Authored by the expert who managed and guided the team behind the Iran Property Pack
Yes, the analysis of Tehran's property market is included in our pack
This blog post covers what apartments really cost in Tehran as of January 2026, including prices by neighborhood, closing costs, and ongoing expenses.
We update this article regularly to reflect the latest market data, currency movements, and local transaction trends.
The Tehran property market is shaped by high inflation and currency fluctuations, which makes having accurate and fresh numbers especially important.
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 Tehran.
Insights
- Tehran apartment prices rose about 30% in nominal terms from January 2025 to January 2026, but actually fell around 10% when adjusted for Iran's high inflation rate.
- The price gap between North Tehran neighborhoods like Elahiyeh and South Tehran areas like Naziabad is roughly 5 to 1, making district selection the single biggest budget factor.
- New-build apartments in Tehran carry a 15% to 25% premium over comparable older stock because buyers pay extra to avoid unpredictable renovation costs in a high-inflation environment.
- Small apartments under 70 square meters command the highest price per square meter in Tehran because more buyers can afford the total cost, creating a liquidity premium.
- About 80% of Tehran residential transactions fall between 5 billion and 25 billion tomans (roughly $70,000 to $350,000), which defines the practical middle market.
- Tehran mortgage rates exceed 22% to 30% annually, which means most buyers purchase apartments with cash rather than financing.
- The gap between listed prices and actual sale prices in Tehran averages around 7% to 8%, as sellers add a buffer against currency swings and inflation uncertainty.
- Building charges in Tehran range from 1 million tomans per month for basic buildings to over 10 million tomans for luxury towers with full amenities.
How much do apartments really cost in Tehran in 2026?
What's the average and median apartment price in Tehran in 2026?
As of January 2026, the average apartment price in Tehran is approximately 130 million tomans per square meter (around $1,300 or €1,100 per square meter), while the median sits closer to 120 million tomans per square meter (roughly $1,200 or €1,020 per square meter).
This means the average price per square foot in Tehran works out to about $120 or €100, and for a typical 80 square meter apartment, you are looking at a total price somewhere between 9.6 billion and 10.4 billion tomans ($96,000 to $104,000 or €82,000 to €89,000).
Most standard apartments in Tehran fall within a price range of 6 billion to 20 billion tomans (roughly $60,000 to $200,000 or €51,000 to €170,000), which covers the bulk of the market from budget southern districts to comfortable central and upper-mid areas.
How much is a studio apartment in Tehran in 2026?
As of January 2026, a typical studio apartment in Tehran costs between 4 billion and 6 billion tomans (approximately $40,000 to $60,000 or €34,000 to €51,000) for a mid-market unit in a central or western district.
Entry-level studios in southern neighborhoods like Naziabad or Yaftabad start from around 3 billion tomans ($30,000 or €26,000), while high-end studios in premium north Tehran areas like Yousef Abad or Vanak can reach 8 billion to 10 billion tomans ($80,000 to $100,000 or €68,000 to €85,000).
Studio apartments in Tehran typically range from 35 to 45 square meters, which is slightly smaller than Western standards, and they are most common in central and mid-tier districts rather than the premium north.
How much is a one-bedroom apartment in Tehran in 2026?
As of January 2026, a typical one-bedroom apartment in Tehran costs between 6.5 billion and 9 billion tomans (approximately $65,000 to $90,000 or €55,000 to €77,000) for a mid-market unit.
Budget one-bedroom apartments in southern or far eastern Tehran start from around 5 billion tomans ($50,000 or €43,000), while luxury one-bedrooms in premium northern districts like Sa'adat Abad or Pasdaran can reach 12 billion to 18 billion tomans ($120,000 to $180,000 or €102,000 to €153,000).
One-bedroom apartments in Tehran typically measure between 55 and 70 square meters, which gives you a comfortable living space with a separate bedroom and often a small balcony in newer buildings.
How much is a two-bedroom apartment in Tehran in 2026?
As of January 2026, a typical two-bedroom apartment in Tehran costs between 10 billion and 14 billion tomans (approximately $100,000 to $140,000 or €85,000 to €119,000) for a mid-market unit in a decent location.
Entry-level two-bedroom apartments in budget districts like Tehranpars or Narmak start from around 8 billion tomans ($80,000 or €68,000), while premium two-bedrooms in north Tehran neighborhoods like Fereshteh or Zafaraniyeh can reach 20 billion to 28 billion tomans ($200,000 to $280,000 or €170,000 to €238,000).
