The real estate market in Israel is showing interesting trends in the new housing sector. The most recent data available is from March to May 2023 and reveals significant market developments.
Decline in Sales of New Homes
During this period, 6,570 new homes were sold, representing a decrease of 17.9% compared to the previous three months (December 2022 to February 2023) during which 8,010 homes had been sold. However, after seasonal adjustment, it appears that 7,220 homes were sold, which represents a more moderate decrease of 5.5% compared to the 7,630 homes sold in the previous three months.
In May 2023, 2,176 new homes were sold, which represents an increase of 46.8% compared to April 2023. This increase in sales in May compared to April is likely due to the fact that April was a month full of holidays, with very few working days.
An interesting trend concerns homes subsidized by the government. Over the past three months, 27.2% of the new homes sold were subsidized, an increase of 16.8% compared to the previous three months. This demonstrates the government's commitment to promoting housing accessibility by offering financial incentives to potential buyers.
Geographical Distribution of Real Estate Sales
Geographically, the southern region of Israel was the most active sales location, accounting for approximately 29.3% of new real estate transactions. The central region also had a significant share of sales - approximately 22.2%. The Jerusalem and Haifa districts experienced the most significant decreases in sales compared to the previous three months, 53.4% and 39.7% respectively.
New apartments sold by district, March-May 2023 vs December-February 2022
In terms of properties still available for sale, as of the end of May 2023, approximately 57,282 apartments were still available on the market, with an average monthly supply period of 23.6 months. Over half of these homes were located in the Tel Aviv (29.5%) and Central (23.9%) districts, thus offering many options to potential buyers in these regions.
Remaining apartments for sale by district in Israel - May 2023
Certain cities stood out with a high number of apartment sales during this period. Netivot recorded 448 sales, followed by Ashkelon with 420 acquisitions, and Jerusalem with 410. These cities offer attractive opportunities for potential buyers looking for a new property.
Israeli cities with over 150 apartments sold, March-May 2023 vs December-February 2022
In conclusion, the real estate transaction data from March to May 2023 in Israel reveal interesting trends. Despite a slight overall decline, some regions and cities actually experienced an increase in real estate transactions. The plentiful supply of available apartments offers numerous options to potential buyers. It will be interesting to follow the evolution of the real estate market as new data become available and economic and social factors continue to shape the real estate landscape in Israel.
Disclaimer : Please note that the data used in this article is based on information provided by the Israel Central Bureau of Statistics (CBS) and is considered reliable. However, slight variations or subsequent updates may impact the exact figures.