Housing snapshot: Home sales and rentals across Israel in December 2024
The Times of Israel’s regular feature on what is happening in the local property market right now
Home prices in Israel continued to rise in September and October, recently released figures show.
Prices rose 0.5% in September and October 2024 compared to the previous two months, according to the Central Bureau of Statistics. Compared to the same period a year ago, September and October 2023, prices have surged 6.7%.
Prices have been rising steadily this year after declining in the second half of 2023, the CBS noted. The last time housing prices showed an extended downward trend before that was in 2018.
Compared to the previous two months, prices in September and October 2024 rose 1.5% in the northern district, 1% in the Tel Aviv area, 0.4% in the central Israel district and 0.4% in the southern district. Prices declined by 0.4% in the Jerusalem area and by 0.2% in the Haifa area, the CBS said.
According to Finance Ministry data, 5,111 apartments were sold in October. This is more than twice as many as were sold last October, when real estate activity reached historic lows due to the outbreak of the war on October 7. Sales in October were 38% less than in September, with half of the decrease attributable to there being fewer working days in October due to the holiday season.
The number of transactions in October was similar to that of October 2022, which also had a similar number of working days, the Finance Ministry noted.
Investors purchased 828 apartments in October and sold 885 apartments, 11% and 16% lower than in October 2022, respectively. Foreign investors purchased 110 apartments during the month, compared to just 42 apartments in October last year, the Finance Ministry said.
During the third quarter, construction starts rose in the third quarter to 16,400 units, compared to 13,600 in the previous quarter. The total number of buildings under construction in Israel rose to 178,000 units. Building completions during the quarter was a relatively low 12,400, Bank Hapoalim noted.
“The shortage of Palestinian workers is reflected in the lengthening duration of construction, as well as in the growing gap between the number of building permits and construction starts,” Bank Hapoalim said in a note to investors. “The shortage of workers is a bottleneck that limits the growth in investment in residential construction.”
Sales
To provide the housing snapshot below, we used the Israel Tax Authority’s database, which records the actual prices paid for properties. The focus is on sales over the last month to present the most up-to-date picture of the market.
In Tel Aviv-Jaffa, a 66-square-meter (710-square-foot), three-room (two-bedroom) apartment at 44 Kehilat Lodz Street was sold for NIS 3,28,000 ($894,157) on December 1. The apartment is on the third of a seven-floor building built in 2021. The unit has a parking space attached.
An 87-square-meter (936-square-foot), four-room (three-bedroom) apartment at 14 Emek Ayalon Street was sold for NIS 4,400,000 ($1,091,300) on December 8. The apartment is on the 6th floor of a seven-floor building.
An 80-square-meter (861-square-foot), three-room (two-bedroom) apartment at 33 Haggibbor Ha’Almoni Street was sold for NIS 3,075,000 ($839,258) on December 3. The apartment is on the third floor of a seven-floor building built in 2021.
In Jerusalem, a 65-square-meter (700-square-foot), three-room (two-bedroom) apartment at 55 Shmuel Hanavi Street was sold for NIS 3,050,000 ($831,278) on December 2. The apartment is on the third floor of a four-floor building built in 1940.
A 75-square-meter (807-square-foot), four-room (three-bedroom) apartment at 12 Sol Lipchin Street was sold for NIS 2,550,000 ($695,192) on December 2. The apartment is on the first floor of a six-floor building built in 2014.
A 92-square-meter (990-square-foot), four-room (three-bedroom) apartment at 10 Hashofet Haim Cohen Street was sold for NIS 3,250,000 ($886,015) on December 4. The apartment is on the first floor of a 25-floor building built in 2014.
In Beit Shemesh, a 91-square-meter (980-square-foot), four-room (three-bedroom) apartment at 5 David Razi’el Street was sold for NIS 1,710,000 ($602,931) on December 1. The apartment is on the second floor of a four-floor building built in 1985.
A 79-square-meter (850-square-foot), four-room (three-bedroom) apartment at 8 Ben Eliezer Street was sold for NIS 1,760,000 ($478,896) on December 5. The apartment is on the seventh floor of a seven-floor building built in 1970.
In Haifa, a 115-square-meter (1,237-square-foot), four-room (three-bedroom) apartment at 10 Chalamish Street was sold for NIS 1,380,000 ($376,642) on December 1. The apartment is on the 13th floor of a 16-floor building built in 2003.
Rentals
The database of the real estate website Madlan was used to compile this sample of rental apartments on the market with a focus on three-room (two-bedroom) properties, suitable for a couple, two roommates, or a small family.
In Tel Aviv, a 70-square-meter (753-square-foot), three-room (two-bedroom) apartment at 26 Sheinkin Street in the center of the city, was put on the market for NIS 10,265 ($2,797) monthly. The unit has a shelter and two balconies.
In Jerusalem, a 60-square-meter (645-square-foot), three-room (two-bedroom) apartment at 15 Ramban Street, in the Rehavia neighborhood, was put on the market for NIS 7,500 ($2,043) monthly. The unit, on the ground floor, comes furnished and with access to a shared garden.
In Haifa, a 67-square-meter (721-square-foot), three-room apartment (two-bedroom) on the first floor of four at 33 Amal Street was put on the market for NIS 3,600 ($981) monthly. The partially furnished and renovated unit does not have a lift or shelter.
