Former Minister Ayelet Shaked Earns Substantial Salary Amid Housing Market Debate

Ayelet Shaked, former Israeli Minister of Justice, recently stated that the public is delusional if they believe housing prices will decrease, asserting that prices will only rise. Shaked currently serves as the chairperson of Kardan, a real estate company, where she earns a significant salary. Her compensation includes a monthly salary of approximately 100,000 shekels (around $27,000 USD) for a 60% position, plus bonuses and stock options. These options, if exercised, could bring her total earnings to about 140,000 shekels per month, or roughly 1.7 million shekels annually. This financial standing leads the article to question her pronouncements on housing prices.

Shaked's current stance aligns with her past predictions as a politician; in July 2021, she anticipated rising housing prices, citing insufficient government action in construction and marketing. Despite her current role in sales at Kardan, which has seen steady apartment sales, the company possesses a large inventory. She has previously advocated for solutions like converting office buildings into residential units, though these measures have not fully replaced existing housing programs.

The article contrasts Shaked's views with those of some contractors who, surprised by a recent interest rate cut, fear rising prices due to their own financial leverage and a slowdown in new permits. However, a capital market executive disputes contractors' predictions, noting that past forecasts of price increases have not materialized, and suggests investing in the stock market has been more profitable. This highlights a growing conflict between real estate professionals and financial market analysts.

In a separate development, six major AI models, including ChatGPT, Claude, and Gemini, were surveyed. All of them predicted an increase in housing prices, with some forecasting moderate to significant rises, attributing this trend to the interest rate cut and economic growth. The article suggests that the public's understanding of the housing market may now be more aligned with AI predictions than with past pronouncements.