Taxation Could Help Streamline Iranian Rental Housing Market

The significant jump in home prices over the past three decades has increased the number of renters and the share of housing cost in total household expenses. 
It has also turned on the engine of double-digit inflation, expanding the dimensions of poverty in the country. Therefore, streamlining the rental housing market and curbing the rise in rents should be one of the key policies of the government, said Nasser Zakeri, an economist, in an article for the Persian daily Shargh. A translation of the text follows:  
Setting a ceiling on rent increases was a positive measure taken by the government in the past few years. However, the rental market has not paid much attention to this guideline because of the lack of a strong implementation commitment and supervision. In other words, homeowners have been able to increase the rent of their property as much as possible, thanks to their high bargaining power and the weak position of tenants.