Israeli Housing Market Shows Regional Disparities in August Sales
Translated & summarized from Now 14 by baba
Israel's housing market in August saw a 40% rise in new apartment sales in the Haifa region, driven by a project in Acre. However, Netanya and the South experienced significant drops in new home sales. The second-hand market hit a relative low, with Tel Aviv seeing a 30% decrease in transactions. The Rehovot region was the only area to show consistent growth in second-hand sales.
The story in 6 lines · by baba
- Haifa saw a 40% increase in new apartment sales in August, reaching 379 units.
- Netanya experienced a 46% drop in new apartment sales, with 204 units sold.
- The Southern region reported a 13% decrease in new apartment sales, totaling 330 units.
- Tel Aviv saw a significant 30% decline in second-hand apartment transactions.
- The second-hand housing market reached a relative historical low in August.
- Rehovot was the only region to record consecutive monthly growth in second-hand sales.
Israel's housing market in August presented a mixed picture across different regions, according to a review by the Ministry of Finance's chief economist. The Haifa region saw a significant surge in new apartment sales, with 379 units sold, a 40% increase compared to August of the previous year. However, a substantial portion of this activity was attributed to a sales promotion for a specific project in Acre, where apartments averaged around 1.4 million shekels.
In contrast, the Netanya and Southern regions experienced notable declines in new home sales. Netanya recorded 204 new apartments sold in the free market, a sharp 46% drop from the prior year. Year-to-date sales in Netanya are down 13%. The Southern region sold 330 new apartments, a 13% decrease from last August, and year-to-date sales are down 23%. Nationally, new apartment sales saw a 4% increase over the first eight months of the year.
The resale market, or second-hand market, showed a relative historical low in August. Transactions were among the lowest recorded for August since the early 2000s, with only August 2024 and August 2002 seeing lower figures. Seven out of ten surveyed tax regions reported a decrease in second-hand deals. Tel Aviv was particularly affected, with a 30% drop in transactions compared to the previous August, following a 36% decrease in July.
The Haifa region also saw a decrease in second-hand sales, down 9% from last August. The Rehovot region was an exception, showing growth for two consecutive months, with an 8% increase in August compared to the previous year. The report cautions that monthly fluctuations may not indicate long-term trends, and individual projects can influence regional figures.
