Done Deal: Living the life of luxury

The slowdown in the sale of luxury apartments means that there are some great properties out there at almost bargain prices.

By AVI SASI
July 27, 2011 15:25
3 minute read.
View from roof top in Rishon Lezion

Roof top party 311. (photo credit: Courtesy)

 
X

Dear Reader,
As you can imagine, more people are reading The Jerusalem Post than ever before. Nevertheless, traditional business models are no longer sustainable and high-quality publications, like ours, are being forced to look for new ways to keep going. Unlike many other news organizations, we have not put up a paywall. We want to keep our journalism open and accessible and be able to keep providing you with news and analyses from the frontlines of Israel, the Middle East and the Jewish World.

As one of our loyal readers, we ask you to be our partner.

For $5 a month you will receive access to the following:

  • A user experience almost completely free of ads
  • Access to our Premium Section
  • Content from the award-winning Jerusalem Report and our monthly magazine to learn Hebrew - Ivrit
  • A brand new ePaper featuring the daily newspaper as it appears in print in Israel

Help us grow and continue telling Israel’s story to the world.

Thank you,

Ronit Hasin-Hochman, CEO, Jerusalem Post Group
Yaakov Katz, Editor-in-Chief

UPGRADE YOUR JPOST EXPERIENCE FOR 5$ PER MONTH Show me later

Avi Sasi is the CEO of Housing T.L.V Ltd.

Purchasing an apartment above the market price in order to divide it into two units can be a great way to get a great deal. Taking advantage of the slowdown in the sale of luxury apartments is another way to benefit financially.

Be the first to know - Join our Facebook page.


Six months ago, a penthouse in West Rishon Lezion was offered for sale at the price of NIS 6,000,000. This same penthouse is now available for sale at the price of NIS 4,500,000.

Location

The apartment is located on a prestigious, quiet street close to schools and kindergartens in West Rishon Lezion with convenient access roads to main roads. It is a 15 minute drive to/from Tel Aviv with an amazing view of all the Dan Region to the west and north and breathtaking views toward the mountains east and south of Jerusalem.

The apartment

Set in the older section of West Rishon Lezion, the 8-room penthouse is 450 square meters with many options for expansion, such as adding another 50 square meters on the roof and making the Duplex into a Triplex (which increases the value of the apartment many times).

JPOST VIDEOS THAT MIGHT INTEREST YOU:


In addition, there is a private pool on the roof, a billiards room, a luxury designer kitchen, and three covered parking spaces totaling 80 meters. The apartment has been renovated from the ground up to a high architectural level. The price is equivalent to NIS 10,000 per square meter. The price is now below the market price for this prestigious area.

Why the price has dropped

The last year has seen a slow down in the sale of luxury apartments. It happened as a result of several developments in the real estate market. The reasons include a drop in the demand for such apartments and the fact that the Bank of Israel  has created a new method in providing mortgages which makes taking a large mortgage attached to prime rather difficult.

The Deal

The price of the penthouse went down and became less expensive in the past six months by over NIS 1,000,000 due to the seller's understanding of the luxury housing market trend and his need for a quick sale of the asset due to his move to another location.

Similar penthouses have been sold in recent years at prices higher than NIS 6,000,000 but due to the slowdown in the market there has been a drop in prices. In the past, when this penthouse was first placed on the market at the cost of NIS 6,000,000, the price was consistent with market prices at that time. However, when we at Housing TLV LTD explained to the customer that the market had stabilized and the real price had lowered and that he had to align his asking price with market prices, our client understood the rationale behind the idea.

Bottom Line

Many other luxury home sellers do not realize that prices have fallen, and their prices are not realistic for the market. The buyer got a great deal because the seller was sensible enough enough to ask for a reasonable price relative to the market.

For more information go to www.realestateisraelea.com – The home of premium properties.

Join Jerusalem Post Premium Plus now for just $5 and upgrade your experience with an ads-free website and exclusive content. Click here>>

Related Content

The Teva Pharmaceutical Industries
April 30, 2015
Teva doubles down on Mylan, despite rejection

By GLOBES, NIV ELIS