According to the report published on the website of SCI, 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 118.4% in Q3 compared with the corresponding period of the year before. Prices increased by 20.9% compared with the preceding quarter (Q2 of the last Iranian year).
The minimum price of each square meter of land or land of a rundown property in the capital city stood at 793,000 rials ($3.17) while the maximum was at 1.55 billion rials ($6,200), bringing the average to 88.65 million rials ($354.6).
The number of land deals made during the last Iranian year’s Q3 increased by 53.6% compared with the similar period of the year before but dropped 53.3% when compared with the second quarter of last year.
The average area of each dealt land or land of a rundown property in real-estate agencies across Iranian cities was reported at 350 square meters by SCI.
The report also shows the average price of each square meter of residential floor area in urban areas surged by 113.8% in Q3 on a year-on-year basis. When compared with the previous quarter, prices saw a growth of 24.8%.
The minimum price of each square meter of residential floor area across urban areas during Q3 stood at 1 million rials ($4) while the maximum price reACHED 1.58 billion rials ($6,320). The average price was 89.49 million rials ($357.96).
In terms of the number of deals for residential floor areas, last year’s Q3 saw a growth of 18.5% compared with Q3 of the year before. Against Q2 of last year, the number of home deals registered a decrease of 38.4%.
SCI put the average dealt floor area at 108 square meters while putting the average age of residential units at 12 years.
SCI also disclosed figures for monthly home rents plus 3% collateral legally paid to rent one square meter of residential floor area.
It reported that the average rent prices increased by 44.8% during the last year’s Q3 compared with Q3 of the year before and 7.5% 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 2,796 rials (1 cent) with the maximum being registered at 5.8 million ($23.2) in bringing the average to 208,649 rials (83 cents) per month.
Compared with the third quarter of the year before, last year’s Q3 rent deals increased by 121.4%; the decline was 33.4% when compared with the preceding quarter.
SCI reported the average area of total rent deals at 97 square meters and put 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 used were based on occupied residential units surveyed during a general census conducted in the fiscal 2015-16.
Tehran Housing Inflation at 84.1%
Tehran’s housing Consumer Price Index in the 12-month period ending May 21, which marks the end of the second Iranian month increased by 84.1% compared with the corresponding period of last year, latest data released by the Statistical Center of Iran show.
SCI had put the average annual inflation rate for the preceding Iranian month, which ended on April 20, at 81.5%.
The housing inflation for the month under review (April 21-May 21) registered a year-on-year increase of 71.8% compared with the similar month of last year. The YOY inflation of the month ending April 20 was 82.6%.
The housing CPI (using the Iranian month to April 19, 2016, as the base) stood at 711.6 for the month ending May 21, indicating a 3% increase compared with the month before.
During the month ending April 20, the housing CPI stood at 690.7, registering a 0.1% rise compared with the previous month.
Latest CBI Report
A total of 5,102 homes were sold in Tehran during the third month of the current fiscal year (May 22-June 21), registering a 29.6% increase compared with the preceding month but a 52.7% decrease compared with the same month of last year.
Latest data published by the Central Bank of Iran on its website also indicate that the average price of each square meter of a residential property in Tehran stood at 296.73 million rials ($1,186) during the month under review, showing a surge of 56.6% over last year’s same month as average prices were registered at 189.48 million rials ($757).
Home prices in the capital city grew by 3% compared to 287.96 million rials ($1,151) in the second month of the current year.