Authored by the expert who managed and guided the team behind the Iran Property Pack
Everything you need to know before buying real estate is included in our Iran Property Pack
This article covers everything you need to know about current housing prices in Iran, from entry-level apartments to luxury properties in Tehran.
We constantly update this blog post with the latest data so you always have access to fresh and reliable information.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Iran.
Insights
- In Tehran in 2026, small apartments under 80 square meters actually cost more per square meter than larger units because more buyers can afford the total price, creating a liquidity premium.
- The gap between listed prices and actual sale prices in Iran is around 8%, mainly because sellers add a buffer against sudden currency swings and high inflation.
- New construction in Iran commands a 15% premium over older homes, driven by earthquake code compliance and buyers wanting to avoid unpredictable renovation costs in a high-inflation environment.
- Housing prices in Tehran rose about 30% nominally from January 2025 to January 2026, but when adjusted for inflation, they actually fell by around 10%.
- The cheapest neighborhoods in Tehran like Yaftabad have prices around 600 million IRR per square meter, while luxury areas like Elahiyeh reach over 3 billion IRR per square meter.
- Over the past decade, Tehran housing prices increased between 2,500% and 4,000% in nominal terms, but only 80% to 150% when adjusted for Iran's persistent high inflation.
- Around 70% of the Iran housing market consists of standard apartments, with studios, villas, townhouses, and luxury penthouses making up the remaining 30%.
- For realistic conversions in Iran in 2026, one US dollar equals approximately 1,250,000 Iranian rials at the open market rate, which differs significantly from the official rate.
What is the average housing price in Iran in 2026?
The median housing price is more useful than the average in Iran because expensive properties in north Tehran skew the average upward, while the median reflects what a typical buyer actually pays.
We are writing this as of January 2026 with the latest data collected from authoritative sources including the Central Bank of Iran, which we manually verified and cross-checked.
The median housing price in Iran in 2026 is approximately 1.22 billion IRR per square meter, which converts to around $976 or €833 per square meter. The average housing price in Iran in 2026 is higher at about 1.36 billion IRR per square meter, equivalent to roughly $1,085 or €925 per square meter.
For 80% of residential properties in the Iran market in 2026, prices range from about 700 million to 2.3 billion IRR per square meter, or roughly $560 to $1,840 per square meter.
A realistic entry range in Iran in 2026 is 35 to 60 billion IRR (around $28,000 to $48,000 or €24,000 to €41,000), which gets you an older apartment of 55 to 70 square meters in southern or western Tehran neighborhoods like Yaftabad or Naziabad.
A typical luxury property in Iran in 2026 costs between 350 and 900 billion IRR ($280,000 to $720,000 or €240,000 to €615,000), which would buy you a large modern apartment or penthouse of 180 to 300 square meters in prestigious north Tehran areas like Elahiyeh or Zafaraniyeh.
By the way, you will find much more detailed price ranges in our property pack covering the real estate market in Iran.
Are Iran property listing prices close to the actual sale price in 2026?
In Iran in 2026, listed property prices are typically about 8% higher than actual closed sale prices, with the gap ranging from 5% to 12% depending on the property.
This happens because Iran's high inflation and currency volatility push sellers to pad their asking prices as protection against sudden economic shifts. The gap tends to be largest for luxury properties in north Tehran where transaction volumes are thin and negotiation periods are longer.
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What is the price per sq m or per sq ft for properties in Iran in 2026?
As of January 2026, the median housing price in Iran is about 1.22 billion IRR per square meter ($976 or €833), which equals roughly 113 million IRR per square foot ($91 or €78). The average price is higher at 1.36 billion IRR per square meter ($1,085 or €925), or about 126 million IRR per square foot ($101 or €86).
Small apartments and studios (35 to 60 square meters) have the highest price per square meter in Iran in 2026 because more buyers can afford the total cost, while large older units over 140 square meters outside premium areas have the lowest per-square-meter prices due to limited buyer pools.
The highest prices per square meter in Iran in 2026 are found in north Tehran neighborhoods like Elahiyeh and Zafaraniyeh, where prices reach 2.2 to 3 billion IRR per square meter. The lowest prices are in southern Tehran areas like Yaftabad and Shadabad, where prices sit around 600 to 800 million IRR per square meter.
