In recent years, the rental crisis for tenants in Tehran and other cities across Iran has become one of the major social and economic problems.
The uncontrolled rise in rental prices, the shortage of suitable housing, and economic pressures have forced many Tehran residents to leave the city and move to the outskirts. This issue has not only affected individuals’ quality of life but has also created new problems.
Families who lived in the city center until a few years ago are now forced to relocate to the outskirts. It is still unclear how long this trend will continue.
The fate of tenants depends not only on inflation but also on factors such as housing prices, the exchange rate of the dollar, housing deposit loans, and overall government policies.
Since 2019, housing inflation has specifically outpaced the national average inflation rate, with rental rates increasing more than the inflation rate each year.
According to official statistics, housing costs account for between 40 to 60 percent of monthly household expenses.
The market does not support 60 to 70 percent increases in housing prices seen in 2020 and 2021. Some more optimistic forecasts suggest that the market cannot even support last year’s 50 percent increase.
Based on inflation expectations for this year, the rental inflation rate will be around 45 percent. Last year, this rate was about 40 percent. In recent years, the cost of renting housing in Tehran has increased sharply, and many tenants are unable to pay these amounts.
For example, in some central areas of Tehran, rental prices have risen so high that even middle-income families cannot afford to rent housing.
Issues and Challenges Faced by Tenants
This uncontrolled increase in rental prices is due to various factors including inflation, the devaluation of the national currency, and a shortage of housing in the market.
The lack of suitable housing in Tehran is another factor contributing to the rental crisis and tenant issues. With population growth and domestic migration to Tehran, the demand for housing has increased.
However, the supply of housing has not kept pace with this demand, resulting in a housing shortage. Many new housing projects have been delayed due to financial and administrative problems, and some have been halted due to the lack of suitable investors.
This shortage of suitable housing has caused prices to rise sharply, putting more pressure on tenants. Economic pressures from the recession, unemployment, and reduced purchasing power have also exacerbated the rental crisis and tenant issues in Tehran.
Many families, due to unemployment or low income, are unable to pay high rents. These economic pressures have caused people to seek cheaper housing in the outskirts of the city.
The rental crisis and rising prices have forced many Tehran residents to leave the city and move to its outskirts.
The outskirts of Tehran have become the primary destination for these individuals due to lower housing prices, but this move also comes with its own set of problems.
In an interview with the state news agency ISNA, Mohammadreza Bakhshipour, head of the Education Department of Neka County, described migration from villages to cities as a serious crisis leading to the depopulation of rural areas. He mentioned that unfortunately, the number of students in rural schools has decreased to the point where each class has only 10 students.
One of the most significant problems of living in the outskirts is the lack of urban infrastructure and public services. Many peripheral areas of Tehran suffer from shortages in healthcare, education, and welfare facilities. The lack of adequate public transportation also means that people face serious difficulties accessing city centers.
Additionally, population growth in the outskirts can lead to social and environmental problems.
