Mandatory Renewal of Home Lease Contracts Remains in Effect

Mandatory extension of lease contracts—after factoring in a predetermined increase in rental payments—shall remain in force in the current Iranian year (started March 21), says Deputy Minister of Roads and Urban Development Mahmoud Mahmoudzadeh. 
“The measure introduced by the government last year, which suspended landlords’ ability to forfeit a lease as long as the country was battling Covid-19 will remain in place for three months after the end of the health crisis is declared officially,” he was quoted as saying by IRNA.
Tenancy agreements signed after June 29, 2020, should not have entailed a rent increase of more than 25% in Tehran, 20% in large cities with a population of over one million, namely Mashhad, Isfahan, Tabriz, Ahvaz, Qom, Shiraz and Karaj, and 15% in other Iranian cities.