MEK Iran: Unspoken Housing Crisis
Actual figures are an issue of security, confidentiality, and are inaccessible for the general population under the ruling mullahs. To avoid responsibility and accountability, specialized institutions may refer to some of the relevant statistics from time to time.
The housing crisis in Iran
According to the analysis by The National Council of Resistance of Iran (NCRI), and the People’s Mujahedin of Iran (PMOI / MEK Iran), in May, the Central Bank of Iran released a report on the state of the housing market in Tehran.
In the Iranian capital, the average buy and sale price of a one-square-meter residential unit through real estate firms were 288 million rials (about $1,152).
The number of tenants more than tripled
According to statistics given by Iranian official authorities, the number of tenants in Iran has more than tripled since 1986.
“In 1986, when the first general population and housing census was conducted in Iran, only 13 percent of the urban population were tenants. The country had a population of about 49 million that year.
In 1966, when the country had reached more than 60 million people, about 16 percent were tenants. In 2006, Iran’s population rose above the 70 million marks and about 24 percent of urban families were living as tenants.
40 percent of urban households are tenants
This rate increased to about 31 percent in 2016, while we had more than 18 million households with an overall population of 80 million. Today, however, while we have reached a population of 83 million, 40 percent of urban households are tenants,” according to an article written on June 2 by the Jahan news daily.
Looking at current house costs in Iran and the normal Iranian family’s budget, it’s evident that this burden is growing by the day.
30% of a household’s budget was spent on housing
“According to surveys, less than 30% of a household’s budget was spent on housing in 1996. Housing and rent accounted for moreover 36% of household expenses in 2016, and sadly, approximately 45 percent of a tenant household’s expenditures this year “On June 3, the Khorasan daily reported.
There are so many incidents of corruption, fraud, and waste of national capital in the continuous difficulties and challenges that the mullahs’ apparatus pays little attention to the housing crisis.
When Hassan Rouhani, the regime’s president, took office in 2013, his government’s “National Housing” program replaced former president Mahmoud Ahmadinejad’s “Mehr Housing” initiative, ostensibly to address its flaws.
The government’s plan for 100,000 of the 400,000 housing units was to be created, to replace existing homes and 300,000 for low-income households. Rouhani’s initiative, though, appears to have failed as well, according to reports.
“Initially, the construction cost per square meter of each residential unit in this project was estimated between 2.5 million to 3/5 million rials (about $100 to$140). Yet as inflation rates rose, the construction cost increased to 50 to 60 million rials (about $200 to $240).
Housing has become a luxury
Therefore, the total cost of each unit is about four to 4.8 billion rials (approx. $16,000 to $19,200), of which a loan of one billion rials (about$ 4,000) with an interest rate of 18 percent will only cover a portion of it,” according to an article published by the Donyaye-eghtesad daily on April 20.
Housing has now become a luxury in Iran. Many allegations of “grave living” “roof renting,” and “sleeping in shops,” particularly among workers, have surfaced. Providing shelter for the family, nevertheless, should not be overlooked unless you want people to become homeless.