Tehran's Average Housing Price Hits 230 to 240 Million Tomans per Square Meter as Annual Supply Gap Reaches 700,000 Units

According to the Mabna report published by Iran's Borna News Agency, the average price per square meter of housing in Tehran has reached 230 to 240 million tomans. Using the 235 million toman midpoint, a 50 square meter unit costs about 11.75 billion tomans and an 80 square meter unit about 18.8 billion tomans, with some upscale districts reporting prices up to 1 billion tomans per square meter. The report says Iran's annual housing need is about 1 million units against annual production of roughly 300,000 units, leaving an annual gap of about 700,000 units that would exceed 2 million units if it persists for three years. About 95 percent of housing production is handled by the private sector, of which small builders account for 80 to 85 percent. Housing economist Iman Rafiei told Borna the market's core problem is not a lack of demand but a lack of effective demand, households with the financial means to buy.