Iranian housing prices moving up ahead of inflation
Iran’s deputy minister of housing and urban development, Freydoun Darvishzadeh, has reported that housing prices rose four percentage points less than the average inflation rate of 18 percent during the period between 1997 and 2000. However, he noted that for the last Iranian year, which ended March 20, housing prices were three to four percentage points higher than the inflation rate, reported IRNA .
Darvishzadeh said that, during the Third Five-Year Development Plan, which will run through March 2005, 560,000 housing units are to be built, with 380,000 and 180,000 units earmarked for the urban and rural sectors respectively.
The deputy minister predicted the current Iranian year will be a vibrant one for the Iranian housing market, noting that the long-term plan calls for a reduction of the housing density index from the current 1.15 to 1.13 or 1.12. This means that that for every 113 household, 100 housing units is estimated to be available in the country by the end of the development plan. — (Albawaba-MEBG)
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