Shocking ads for renting housing in the south of Tehran / Astronomical price for 10-meter residential units!
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According to Tejarat News, 40 million tomans deposit and 3 million tomans monthly rent is the amount set for an 18-meter suite with a lifespan of more than 32 years in Shemiran-No district. In the advertisement of this property, it is stated that the said unit can be suitable for a couple! The owner of the house also confirms this ad and tells Tejarat News: “Count on 10 meters, the rest of the space is the bathroom and kitchen!” In this way, each person will eventually have five meters of space to live; A space with a length and width of two and a half meters!
These conditions can be seen as a view of the rental market situation at the beginning of 1402. According to expert studies, the average standard space that a person occupies and needs in a city is 70 to 136 meters; According to the current conditions, the proposal of the Ministry of Interior was between 40 and 50 meters, and now the latest statistics show a space between 20 and 50 meters; A statistic that despite this amount of price increase in the rental market and as a result the rent of houses with lower square footage is still decreasing.
The decline in the quality of life of citizens over the past year
With the unprecedented increase in rental prices in the last few months of 1401, advertisements show that the demand of families with children to rent suites without rooms and with minimal facilities has increased; Suites, which were probably the majority of applicants, were single people.
Among the reviewed ads, a 50-meter suite can be seen, which dates back to before 1370. The owner of the property has mentioned in the advertisement that the unit is rented only to “family” and for this old unit without facilities, he has considered 70 million tomans as deposit and 5 million tomans as monthly rent.
Cases similar to this ad with such prices for rent are not few in the files of real estate consultants and even in the files available on the sites for posting advertisements and requirements. This is despite the fact that this year the minimum salary of the workers is five million and 300 thousand tomans and their housing right is also 900 thousand tomans! In this way, a worker has to spend all his monthly salary to provide minimum shelter.
There is also another file of such units, which has set a mortgage of 50 million tomans and rent of 4 million tomans for a 40-meter suite built in 2013.
A real estate consultant has another similar file; A 30-meter suite, in Shemiran Nou area, without any facilities and on the ground floor, the mortgage of which is 100 million tomans and the rent is 1 million tomans. The construction of this unit goes back to 1375 and it is delivered only to families or couples.
The situation is not better for singles. The only amenities a 25-square-meter suite for a single man has is a sink, and the real estate agent says the unit was rented at the very beginning of the ad.
The property owners of such units, especially in the southern areas of the city, in most cases do not bother to renovate; While most of them were built more than 30 years ago and are located in the basement with a humid atmosphere.
Will prices rise again?
A real estate consultant told Tejarat News about this: “There was demand in the market before with the increase in rent, but now the prices have skyrocketed, and as they say, the price will be even higher.”
In 1401, along with the increase in the inflation rate and the upward trend of the dollar, the price of housing and, as a result, the rent also grew; However, as experts say, the effect of the increase in the price of the dollar and inflation will show its main impact on the housing market in a few months. Accordingly, it is possible for tenants to face newer prices.
According to the activists of the housing market, there are families among the applicants who cannot even afford the cost of these units and therefore have to migrate to the suburbs of Tehran. This population is overflowing from Tehran to the suburbs where there are not enough amenities.
It should be noted that the Deputy Minister of Urban and Rural Development and Urban Development had previously announced that the migration rate in Tehran has become negative, which can be caused by the increase in housing and rental prices in this city.
Reverse migration from Tehran due to the increase in rental prices
The reverse migration from Tehran to the cities is one of the important issues that the Deputy Minister of Civil and Rural Development of the Interior Minister stated in an interview as the reason for this is the increase in the price of land and housing and the worsening of living conditions in Tehran.
People who one day migrated to this metropolis with the dream of getting work and more amenities, now due to the heavy cost of accommodation, they have to return to the city again, cities where perhaps there is no suitable work and economic situation waiting for them.
Mansour Ghaibi, an expert on the housing market, told Tejarat News about the effects of migration to the peripheral areas of Tehran and cities: “This increase in rental prices in Tehran will cause the costs to rise in the peripheral areas of Tehran and increase the price of properties and apartments in new and peripheral cities. will follow the capital. On the other hand, these changes and migrations cause social, behavioral and educational changes and the originality and stability that existed before in urban areas will be lost.”
He had explained about this: “On the other hand, with the migration of capital residents, some people in the cities who have a better financial situation buy residential units for the purpose of investing and renting, which will cause the prices to rise in the future.” “Policy makers are currently looking to solve everyday problems and ignore the issues that these high prices will shape in the future.”
Rent price floor in several southern areas of Tehran
As mentioned, the recent price increase in the rental market is quite tangible in small-sized units without facilities in the south of Tehran. Tejarat News’ field investigation shows that currently, to rent a small unit in areas such as Moniriyeh, Sangalj and Khazaneh, a deposit of 80 million to 100 million tomans and a monthly rent of 4 to 5 million tomans must be paid.
A housing activist in the mentioned areas says: “With this money, until a few years ago, you could buy a house in better areas, but now people have to pay at least 100 million tomans to be able to live in these areas, which used to be among the cheaper areas of Tehran, without rent a house with special facilities.”
The latest official statistics of housing rental prices in Tehran date back to May 1401, according to which the average rental price per square meter of a house in Tehran is 126,900 tomans.
This figure was equal to 84,800 Tomans in 1400 and 62,900 Tomans in 1399. In 2010, the average rental price per square meter of housing in Tehran was 12,950 tomans. After this date, reliable statistics of the rental market have not been published, but as the bio market shows in the last year or so, the average rental price of housing has experienced an excessive increase.
Surveys show that in areas like Shush and Azari, you can rent a residential unit with lower amounts. For example, a real estate consultant in Shush region says that the owner of a 40-meter unit has taken 40 million tomans as a mortgage and 4.5 million tomans as rent for his house.
However, the same amount of rent is equal to the monthly salary of the workers and is not consistent with the household’s ability to pay! This real estate consultant also explains: “The files will increase until May, but it is not known what the prices will be for the next few months; If the house price increases, the rent price will also increase.
He continues: “How much longer will it be difficult to rent these small apartments; Many tenants vacate the houses to return to their cities or go to nearby cities; Be sure there will be more.”
What is clear is that the continuation of these conditions and the increase in prices will make people, especially in the lower economic strata, no longer have the ability to provide even the minimum shelter to live in the near future. Over time, such conditions will affect their life to a significant extent, and this issue will not only have economic dimensions, but also irreparable social consequences.
Read more reports on the housing news page.