How many salaries needed to buy a home in Israel?

Israeli apartment buildings Photo: Shutterstock
Israeli apartment buildings Photo: Shutterstock

The average annual monthly salary in Israel is NIS 12,100, which means on a national average it would take 12.9 years to buy a home, the Central Bureau of Statistics reports.

How many salaries are needed to buy a home in Israel? Central Bureau of Statistics, director of the geographical methodology sector Dr. Larisa Fleishman, presented data to answer this question at a real estate conference in Netanya on real estate in the Sharon region and Israel's biggest cities.

She found that the price of an average home in Israel nationwide in 2022 was NIS 1.87 million, while in the Sharon region the price of an average home was NIS 2.71 million. The average annual monthly salary in Israel is NIS 12,100, which means on a national average it would take 12.9 years (155 salaries) to buy a home in Israel. This figure is slightly higher than the 146 salaries that the Ministry of Construction and Housing found that it costs to buy a home in 2014.

Fleishman found major regional variations with Jerusalem the city where it takes most monthly salaries to buy an apartment - 26.9 years on average. This stems from the fact that Jerusalem has relatively low salaries and relatively high apartment prices.

In second place in terms of length of time it takes to buy an apartment is Bnei Brak, where it takes 25.4 years of salaries to buy a home. Tel Aviv, which has high salaries but also high housing prices, it takes 22.2 years of salaries to buy a home. In the periphery, where housing prices are lowest it only takes 10 years of salaries to buy an apartment in Beersheva, 10.1 years in Haifa, 13 years in Ashkelon, 15.3 years in Hadera and 15.4 years in Pardes Hanna. In Ramat Hasharon, which has the highest average price per home in the country, but also relatively high salaries, it takes an average of 19 years of salaries to buy a home.

Published by Globes, Israel business news - en.globes.co.il - on May 4, 2023.

© Copyright of Globes Publisher Itonut (1983) Ltd., 2023.

Israeli apartment buildings Photo: Shutterstock
Israeli apartment buildings Photo: Shutterstock
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