Tehran: Forex Fluctuations Pose Threat to Housing Market

Rampaging foreign exchange rates have grabbed many headlines in the past few months and especially the past few days, but the ailing housing sector that recently showed signs of coming out of its five-year recession is liable to take one of the biggest hits.
Hesam Oqbaei, the deputy head of Tehran Association of Realtors, concedes that if the fluctuations continue, they will damage the housing sector, but won’t increase home prices very much.
“If foreign currency rates are not controlled and keep on rising, they will surely influence the housing market,” he told ILNA, but added that as the housing market saw notable price hikes last year, it does not have the capacity to experience another significant increase.
“Price growth will be between 10-15%,” he predicted.