The minimum cost of building a metered housing is 10 million tomans! – Tejarat News
According to Tejarat News, the inflation of construction materials has been the main factor in the increase of housing prices in the past years. According to the latest reports of the Iranian Statistics Center, the average housing price in Tehran has now reached about 55 million Tomans, which is unprecedented in the history of Iran’s economy.
Also, other data of the Iranian Statistics Center show that the price index of housing construction inputs was recorded in the fall of 1401 and in Tehran city as 1,561. This amount has increased by 6.4% compared to the last season, i.e. the summer of 1401, by 6.31% compared to the fall of last year, and by 34.7% compared to the 12 months leading to the fall of this year (annually).
But in general, what has been the contribution of the inflation of construction areas to the increase in housing prices in recent years?
The effect of the increase in construction materials inflation on housing prices
In this regard, Iraj Rahbar, head of Tehran Mass Builders Association, told Tejarat News: “Building materials are generally 70% effective in apartment costs. As the materials become more expensive, the cost of the units also increases. Therefore, materials have a great impact on the finished price of residential units.
He added: “Of course, there are some major construction materials that have a higher consumption in construction, such as steel and cement, whose inflation usually has a greater impact on the price of apartments.”
The leader also explained about the effect of inflation of construction materials on the cost of housing: “About 10 to 12 years ago, Mehr housing was built for 300 thousand tomans per meter, but now it cannot be considered less than 10 million tomans.”
How much is the inflation of basic building materials?
In general, the chaotic situation of the housing market in recent years has many reasons and is affected by various dimensions, and as it was said, the inflation of construction materials has also contributed a lot to it.
Meanwhile, the highest inflation in the fall of 1401 belonged to the glass executive group.
The executive group of cement, concrete and sand as determining inputs in the price of construction in Tehran and in the fall of this year compared to the same season of the previous year experienced a growth of 2.27%.
Therefore, controlling the inflation of construction materials is one of the determining factors that can control the cost of housing to a large extent and improve the critical situation of the housing market.
However, according to experts, the main solution to the critical housing situation should be found somewhere outside this area. As long as the growth of inflation and the resulting expectations continue, the financial markets will face more losses every day.
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