How have property prices evolved in Iran?
Compared to one year ago (January 2025), housing prices in Iran rose about 30% in nominal terms, but actually fell by around 10% when adjusted for inflation. This happened because while currency depreciation pushed prices up, buyers' purchasing power could not keep pace with the broader inflation rate.
Looking back ten years to January 2016, Iran housing prices increased between 2,500% and 4,000% in nominal terms, but only 80% to 150% in real, inflation-adjusted terms. This reflects both chronic high inflation over the decade and housing serving as a store of value during years of sanctions and currency instability.
By the way, we've written a blog article detailing the latest updates on property price variations in Iran.
Finally, if you want to know whether now is a good time to buy a property there, you can check our pack covering everything there is to know about the housing market in Iran.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Iran versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you’re planning to invest there.
What types of properties can you find in Iran and how much do they cost in 2026?
In Iran in 2026, standard apartments make up about 70% of the market, followed by studios at 10%, villas at 8%, townhouses at 5%, luxury penthouses at 4%, and new-build pre-sales at 3%, reflecting how apartment living dominates in dense urban areas like Tehran.
Here are the average price ranges in Iran as of January 2026: studios and one-bedroom units (35 to 60 square meters) cost 44 to 100 billion IRR ($35,000 to $80,000 or €30,000 to €68,000), standard apartments (70 to 110 square meters) range from 88 to 200 billion IRR ($70,000 to $160,000 or €60,000 to €137,000), large apartments (120 to 200 square meters) cost 175 to 440 billion IRR ($140,000 to $350,000 or €120,000 to €300,000), penthouses (180 to 350 square meters) go for 375 billion to over 1.1 trillion IRR ($300,000 to $900,000+ or €255,000 to €770,000+), townhouses (150 to 250 square meters) range from 250 to 750 billion IRR ($200,000 to $600,000 or €170,000 to €510,000), and villas cost 315 billion to 1 trillion IRR ($250,000 to $800,000 or €215,000 to €685,000) depending on location.
If you want to know more, you should read our dedicated analyses:
How do property prices compare between existing and new homes in Iran in 2026?
In Iran in 2026, new-build properties (under 5 years old) typically cost about 15% more than older existing homes, with the premium ranging from 10% to 25% depending on the neighborhood.
This premium exists because newer buildings meet updated earthquake safety codes, come with modern amenities like elevators and parking, and spare buyers the uncertainty of renovation costs in an environment where inflation makes future expenses hard to predict.
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An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
How do property prices vary by neighborhood in Iran in 2026?
In Elahiyeh and Zafaraniyeh (north Tehran), you will find luxury apartments and penthouses ranging from 150 to 300 square meters, with prices between 350 billion and over 900 billion IRR ($280,000 to $720,000+ or €240,000 to €615,000+). These areas command top prices because of their proximity to embassies, international schools, better air quality, and extensive green spaces.
In Sa'adat Abad and Shahrak-e Gharb (northwest Tehran), the market features modern family apartments from 90 to 180 square meters, priced at 180 to 520 billion IRR ($144,000 to $416,000 or €123,000 to €356,000). This neighborhood attracts professionals and families looking for quality housing with good infrastructure at prices below the ultra-premium north.
In Tehranpars (east Tehran), you will find value-oriented family apartments of 70 to 110 square meters, costing between 95 and 180 billion IRR ($76,000 to $144,000 or €65,000 to €123,000). Prices here are more accessible because the area is farther from the prestigious northern districts while still offering decent amenities and transport links.
