What is the impact of the negotiations on the housing market?
According to Tejarat News, the impact of negotiations on the market Housing What is? Housing affordability is not certain?
Mehdi Ravanshadnia in a conversation with ایسنا He said: The average price of housing in Tehran reached more than 39 million tomans per square meter, which indicates the prosperity of this market after a one-year recession.
Unfortunately, general inflation is so high that the housing market moves accordingly. Even the house price growth is far from the general price level. This is not actually an increase in the real price of housing, but a growth in the nominal price due to the inflation that has occurred at all levels due to the devaluation of the national currency.
He reminded: When we review the historical trend of the housing market, we see that there is always a correlation between the increase in prices and the increase in the number of transactions. The reason is that when people see the atmosphere and prospects of the real estate market as inflated, they come to this market. Some hesitant applicants also speed up their purchase.
Housing price growth is still lower than the inflation rate
Ravanshadnia stated that the main predictions for 1401 were that the housing market will move lower than the general inflation rate and said: This does not mean that house price growth will stop.
Currently, despite the increase of 33% in the annual price of housing in Tehran, the general inflation point by point is 52%, which confirms that the growth of housing prices is lower than inflation.
This housing market expert noted: The exchange rate has generally grown in the last few months, and along with that, there were uncertainties in political negotiations, which both factors had an impact on the parallel housing markets.
He said about the impact of the positive news of the nuclear talks on Iran’s economy: if the negotiations lead to a drop in the exchange rate and this drop is significant, we can hope for the stability of the housing market. Of course, provided that the drop in the exchange rate is significant and continues.