By the way, you will find much more detailed price ranges for apartments in our property pack covering the property market in Tehran.
How much is a three-bedroom apartment in Tehran in 2026?
As of January 2026, a typical three-bedroom apartment in Tehran costs between 14 billion and 20 billion tomans (approximately $140,000 to $200,000 or €119,000 to €170,000) for a mid-market family-sized unit.
Budget three-bedroom apartments in areas like Sattar Khan or outer Tehranpars start from around 11 billion tomans ($110,000 or €94,000), while luxury three-bedrooms in elite northern neighborhoods like Elahiyeh or Niavaran can reach 30 billion to 45 billion tomans or more ($300,000 to $450,000 or €255,000 to €383,000).
Three-bedroom apartments in Tehran typically range from 120 to 160 square meters, and at this size, you are more likely to find units with parking, modern elevators, and building amenities in the better towers.
What's the price gap between new and resale apartments in Tehran in 2026?
As of January 2026, new-build apartments in Tehran typically cost 15% to 25% more than comparable resale units in the same neighborhood, with the premium driven by modern amenities and lower renovation risk.
The average price per square meter for new-build apartments in Tehran is around 145 million to 165 million tomans (approximately $1,450 to $1,650 or €1,235 to €1,400 per square meter), depending on the district and building quality.
Resale apartments in Tehran average around 115 million to 130 million tomans per square meter ($1,150 to $1,300 or €980 to €1,105 per square meter), though older buildings in need of renovation can trade at significant discounts below these figures.
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Can I afford to buy in Tehran in 2026?
What's the typical total budget (all-in) to buy an apartment in Tehran in 2026?
As of January 2026, the typical all-in budget to buy a standard mid-market apartment in Tehran is around 11 billion to 15 billion tomans (approximately $110,000 to $150,000 or €94,000 to €128,000), which includes the purchase price plus closing costs and a move-in buffer.
Beyond the apartment price itself, your all-in budget in Tehran should include buyer closing costs of 1.5% to 3.5% of the purchase price, covering items like agent commission, notary and registration fees, and municipal clearances, plus a move-in buffer for immediate repairs and utility connections.
We go deeper and try to understand what costs can be avoided or minimized (and how) in our Tehran property pack.
You can also read our dedicated blog article to understand what you can at different budget levels in Tehran.
What down payment is typical to buy in Tehran in 2026?
As of January 2026, the typical down payment for buying an apartment in Tehran is effectively 70% to 100% of the purchase price in cash, since mortgage financing plays a very small role in most transactions due to extremely high interest rates.
Iranian banks theoretically offer mortgages, but loan ceilings around 500 million to 1 billion tomans (roughly $5,000 to $10,000) cover only a tiny fraction of multi-billion toman apartment prices, which means most Tehran buyers must bring nearly all the cash themselves.
For foreign buyers specifically, the recommendation is to plan as if the purchase is 100% cash, since access to local mortgage financing is extremely limited or unavailable, and you want to avoid any surprises during the transaction.
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.
Which neighborhoods are cheapest or priciest in Tehran in 2026?
How much does the price per m² for apartments vary by neighborhood in Tehran in 2026?
As of January 2026, the price per square meter for apartments in Tehran ranges from around 60 million tomans ($600 or €510 per square meter) in the most affordable southern districts to over 400 million tomans ($4,000 or €3,400 per square meter) in the most exclusive northern neighborhoods.
The most affordable neighborhoods in Tehran include Naziabad, Yaftabad, Shush, and Khaniabad in the south, where prices typically range from 60 million to 110 million tomans per square meter ($600 to $1,100 or €510 to €935 per square meter).
The most expensive neighborhoods in Tehran are the premium northern districts like Elahiyeh, Fereshteh, Zafaraniyeh, Niavaran, and Velenjak, where prices commonly range from 220 million to 450 million tomans per square meter ($2,200 to $4,500 or €1,870 to €3,825 per square meter).
What neighborhoods are best for first-time buyers on a budget in Tehran in 2026?
As of January 2026, the best neighborhoods for first-time buyers on a budget in Tehran are Ekbatan, Tehranpars, and Narmak, which offer lower prices combined with good transport connections and established local services.
In these budget-friendly neighborhoods, apartment prices typically range from 5 billion to 10 billion tomans ($50,000 to $100,000 or €43,000 to €85,000) for a decent one or two-bedroom unit, which is significantly below north Tehran prices.
