Home Price Index flat

Kiryat Ono apartments

The April-May index reading indicates that home prices in Israel are stabilizing. Meanwhile, general inflation has returned to within the target range.

The Home Price Index was flat and the index of new home prices rose slightly, by 0.9%, the Central Bureau of Statistics reported today. The figures are for the period April-May 2018 in comparison with March-April 2018. In comparison with the corresponding period last year, the Home Price Index fell 0.1%. The Consumer Price Index for June showed a rise of 0.1%.

In the breakdown by region, the Home Price Index shows a mixed picture. In Jerusalem, Tel Aviv, and the south, the index rose by 0.6%, 0.2%, and 0.9%. In the north, Haifa, and the central region, there were falls of 0.4%, 0.1%, and 0.7%.

After several successive falls, it seems that the Home Price Index has stabilized.

Meanwhile, after four years, inflation in Israel has returned to within the 1-3% target range. The rise in the CPI for June was only 0.1%, but the fact that the reading for May 2017, which was especially low, drops out of the calculation boosts the twelve-month inflation figure, as analysts expected. Most analysts see inflation continuing higher in the coming months, but say that this is a temporary phenomenon that does not justify an interest rate hike by the Bank of Israel.

Prices of fresh vegetables continued to rise steeply in June, by 7.5%. Fresh fruit prices on the other hand fell 3.2%. Clothing and footwear prices fell 6.4%.

Published by Globes [online], Israel business news - www.globes-online.com - on July 15, 2018

© Copyright of Globes Publisher Itonut (1983) Ltd. 2018

Kiryat Ono apartments
Kiryat Ono apartments
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