A strange scenario for the housing market
The Secretary of the National Association of Mass Builders states: In a country where we easily declare that there is 40% inflation in the country, this 40% inflation definitely affects all markets.
The current housing market is not good; This is the image that people in the field of housing refer to these days. The graph of the number of building permits indicates that the housing market has been facing a strange drop in the number of building permits for housing construction since 2019. Mohammad Sadiq al-Hosseini, an economic expert, says: The housing market is not good either; The graph of the number of construction permits issued in Tehran in the last 23 years shows that the situation has never been this bad.
He emphasizes: this, along with other variables, means that in the middle of the next year, housing will suffer from excess demand again; Unless the capital gains tax law is promulgated, which will completely mess up the games.
In this regard, Farshid Pourhajat, the secretary of the Center for Mass Builders of Housing, says: What is obvious, until the end of 2019, the process of housing production was very appropriate, but since 2012, unfortunately, we have not followed good conditions in the way of housing production and supply. This process has continued until today.
Stating that the situation may have worsened even compared to previous years, he added: Today, we are in a situation where the production of housing in the country is not provided for the private sector due to the turbulent economic conditions, and if the market is monitored, we will see. Manufacturers are somehow leaving this important market. This requires the parliament and the government to make a specific plan.
The Secretary of the National Association of Mass Housing Builders states: The head of the Parliament Construction Commission stated that we planned all the laws that were considered in the field of housing. In response to this member of parliament, I say that from the point of view of the government and statesmen, you established a set of laws in the country and provided a path for the production of housing in the country, but today this path has not resulted in a positive goal and conclusion.
Pourhajat states: Accordingly, today we are facing a decrease in housing production in the country; Despite all the talk they announce, this problem is one of the issues that the Parliament and the government should answer.
He notes: We believe that a large part of this increase in housing prices that occurs in the country is a predetermined scenario by institutions and institutions, and in particular, the government.
The Secretary of the National Association of Mass Builders reminds: Unfortunately, the governments look at the housing sector from the point of view of income, and in addition to fueling the increase in housing prices, they have greatly increased the risk of investing in the country’s housing production, and this is one of the main factors in the reduction of housing production. Is.
They sit behind closed doors and plan for the private sector
Pointing to the threats that the housing market is facing, Pourjajat says: The biggest threat right now is that today we have more than 13 million young people in the country who have either reached the age of marriage or are past their age and want housing.
He adds: In addition, if we have a general survey, we lack about 6.7 million housing units in the country. This amount of shortage in the country always shows its effect in price increase as a puzzle, and the production of this amount of housing cannot be solved easily without considering the private sector.
The secretary of the National Association of Mass Builders states: Unfortunately, this determination does not exist today; Not from the private sector, but there is no determination from the government and parliament. They sit behind closed doors and plan for the private sector.
Pourhajat continues: in fact, they make decisions behind closed doors, the outcome of which is not positive. The worst thing is that, unfortunately, we live in a country that structurally does not obey even the approvals of the parliament.
He notes: A clear example of this is the inefficient banking system, which despite the fact that the legislator approved that 20% of bank resources should be used in the field of housing and construction and that people should use banking facilities, but unfortunately, neither the government’s force reaches the banks nor the parliament’s force. . They only mediate the talks and say that the banks are going to provide facilities.
Pourhajat reminds: Right now, the country’s production sector is waiting to receive the right facilities without taking or closing. This is despite the fact that these conditions do not exist.
Still, the price increase is the main actor of the country’s economy
The secretary of the National Association of Mass Builders, predicting the housing market situation, says: We still have inflation in the housing market; Today, based on what we observed, the price of construction materials has increased in the last 10-15 days.
Pourhajat adds: Maybe part of this is due to the issues related to gas. The two inputs of cement and steel almost reached a price stability point today; Although today we are talking about the increase in freight costs.
He states: Housing is a fully produced product and the production inputs have a direct effect on the price increase. Accordingly, there is a price increase as the main actor in the country.
The Secretary of the National Association of Mass Builders states: In a country where we easily declare that there is 40% inflation in the country, this 40% inflation will definitely affect all markets; Moreover, inflation will be the main player in our economy in the coming year, and unfortunately, the measures that have been taken so far have not resulted in a reduction in inflation, or basically, if there has been a reduction, it has not been significant.