These areas offer first-time buyers practical advantages like metro access, schools, shops, and active resale markets where you can find comparable units easily if you need to sell later.
The main trade-off of buying in these budget neighborhoods is that building quality varies widely, so you need to inspect elevators, wiring, water pressure, and common-area maintenance carefully before committing.
Which neighborhoods have the fastest-rising apartment prices in Tehran in 2026?
As of January 2026, the neighborhoods with the fastest-rising apartment prices in Tehran are upper-mid areas like Punak, edges of Sa'adat Abad, and parts of Tehranpars and Hakimiyeh, where demand from buyers trading down from premium north Tehran has pushed prices up.
Year-over-year nominal price increases in these fast-rising Tehran neighborhoods have been running at 25% to 35%, though when adjusted for Iran's high inflation, real price growth is more modest or even slightly negative.
The main driver behind rapid price growth in these neighborhoods is demand rotation, where buyers who cannot afford north Tehran's top districts move to nearby areas that still offer decent quality and infrastructure at lower entry prices.
You can also read our latest update about property price forecasts in Tehran.
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What extra costs will I pay on top of the apartment price in Tehran in 2026?
What are all the buyer closing costs when you buy an apartment in Tehran?
The estimated total buyer closing cost for a typical apartment purchase in Tehran is around 200 million to 500 million tomans ($2,000 to $5,000 or €1,700 to €4,250), depending on the purchase price and complexity of the transaction.
The main categories of closing costs buyers must pay in Tehran include agent commission (buyer share), notary and deed registration fees, transfer taxes or duties, and municipal clearance charges to confirm no outstanding dues on the property.
The largest single closing expense for most Tehran apartment buyers is typically the notary and registration fees combined with any applicable transfer tax, which together form the bulk of the percentage-based costs.
Some closing costs in Tehran are negotiable, particularly the agent commission share, which can vary based on how the deal is structured and whether the buyer has direct access to the seller.
On average, how much are buyer closing costs as a percentage of the purchase price for an apartment in Tehran?
The typical percentage that buyers should budget for closing costs in Tehran is around 1.5% to 3.5% of the purchase price, which covers registration, notary fees, agent commission share, and municipal clearances.
The realistic low-to-high range for most standard Tehran apartment transactions is 1.5% on the low end for a straightforward resale with minimal agent involvement and clean paperwork, up to 3.5% or slightly higher for more complex deals with full agent services.
We actually cover all these costs and strategies to minimize them in our pack about the real estate market in Tehran.
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 are the ongoing monthly and yearly costs of an apartment in Tehran in 2026?
What are typical HOA fees in Tehran right now?
In Tehran, building charges (called "sharj-e sakhteman") function like HOA fees and typically cost between 1 million and 5 million tomans per month ($10 to $50 or €8.50 to €43) for a standard mid-rise apartment building.
The range of building charges in Tehran varies significantly, from around 1 million tomans monthly for basic older buildings with minimal services, up to 10 million tomans or more ($100+ or €85+) for luxury towers with amenities like 24-hour security, gyms, and parking.
What utilities should I budget monthly in Tehran right now?
The estimated total monthly utility cost for a typical 85 square meter apartment in Tehran is around 2 million to 5 million tomans ($20 to $50 or €17 to €43), though winter heating bills can push this higher.
The realistic range of monthly utility costs in Tehran spans from about 1.5 million tomans ($15 or €13) for a small apartment with moderate usage in mild months, up to 8 million tomans or more ($80 or €68) for larger units with heavy winter gas consumption.
Typical monthly utilities in Tehran include electricity, natural gas for heating and cooking, water, and building common-area contributions that may be wrapped into your building charge.
The most expensive utility for most Tehran apartment owners is natural gas during winter months, since heating needs spike and tiered pricing means high consumption gets charged at significantly higher rates.
How much is property tax on apartments in Tehran?
Iran does not have a classic annual property tax system like the US or UK, so Tehran apartment owners typically do not receive a yearly property tax bill in the traditional sense.
Instead of annual property taxes, Tehran owners pay municipal charges and dues, which are checked and cleared as part of property transfers, plus various transaction-time taxes and fees when buying or selling.
The realistic range of ongoing municipal-related costs varies by building and district, but owners should budget for periodic municipal dues that may be collected through the building management or settled directly with Tehran municipality portals.
What's the yearly building maintenance cost in Tehran?
