In its newest report, the Iranian regime’s Majlis (Parliament) Research’s Center described the increase in exit rates from the housing market and indicated that households in the first to third deciles absolutely, third to fifth deciles and even some in the sixth decile are unable to secure the necessary housing for their habitation.
In its report titled “Analysis of Housing Policies in Five-Year Development Plans,” the center emphasizes that repeated leaps in housing prices in the late 2010s have doubled the number of households that are unable to purchase a home in comparison to the beginning of the decade.
According to the Research Center, four decades of housing planning by different administrations have not been desirable for low-income groups, particularly in major cities, where the decisions have been inefficient and disadvantageous.
The conducted studies have shown that the groups benefiting from housing policies have mainly been households in the first to third income deciles. Vulnerable groups such as single-parent families and individuals with special needs have not benefited from these policies.
The report indicates that four decades of housing policy have ultimately made it more difficult for households to access housing. As a result, affordable housing production has significantly decreased, and according to the research center, the waiting time to become a homeowner has reached nearly 50 years.
On June 8, the Majlis Research Center also reported a housing crisis and a “950 percent” increase in prices in Tehran over the past five years.
During his election campaign, regime president Ebrahim Raisi promised to build one million homes per year. However, an analysis of the housing market and review of reports show that not only were no homes delivered in the past two years, but prices have also doubled. As a result, the price per square meter in Tehran has reached 700 million rials (approximately $1,400).
In July, Iran Construction Engineering Organization (IRCEO) announced that the construction cost of seven building groups in 2023 has increased by 38 to 48 percent compared to the previous year, doubling compared to 2021.
On August 7, the regime’s Tajarat News website discussed the performance of Ebrahim Raisi’s government in the housing sector, stating that housing prices have increased by 109 percent in the past two years, exceeding 650 million rials per square meter.
In May, the Donya-ye Eqtesad newspaper reported that the population affected by “housing poverty” in Iran has reached a “significant record,” with 55 percent of Iranian households deprived of “affordable and accessible” housing.
This report highlights the worsening access to housing for people despite more than four decades of policy-making in this area, where the number of constructed homes has surpassed the number of households. However, due to the lack of effective policies, a significant portion of the constructed units has become part of the inventory of vacant or second homes or has been used for speculative activities in this sector.
This government not only abolished the housing privilege of 60% of the people of Iran, but from December 2022, it has been preventing the news and statistics from being reported by official sources and authorities.
On July 31, Hammihan website wrote, “The Central Bank and Statistics Center of Iran have stopped the publication of statistics related to the housing sector since December of last year.”
Hammihan quoted an expert who confirmed that the regime builds homes in other countries, but in Iran due to the lack of housing, millions of people live in slums. The mullahs’ regime has monopolized all facilities closed the way for others to build housing. According to this expert, “The government starts construction in neighboring countries, but it cannot do this in Iran. The government should remove the obstacles from the path of builders and provide the necessary financial tools.”
