Poll: Israelis Strong Believers in Real Estate Investments

YERUSHALAYIM -
Construction of new residential buildings in central Tel Aviv, earlier this year. (Miriam Alster/Flash90))
Construction of new residential buildings in central Tel Aviv. (Miriam Alster/Flash90)

Efforts by Finance Minister Moshe Kachlon notwithstanding, the vast majority of Israelis are convinced that home prices will continue to climb, a new poll shows. As many as 80 percent believe that prices will go up significantly before they go down, while only 15 percent say that they will fall over the coming year.

The poll was taken during the month of July by the Snir real estate agency, with a scientifically determined group of 500 Israelis between the ages of 25 and 50, the period in life when most people buy their first homes. The poll was taken before a recent report by the Housing Ministry showing that housing prices rose some 8 percent over the past year.

New taxes that Kachlon is planning to slap on owners of multiple dwellings is unlikely to help, either. Kachlon plans to place a special tax on owners of three or more apartments that could amount to some NIS 20,000 a year, but 56 percent of those polled say that this is unlikely to prevent people from continuing to invest in real estate.

There is also a strong desire among all Israelis to invest in real estate, the poll showed, as it is considered to be the best way to grow money today. Most said that if they had the money, they too would invest in real estate, and 42 percent said that it would include investing abroad, if the opportunities there were better than in Israel.