The Statistical Center of Iran has published a new report on home and land prices, as well as rents in the country’s urban areas during the fourth quarter of the last fiscal year (Dec. 22, 2021-March 20, 2022).
According to the report published on SCI’s website, 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 Iranian cities went up by 25.4% in Q4 compared with the corresponding period of the year before. Prices increased by 6.8% compared with the preceding third quarter.
The minimum price of each square meter of land or land of a rundown property stood at 1 million rials ($3.16) while the maximum was 2.62 billion rials ($8,283), bringing the average to 116.71 million rials ($368).
The number of land sales in Q4 increased by 15.2% compared with the similar period of the year before, and grew by 14.8% when compared with the third quarter. The average area of each plot of land sold through real-estate agencies across Iranian cities was reportedly 245 square meters.
The SCI report also shows the average price of each square meter of residential floor area in urban areas rose by 24.8% in Q4 on a year-on-year basis. Compared with the previous quarter, prices saw a rise of 8.8%.
The minimum price of each square meter of residential floor area across urban areas during the first quarter stood at 1.29 million rials ($4.08) while the maximum price reached 2.76 billion rials ($8,725). The average price was reportedly 127.97 million rials ($404).
In terms of the number of residential deals, last year’s Q4 saw a rise of 113.7% compared with Q4 of the year before. Against Q3, the number of sales registered a rise of 8.1%.
The average rent levels increased by 60.9% during the period compared with the Q4 of the previous year and 16.3% compared with the third quarter of last year
SCI put the average dealt floor area in Q4 at 107 square meters while putting the average age of residential units at 13 years. It also disclosed figures for monthly home rents plus a 3% collateral legally paid to rent 1 square meter of residential floor area.
The center reported that the average rent levels increased by 60.9% during the period compared with the Q4 of the previous year and 16.3% compared with the third quarter of last year.
The maximum price of each square meter of residential floor area rented in Iranian cities was more than 8.77 million rials ($27.73), bringing the average to more than 368,694 rials ($1.16) per month.
The number of rent deals increased by 88.1% compared with the fourth quarter of the year before, but decreased by 67.6% compared with the preceding quarter.
SCI put the average area of total rent deals at 103 square meters and the average age of rental homes at 15 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 were based on occupied residential units surveyed during a general census conducted in the fiscal 2016-17.
