The Effect of Minimum Parking Requirements on Hosing Price (Case Study: Selected Districts of Tehran)

Document Type : Research Article

Authors

1 Associate Professor, Department of Public Affairs Economics, Faculty of Economics, Kharazmi University, Tehran, Iran (Corresponding Author).

2 Associate Professor, Department of Public Affairs Economics, Faculty of Economics, Kharazmi University, Tehran, Iran.

3 M.A. Graduate in Housing Economics, Faculty of Economics, Kharazmi University, Tehran, Iran.

10.22084/aes.2025.30673.3777

Abstract

The housing issue has been one of the most important concerns of humanity in the past century. Housing prices have continuously increased exponentially due to various reasons, making homeownership increasingly difficult over time. This study examines the impact of restrictive regulations on housing prices. Specifically, it investigates the relationship between the minimum parking requirement and housing prices while proposing policy alternatives to replace this regulation. The methods employed in this research include descriptive statistics for variable analysis and inferential statistics, specifically stepwise ordinary least squares regression, to determine the relationships between variables. The data is divided into two categories: survey data collected from 384 questionnaires distributed among real estate market participants in Tehran and transaction data comprising 62,419 residential property sales from December 2021 to December 2022. The findings indicate that the minimum parking requirement has led to a 2% to 8% increase in housing prices. The distributed questionnaire assessed market participants’ opinions on alternative policies to reform the minimum parking requirement, and ultimately, the most effective replacement policies were selected.

Keywords

Main Subjects

References

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Journal of Applied Economics Studies in Iran
Volume 14, Issue 54
August 2025
Pages 103-138

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