The estimated typical yearly building maintenance cost for Tehran apartment owners is around 20 million to 80 million tomans ($200 to $800 or €170 to €680), which includes regular monthly building charges plus periodic major repairs.
The realistic range of yearly maintenance costs depends heavily on building age and type, with newer buildings in good condition toward the lower end and older buildings with aging elevators, water pumps, and facades toward the higher end.
Typical expenses included in building maintenance costs in Tehran are elevator servicing, water pump and pressure system maintenance, facade and roof repairs, lobby upkeep, and common-area cleaning and security.
Building maintenance costs in Tehran are generally collected through the monthly building charge, but special assessments for major repairs like elevator replacement or roof work can add significant one-time costs on top of the regular monthly payments.
How much does home insurance cost in Tehran?
The estimated typical annual home insurance cost for an apartment in Tehran is around 3 million to 10 million tomans ($30 to $100 or €26 to €85), depending on coverage level and insured value.
The realistic range of annual home insurance costs can stretch from basic fire-only policies at the lower end to comprehensive fire plus earthquake coverage at the higher end, with earthquake riders adding meaningful additional cost given Tehran's seismic risk.
Home insurance in Iran is generally optional rather than mandatory for apartment owners, but given Tehran's earthquake exposure, adding earthquake coverage to a basic fire policy is strongly recommended for protecting your investment.
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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 Tehran, 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 | Why It's Authoritative | How We Used It |
|---|---|---|
| Central Bank of Iran (CBI) | It's the central bank's own published exchange rate data. | We used it to convert toman prices into USD and EUR for foreign buyers. We also used it to explain why currency conversions can vary. |
| Statistical Center of Iran (SCI) - District Price Index | It's the national statistics office publishing official Tehran housing data. | We used it as the anchor for how Tehran apartment prices are measured by district. We then updated levels using more recent market data. |
| SCI - Tehran Construction Input Cost Index | It's an official index tracking building costs in Tehran. | We used it to explain why new-build prices stay firm. We used it to justify the new versus resale price premium range. |
| Global Property Guide - Iran Buying Guide | It's a long-running international reference for property transaction costs. | We used it to structure the list of buyer closing costs. We used it to sanity-check our budget assumptions. |
| Global Property Guide - Iran Transaction Costs | It explicitly summarizes transaction cost ranges in a comparable way. | We used it to estimate buyer-side closing costs as a percentage. We cross-checked it against local commission reporting. |
| Financial Tribune - Agent Commission | It's an established Iranian business outlet reporting on commission rules. | We used it to ground our Tehran agent commission assumption. We used it to keep closing cost estimates realistic for the local market. |
| Tehran Municipality Portal | It's the municipality's own e-services gateway for property matters. | We used it to explain that municipal dues exist and are cleared at transfer. We used it to point buyers toward official channels. |
| Tehran Province Water and Wastewater Company | It's the provincial water utility for Tehran. | We used it as an official reference for budgeting water costs. We used it to ground the utilities section in real providers. |
| SHANA - Iran Ministry of Petroleum News | It's an official-sector outlet covering gas pricing policy. | We used it to support that gas pricing is policy-driven and tiered. We used it to justify seasonal utility budget ranges. |
| Numbeo - Tehran Property Data | It's transparent about sample size and useful for triangulation checks. | We used it only to sanity-check our USD per square meter conversions. We did not treat it as a primary source. |
| Living in Tehran - Market Snapshot | It's a local resource referencing specific Tehran market figures with dates. | We used it to update price levels closer to early 2026. We cross-checked it against SCI methodology for consistency. |
| NHESS - Earthquake Insurance in Iran | It's academic research on insurance product structure in Iran. | We used it to confirm that earthquake coverage is a rider on fire insurance. We used it to frame home insurance cost expectations. |
| WIRED - Tehran Water Stress | It provides context on Tehran's water infrastructure challenges. | We used it to explain why water reliability matters for property planning. We used it to support budgeting for utilities realistically. |
| GlobalPetrolPrices - Iran Electricity | It tracks retail electricity prices with official source citations. | We used it to understand Tehran electricity cost structures. We used it to validate that utilities are subsidized but tiered. |
| IranTBS - Housing Market Outlook | It provides detailed analysis of Tehran price history and forecasts. | We used it to understand long-term price trends in Tehran. We used it to contextualize current prices against historical data. |
We created this infographic to give you a simple idea of how much it costs to buy property in different parts of Iran. As you can see, it breaks down price ranges and property types for popular cities in the country. We hope this makes it easier to explore your options and understand the market.
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