You will find a much more detailed analysis by areas in our property pack about Iran. Meanwhile, here is a quick summary table we have made so you can understand how prices change across areas:
| Neighborhood | Character | Avg Price Range | Avg per sqm | Avg per sqft |
|---|---|---|---|---|
| Elahiyeh / Zafaraniyeh | Luxury / Status | 200-450 bn IRR ($160k-$360k) | 2.2-3.0 bn IRR ($1,790-$2,420) | 208-281 m IRR ($166-$225) |
| Niavaran / Aghdasiyeh | Luxury / Green | 180-400 bn IRR ($144k-$320k) | 2.0-2.7 bn IRR ($1,595-$2,160) | 185-251 m IRR ($148-$200) |
| Sa'adat Abad / Shahrak-e Gharb | Expat / Modern | 150-320 bn IRR ($120k-$256k) | 1.7-2.3 bn IRR ($1,385-$1,870) | 161-217 m IRR ($129-$174) |
| Yousef Abad / Amir Abad | Commute / Central | 120-240 bn IRR ($96k-$192k) | 1.5-2.1 bn IRR ($1,230-$1,660) | 143-193 m IRR ($114-$155) |
| Sattarkhan / Punak | Popular / Family | 110-220 bn IRR ($88k-$176k) | 1.4-1.9 bn IRR ($1,090-$1,475) | 127-171 m IRR ($101-$137) |
| Tehranpars | Value / Family | 95-180 bn IRR ($76k-$144k) | 1.3-1.8 bn IRR ($1,040-$1,410) | 121-164 m IRR ($97-$131) |
| Valiasr / Abbas Abad | Central / Lifestyle | 90-170 bn IRR ($72k-$136k) | 1.1-1.5 bn IRR ($895-$1,210) | 104-140 m IRR ($83-$112) |
| Narmak | Affordable / Liquid | 75-150 bn IRR ($60k-$120k) | 1.1-1.5 bn IRR ($905-$1,225) | 105-142 m IRR ($84-$114) |
| Enghelab / Monirieh | Commute / Older | 55-120 bn IRR ($44k-$96k) | 0.9-1.2 bn IRR ($695-$940) | 81-109 m IRR ($65-$87) |
| Azadi / Jey | Budget / Central-West | 50-110 bn IRR ($40k-$88k) | 0.8-1.1 bn IRR ($670-$905) | 78-105 m IRR ($62-$84) |
| Naziabad | Entry / South | 35-85 bn IRR ($28k-$68k) | 0.7-0.9 bn IRR ($525-$710) | 61-83 m IRR ($49-$66) |
| Yaftabad / Shadabad | Lowest-Cost / Entry | 30-75 bn IRR ($24k-$60k) | 0.6-0.8 bn IRR ($480-$650) | 56-75 m IRR ($45-$60) |
How much more do you pay for properties in Iran when you include renovation work, taxes, and fees?
When buying property in Iran in 2026, expect to pay an additional 7% to 15% on top of the purchase price for taxes, fees, and administrative costs, with significant renovation adding another 5% to 20%.
If you buy a property around $200,000 (about 250 billion IRR) in Iran, you would pay roughly $18,000 (22 billion IRR) in fees and taxes at the typical 9% rate. That brings your total to about $218,000 (272 billion IRR) before any renovation costs.
For a property around $500,000 (about 625 billion IRR) in Iran, the additional costs at around 8% would be roughly $40,000 (50 billion IRR), bringing your all-in total to approximately $540,000 (675 billion IRR). If you need significant renovation, add another $25,000 to $100,000.
If you buy a property at $1,000,000 (about 1.25 trillion IRR) in Iran, expect additional fees and taxes of around $75,000 to $100,000 (95 to 125 billion IRR). With potential luxury-level renovation, your total could reach $1.15 million to $1.2 million or more.
By the way, we keep updated a blog article detailing the property taxes and fees to factor in the total buying cost in Iran.
Meanwhile, here is a detailed table of the additional expenses you may have to pay when buying a new property in Iran
| Expense | Category | Estimated Cost Range and Explanation |
|---|---|---|
| Property Transfer Tax | Tax | Ranges from 0% to 5% or more of the property price, depending on your situation. In practice, this is often paid by the seller but may be negotiated as a shared cost. The exact rate depends on the property type and ownership history. |
| Notary and Registration Fees | Legal / Admin | Typically 1% to 3% of the purchase price for document preparation, registration, and legal processing. This covers the official transfer of ownership at the registry office. Higher-value properties sometimes see slightly lower percentage rates. |
| Real Estate Agent Commission | Service | Usually 1% to 3% of the property price, but highly negotiable depending on the transaction. Agents may charge the buyer, seller, or both parties. In competitive markets, commissions tend toward the lower end. |
| Municipal Clearance Certificates | Admin | About 0.3% to 1% of the property price for obtaining clearance from municipal authorities. This confirms there are no outstanding debts or violations on the property. Processing times can vary by district. |
| Cosmetic Renovation | Renovation | Around 5% to 10% of the property value for painting, flooring, and minor updates. This is common for older apartments that need refreshing before move-in. Costs have increased due to inflation and material prices. |
| Major Renovation | Renovation | Between 10% and 20% or more of the property value for kitchens, bathrooms, electrical, and plumbing upgrades. This is essential for older buildings that have not been updated in decades. High inflation makes budgeting uncertain, so add a contingency. |
We made this infographic to show you how property prices in Iran compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What properties can you buy in Iran in 2026 with different budgets?
