EghtesadOnline: The Statistical Center of Iran has published its latest report on the capital city Tehran’s real-estate and property market during the third quarter of the current Iranian year (Sept. 22-Dec. 20, 2020.)
According to the report published on the website of SCI, the average price of each square meter of land or land of a rundown residential property (residential units that are considered old to a degree that only the underlying land is useful for construction) in Tehran went up by 120.3% in Q3 compared with the corresponding period of last year.
Prices increased by 18.6% compared with the preceding quarter (Q2 of the current Iranian year.)
The minimum price of each square meter of land or land of a rundown property in the capital city stood at 66.06 million rials ($260) while the maximum was at 1.55 billion rials ($6,114), bringing the average to 412.73 million rials ($1,628).
The number of land deals in the current Iranian year’s Q3 decreased by 29.4% compared with the similar period of the year before and 45.9% compared with the preceding quarter.
The average area of each dealt land or land of a rundown property in real-estate agencies across Tehran was 209 square meters.
The report also shows the average price of each square meter of residential floor area in the capital city rose by 111.4% in Q3 on a year-on-year basis. When compared with the previous quarter, prices indicated a growth of 19.1%.
The minimum price of each square meter of residential floor area across urban areas during the third quarter stood at 40 million rials ($158) with the maximum price registered at about 1.58 billion rials ($6,232). The average price was about 287.6 million rials ($1,134).
In terms of the number of deals for residential floor areas, the current year’s Q3 saw a decline of 8% compared with the Q3 of the year before. Against the previous quarter, the number of such deals registered a decrease of 45.6%.
SCI put the average dealt floor area at 87 square meters while putting the average age of residential units at 12 years.
It also disclosed figures for monthly home rents plus 3% collateral, legally paid to rent one square meter of residential floor area.
It reported that the average rent prices increased by 40.9% during the current year’s Q3 compared with the Q3 of last year while they fell by 3.1% compared with the second quarter of the year.
The minimum price of each square meter of residential floor area rented in Tehran stood at 43,779 rials (17 cents) with the maximum being registered at 5.8 million ($22.87) bringing the average to 622,185 rials ($2.45) per month.
Compared with the third quarter of the last year, current year’s Q3 rent deals increased by 62.3%; they increased by 4.8% when compared with the preceding quarter.
SCI reported the average area of total rent deals at 77 square meters and put the average age of rental homes at 14 years.
All figures reported by SCI employ data extracted from the state-run Tenement Management Information System operated by the Ministry of Roads and Urban Development.
Established with the aim of making home purchase and renting deals more transparent, the system legally requires all certified real-estate agencies to register their deals.
As sudden changes in the number of deals in major cities lead to a significant change in prices across a province or the whole country, the report uses a balanced weighted average for its reports to identify real price changes by eliminating the effect of home deals.
The related weights used were based on occupied residential units surveyed during a general census conducted in the fiscal 2015-16.