces at 38.3% and 13.6% respectively.
According to the SCI report, CPI for rent levels in urban areas (using the Iranian year to March 2017 as the base year) reached 226 in the first quarter of the current Iranian year (March 21-June 21), indicating a 3.5% increase compared with the previous quarter.
SCI had put the quarter-on-quarter rent inflation rate for the preceding quarter, which ended on March 20, at 4.4%.
Kurdestan and Lorestan provinces registered the highest and lowest quarter-on-quarter inflation rates for tenants in urban areas with 8.9% and 0.6% respectively.
The consumer rent price index in urban areas increased by 29.1% in Q1 against the same quarter of last year. SCI had put the year-on-year rent inflation rate for the preceding quarter at 28.9%.
The highest and lowest inflation rates on a year-on-year basis in the fourth quarter of last year were posted by Kermanshah with 39.6% and Sistan-Baluchestan with 13.9%.
The report also shows CPI measured for housing sector (sales) in urban areas was 226.7 in Q1, indicating a 3.6% rise compared with the previous quarter and a 29.3% growth over the same quarter of last year.
SCI had put the quarter-on-quarter and year-on-year housing inflation rate for the preceding quarter at 4.5% and 29.1%, respectively. The average annual housing CPI increased by 29% in Q1 compared with the similar quarter of last year. It had put annual housing inflation rate for the preceding quarter at 27.6%.
CPI calculated for maintenance and repair services of residential units, including plumbing, plastering, home electrification and insulation services, in urban areas stood at 291.6 in Q1, indicating an 11.1% rise compared with the previous quarter and a 51.9% growth over the same quarter of the year before.
SCI had put the quarterly and year-on-year maintenance and repair services inflation rate for the preceding quarter at 8.4% and 45.4%, respectively.
CPI for maintenance and repair services increased by 43.1% in the four-quarter period ending June 21. This is while SCI had put annual maintenance and repair services inflation rate for the preceding quarter at 36.4%.
Data published by the Central Bank of Iran show the average price of each square meter of a residential property in Tehran stood at 287.96 million rials ($1,151) in the second month of the current fiscal year (April 21-May 21).
The rate indicates a surge of 69.7% over last year’s same month as prices averaged 169.72 million rials ($678).
However, home prices in the capital city dropped by 1.8% compared to 293.22 million rials ($1,172) in the first month of the current year.
A total of 3,938 homes were sold in the capital during the month under review, registering an 88.1% increase compared with the preceding month but a 65.2% decrease compared with the same month of last year.
The CBI data also show that during the month ending May 21, newly-built residential properties up to five years old constituted the highest proportion of deals at 35.7% (or 1,405 deals), down by 3.1 percentage points compared with the same month of last year.
That lost share was added to homes with a lifespan of six to 10 years, 11 to 15 years and above 20 years. Homes with a lifespan of six to 10 years, 11 to 15 years and above 20 accounted for 20.8%, 13.5% and 13% of total deals compared with the same month of last year’s 18.3%, 12.5% and 12.6%, respectively.
The share of homes that were between 16 and 20 years old was 17% of the total home deals during the month ending May 21, compared with 17.8% of the same month of last year.
The distribution of dealt properties shows that among Tehran’s 22 districts, District 5 grabbed the highest share of total deals at 15.3%. It was followed by districts 10 and four with a share of 9.3% and 8.3%, respectively.
All-in-all, 10 districts (five, 10, four, two, seven, 14, one, 15, eight, and three) grabbed the lion's share of the deals at 71.5% with the remaining 12 districts holding a 28.5% share.
Among Tehran's 22 districts, District 1 registered the highest average home price of 602.1 million rials ($2,408) per square meter. District 18 offered the capital city's cheapest homes with an average per-square meter price of 119.7 million rials ($478). The aforesaid numbers show a respective increase of 77.6% and 52.6% YOY.
Residential units with an average price range of 150 million rials ($600) to 200 million rials ($800) per square meter were the most popular in Tehran during the Iranian month under review, as they both grabbed a 17.2% share of all deals. They were followed by units priced at 200 million rials to 250 million rials ($1,000) per square meter with a share of 14.9% and homes priced at 100 million rials ($400) to 150 million rials per square meter with a share of 12.3%.
From the total number of deals, 58.8% belonged to homes cheaper than the average per-square meter price of the city (i.e., 288 million rials or $1,152).
Residential units with a floor area of 50-60 square meters registered the highest number of sales with a 15.2% share of total deals.
Units with an area of 60-70 square meters came second with share of 14.8%. All-in-all, residential properties with an area of less than 80 square meters had a 56.1% share of total deals.
CBI data further show that Tehran’s homes worth between 5 billion rials ($20,000) and 10 billion rials ($40,000) were the most popular with a 21.4% share of total deals. These were followed by homes with a price tag of between 10 billion rials and 15 billion rials ($60,000) and those priced at between 15 billion rials and 20 billion rials ($80,000) with a respective share of 16.9% and 12% of total deals.
Collectively, homes valued under 20 billion rials had a 53.5% share of total home deals in Tehran during the second month of the current year.