Ashdod Real Estate Market Sees Sharp Decline in Sales
Translated & summarized from Maariv by baba
Apartment sales in Ashdod, Israel's eighth-largest city, have dropped sharply from 510 to 158 units year-over-year, according to Central Bureau of Statistics data. Real estate agents report that buyers are delaying purchases, anticipating price drops, while sellers struggle to find buyers. Factors like the ongoing war, pandemic aftereffects, and currency exchange rates are cited as reasons for the market slowdown, leading some agents to leave the profession.
The story in 5 lines · by baba
- Ashdod apartment sales fell from 510 to 158 units year-over-year.
- Buyers are delaying purchases, expecting further price reductions.
- Real estate agents report a "very difficult" market with many canceled deals.
- The ongoing war and pandemic aftereffects are cited as market influences.
- Some real estate agents are reportedly leaving the profession due to the slowdown.
Sales of apartments in Ashdod, Israel's eighth-largest city, have plummeted, with real estate agents describing the situation as "very difficult" and citing numerous canceled deals. Official statistics from the Central Bureau of Statistics reveal a significant drop from 510 apartment sales in the same quarter last year to just 158.
Agents attribute the slowdown to potential buyers waiting for price reductions, influenced by the perception that declining sales will pressure sellers to lower their asking prices. This has led many to postpone purchases in hopes of a better deal. Rami Saban, a real estate agent, noted that the market trend is clearly downward, impacting his portfolio of 120 properties. He explained that homeowners are struggling to sell unless they significantly reduce prices, which then limits their ability to upgrade to a new home.
Saban also pointed to external factors such as the ongoing war, the lingering effects of the COVID-19 pandemic, and unfavorable exchange rates for foreign currencies as contributing to buyer hesitation. Despite interest rate changes, the market remains sluggish. He believes developers need to lower prices to stimulate transactions, as buyers are currently very hesitant.
Real estate agent Zarhak highlighted the psychological impact of the past year's stress and uncertainty, causing potential buyers to fear for their future. This creates a cycle where falling prices for existing homes reduce sellers' capital for purchasing new ones, potentially leading to a tighter supply and subsequent price increases, which in turn deters buyers. Zarhak also suggested that media reports and price forecasts contribute to confusion, encouraging buyers to wait for further price drops.
Many real estate agents are reportedly leaving the profession due to the significant decline in sales. Zarhak advised those looking to upgrade their homes to first secure a buyer for their current property before committing to a new purchase, given the current ample supply of resale homes. She believes the public is waiting for an improvement in the security situation or a decrease in prices before engaging in significant real estate transactions.
The same event, reported separately by each outlet. Open a few to compare what different newsrooms emphasize — and what they leave out.
Centre 1Other 1
Not the same event — other stories that share this one’s people, places, or theme: background, reactions, and follow-ups.
