Statistical Center of Iran has published its latest report on home and land prices in addition to rents, which indicates all have increased across urban areas during the third quarter of the current Iranian year (Sept. 23-Dec. 21), the autumn season of fiscal 2019-20.
According to the report published on the official 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 urban areas went up by 93.5% during Q3 compared with the corresponding period of last year. Prices increased by 11.7% 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 urban areas stood at 879,000 rials ($5.7) while the maximum was at 741 million rials ($4,811), bringing the average to 40.58 million rials ($263).
The number of land deals made during the current Iranian year’s Q3 decreased by 34.7% compared with the similar period of last year and 23.7% when compared with the second quarter of the current year.
The average area of each dealt land or land of a rundown property in real-estate agencies across urban areas was reported at 242 square meters by SCI.
The report also shows the average price of each square meter of residential floor area in Iranian cities surged by 59.6% in Q3 on a year-on-year basis. When compared with the previous quarter, prices indicated a growth of 14.3%.
The minimum price of each square meter of residential floor area across urban areas during Q3 stood at 1.24 million rials ($8) with the maximum price registered at about 642.87 million rials ($4,174). The average price was about 41.87 million rials ($271).
In terms of the number of deals for residential floor areas, the current year’s Q3 saw a decline of 45.9% compared with the Q3 of the last year. Against the Q2 of the current year, the number of such deals registered a decrease of 9.5%.
SCI put the average dealt floor area at 109 square meters while putting the average age of residential units at 11 years.
The SCI 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 32% during the current year’s Q3 compared with the Q3 of last year while they grew by 6.7% compared with the second quarter of the current year.
The minimum price of each square meter of residential floor area rented in the country’s urban areas stood at 1,534 rials (1 cent) with the maximum being registered at 2.27 million ($14.7) bringing the average to 144,081 rials (93 cents) per month.
Compared with the third quarter of last year, current year’s third quarter rent deals decreased by 26.3%, whereas they decreased by 51.6% compared with the preceding quarter.
SCI reported the average area of total rent deals at 96 square meters and put the average age of rental homes at 13 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.
