Exterior of property 311.
(photo credit: Courtesy)
Avi Sasi is the CEO of Housing T.L.V Ltd.
In light of today's economic situation as seen in the street demonstrations around the country, the real estate market is very stagnant! These strikes and demonstrations show the growing discontent and frustration of the middle class. And the market is affected.
It is now much more difficult to sell apartments at a reasonable, even logical price than just a few weeks ago. No one is willing to buy fearing the prices of apartments will drop soon. And the sellers are entrenched in their positions and unwilling to lower their asking price.
In my personal opinion, in Tel Aviv, especially in the central and
northern-most sections of the city, prices have not and will not go down
but will remain at today's level. What does this mean? It means that by
not being lowered, they have actually declined.
recommendation to apartment owners today would be not to sell, nor panic
over the prices. This very panic could cause the real estate market to
collapse as happened in the US in 2007.
And to the buyers,
people seeking apartments today, I'd recommend that they continue to
search because the change won't be in the price but in the amount of
apartments available, and their sizes. The big change that's going to
happen will be authorities allowing the splitting of larger apartments,
over 100 square meters, into two or three smaller apartments. This
should be food for thought both for owners of the larger apartments as
to why they should wait with their sales...as well as for families who
need to buy larger apartments today. In my estimation, in the near
future we're going to see some sort of slow down in the real estate
market following the public protests against the high cost-of-living and
housing. However, in the future, the prices will resume their upswing,
increase again and the Israeli real estate market will re-flourish.Bottom line
is looking for an apartment should keep looking because those who want
to sell, will. And those who haven't yet thought of selling, may now
consider putting their place on the market. In my opinion, prices
haven't been lowered as far as they might...they could still go down
further.For more information go to www.realestateisraelea.com – The home of premium properties.