51% of the people in Tehran are tenants, says the Mayor of Tehran

51% of the people in Tehran are renters, according to the Mayor of Tehran.

According to Alireza Zakani, the Mayor of Tehran, 51% of the people in Tehran are renters.

He announced this figure during the signing ceremony of the housing agreement between the Tehran Municipality and the National Land and Housing Organization. In this plan, residential units are planned to be produced in Tehran’s District 21.

The severe housing shortage, especially in big cities and particularly in Tehran, has led to a rapid increase in house prices and rent. A significant portion of the income of households without housing is spent on housing. Given the inflation of prices for other essential items, this situation puts severe economic pressure, especially on low-income groups.

The government of Ebrahim Raisi started its work with the promise of constructing several million residential units and solving the housing crisis. However, it does not seem to have had much success in this regard. The devaluation of the rial in recent years and the increase in the inflation rate have led to an increase in housing prices in Iran, and as a result, rental rates have also increased. In the past year, the astronomical increase in the exchange rate has further fueled price hikes.