With $100,000 (about 125 billion IRR) in Iran as of January 2026, you could buy an 85-square-meter existing apartment in Tehranpars, a 90-square-meter mixed-age apartment in Sattarkhan with good access to services, or a 120-square-meter older apartment in Enghelab that needs light renovation.
With $200,000 (about 250 billion IRR) in Iran as of January 2026, you could buy a 120-square-meter newer family apartment with parking in Yousef Abad, a 140-square-meter well-maintained existing apartment in Sa'adat Abad, or a 160-square-meter large older apartment in Valiasr that needs some renovation work.
With $300,000 (about 375 billion IRR) in Iran as of January 2026, you could buy a 160-square-meter newer apartment in Sa'adat Abad with family-oriented amenities, a 180-square-meter high-quality existing or renovated apartment in Niavaran, or a 200-square-meter large unit in Yousef Abad with a strong central location.
With $500,000 (about 625 billion IRR) in Iran as of January 2026, you could buy a 220-square-meter luxury apartment in Niavaran with good views, a 250-square-meter high-end unit in Sa'adat Abad in a newer building, or a 180 to 220-square-meter premium apartment in Elahiyeh or Zafaraniyeh as an entry point to those top addresses.
With $1,000,000 (about 1.25 trillion IRR) in Iran as of January 2026, you could buy a 300 to 350-square-meter luxury penthouse-style unit in Elahiyeh or Zafaraniyeh in a newer building, a 350-square-meter prime north Tehran unit in Niavaran with top building services, or a large luxury apartment with a substantial renovation budget in the best Region 1 or 3 buildings.
With $2,000,000 (about 2.5 trillion IRR) in Iran as of January 2026, there is a market but it is thin with few transactions at this level, and you could find an ultra-prime penthouse of 400+ square meters in a landmark Elahiyeh building, a compound-style luxury property in north Tehran with large terraces, or pursue a strategy of buying 2 to 4 high-end apartments across premium regions.
If you need a more detailed analysis, we have a blog article detailing what you can buy at different budget levels in Iran.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Iran, we always rely on the strongest methodology we can ... and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source Name | Why It's Authoritative | How We Used It |
|---|---|---|
| Central Bank of Iran - Tehran Housing Report | Iran's central bank publishes official transaction-based housing market data for Tehran's 22 municipal areas. | We used this as our hard anchor for average transaction prices per square meter in Tehran. We extracted the full price spread across all districts to build our neighborhood comparison tables. |
| Central Bank of Iran - Inflation Statistics | The CBI publishes Iran's official inflation time series with transparent methodology and historical data. | We used this to calculate inflation-adjusted price changes over one year and ten years. We also used inflation context to project prices forward from the last verified data point to January 2026. |
| Reuters - Iran Currency Reports | Reuters is a global wire service with strict sourcing standards and date-stamped market reporting on Iran's currency. | We used Reuters to anchor a realistic open-market exchange rate for converting Iranian rials to US dollars. We chose this over official rates because housing transactions effectively use open-market pricing. |
| FRED - USD to EUR Exchange Rate | The Federal Reserve Bank of St. Louis republishes official Federal Reserve foreign exchange data with transparent methodology. | We used FRED's USD/EUR series to convert our dollar figures into euros consistently. We applied the late-2025 rate as the closest observable anchor for January 2026 conversions. |
| Iranian National Tax Administration | INTA is the official government body responsible for tax policy and publishes information on property-related taxes in Iran. | We used this source to understand the structure of property transfer taxes and fees. We cross-referenced their information with typical transaction costs reported by local real estate professionals. |
| Statistical Center of Iran | The national statistics agency publishes demographic and housing stock data that complements CBI transaction reports. | We used their data on housing stock composition to estimate the market breakdown by property type. We also referenced their data on average unit sizes in Tehran. |
| International Monetary Fund - Iran Data | The IMF provides independent economic assessments and inflation forecasts for Iran based on multiple data sources. | We cross-referenced IMF inflation estimates with CBI data to validate our real price change calculations. We used their economic context to understand drivers of housing demand. |
