The Statistical Center of Iran has published a new report on home and land prices, as well as rent levels in the country’s urban areas during the third quarter of last fiscal year (Sept. 23-Dec. 21, 2021).
The report shows the number of residential home sales grew by 43.2% as that of rent deals rose 257.1% on a year-on-year basis.
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 24.7% in Q3 compared with the corresponding period of the year before. Prices increased by 2% compared with the preceding quarter (Q2).
The minimum price of each square meter of land or land of a rundown property stood at 1.01 million rials ($3.4) while the maximum was 2.4 billion rials ($8,109), bringing the average to 1.09 million rials ($368).
The number of land deals in Q3 declined by 17.3% compared with the similar period of the year before, but grew by 19.5% when compared with the second quarter.
The average area of each dealt land or land of a rundown property in real-estate agencies across Iranian cities was reportedly 244 square meters.
The SCI report also shows the average price of each square meter of residential floor area in urban areas surged by 31.4% in Q3 on a year-on-year basis. Compared with the previous quarter, prices saw a rise of 3.5%.
The minimum price of each square meter of residential floor area across urban areas during the first quarter stood at 1.12 million rials ($3.79) while the maximum price reached 2.79 billion rials ($9,407). The average price was reportedly 117.62 million rials ($369).
In terms of the number of residential deals, last year’s Q3 saw a rise of 43.2% compared with Q3 of the year before. Against Q2, the number of home deals registered a growth of 21.7%.
SCI put the average dealt floor area in Q3 at 109 square meters while putting the average age of residential units at 12 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 increased by 51.9% during the period compared with the Q3 of the year before and 2.8% compared with the second quarter of last year.
The minimum price of each square meter of residential floor area rented in the Iranian cities stood at 5,750 rials (about 2 cent) with the maximum being more than 7.93 million rials ($26.73), bringing the average to more than 316,911 rials ($1.1) per month.
The number of rent deals increased by 257.1% compared with the third quarter of the year before, but decreased by 21.5% compared with the preceding quarter.
SCI put the average area of total rent deals at 104 square meters and the average age of rental homes at 14 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.
