New home sales in Israel have hit a three-year low, the Central Bureau of Statistics reports. 2,780 new homes were sold in August 2022, down nearly 50% from August 2021 and down 50% from August 2020. In July 2022, the number of new apartments bought was down 45% from July 2021.
New home sales have been falling by an average of 2.8% per month since October 2021. The number of new homes bought in August 2022 was similar to the monthly numbers of the first half of 2019. New home sales are expected to have continued falling during the holiday months of September and October 2022, and it is possible that new home sales levels will reach the low levels of 2018.
Central Bureau of Statistics data show that purchase deals for new apartments in Israel are falling faster than for second-hand apartments. At the same time the falling number of new apartments sold is increasing the supply and inventory of available new, which reached 49,300 new apartments at the end of August 2022, the highest number since June 2020.
Another surprising figure was that for the first time in many years the biggest number of new apartments is being sold in Jerusalem. Between June and August 2022, 581 new apartments were sold in Jerusalem, followed by 513 new apartments in Netanya, 506 new apartments in Tel Aviv, 388 new apartments in Lod, 380 new apartments in Beit Shemesh, and 352 new apartments in Rishon Lezion.
Published by Globes, Israel business news - en.globes.co.il - on October 18, 2022.
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