| World Bank - Iran Economic Reports | The World Bank publishes independent analysis of Iran's economy including housing sector assessments. | We used World Bank reports to understand broader economic factors affecting Iran's housing market. We referenced their analysis of sanctions impacts on asset prices. |
| Tehran Municipality | Official municipal boundaries help map neighborhoods to the CBI's 22 statistical regions for accurate price attribution. | We used municipal district maps to assign well-known neighborhood names to their corresponding official regions. We then applied the CBI's regional price data to create our neighborhood table. |
| Divar - Iran Property Listings | Divar is one of Iran's largest classified platforms with thousands of current property listings and pricing data. | We sampled listing data to understand current asking prices and validate our closed-price estimates. We used the gap between listings and transaction data to estimate the ask-to-close discount. |
| Sheypoor - Iran Real Estate Portal | Sheypoor is a major Iranian classifieds site with extensive real estate listings across different neighborhoods. | We cross-referenced listing prices with our CBI-based estimates for validation. We used their neighborhood categorizations to understand local market dynamics. |
| Ministry of Roads and Urban Development | Iran's housing ministry publishes policy information and some housing market statistics. | We used their data on building permits and construction activity to understand supply trends. We referenced their housing policy information for context on market regulations. |
| Building and Housing Research Center | Iran's official research center for building standards and construction costs. | We used their construction cost data to estimate renovation expense ranges. We referenced their building code information to explain the new-build premium. |
| Tehran Chamber of Commerce | The Chamber of Commerce publishes business and economic reports including real estate sector analysis. | We used their reports to understand commercial influences on residential pricing. We also referenced their analysis of investment flows into real estate. |
| IRNA - Islamic Republic News Agency | Iran's official news agency reports on economic developments including housing market trends. | We used IRNA reports to track recent market developments and policy changes. We cross-referenced their reporting with CBI data for consistency. |
| ISNA - Iranian Students News Agency | ISNA provides detailed economic coverage including housing market analysis and expert interviews. | We used ISNA's market analysis to understand factors driving price changes. We referenced expert commentary to validate our methodology. |
| Financial Tribune | Iran's English-language financial newspaper provides accessible economic and real estate coverage. | We used Financial Tribune for English-language market analysis and commentary. We cross-referenced their reporting with Persian-language sources for accuracy. |
| Securities and Exchange Organization of Iran | Iran's securities regulator publishes data on real estate investment trusts and related financial instruments. | We used their data to understand institutional investment patterns in Iranian real estate. We referenced their reports for context on market liquidity. |
| Central Bank of Iran - Economic Indicators | The CBI publishes comprehensive economic indicators including construction sector data. | We used their construction sector data to understand housing supply dynamics. We referenced building material price indices to validate renovation cost estimates. |
| Iranian Parliament News Agency | ICANA reports on housing legislation and policy discussions in Iran's parliament. | We monitored housing policy developments that could affect market prices. We used their reports to understand the regulatory environment. |
| Iran Real Estate Consultants Union | The professional association provides standardized information on typical commission rates and transaction practices. | We used their guidance to estimate typical agent fees and commission ranges. We noted that actual fees are highly negotiable depending on the specific transaction. |
| Tasnim News Agency | Tasnim provides detailed economic coverage including housing sector analysis and price trend reporting. | We used Tasnim's market reporting to validate price trends and identify recent developments. We cross-referenced their data with official CBI statistics. |
| Eghtesad Online | Iran's leading economic news portal provides daily coverage of housing market trends and price changes. | We used their price trend reporting to understand recent market movements. We referenced their expert analysis to validate our methodology and projections. |
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