Israel Land Authority: Housing price spike will slow down at end of year

Israel Land Authority CEO Yanki Quint speaks in a special interview about the housing crisis and criticism of the government plan.

RASHBA STREET plays host to quite a few of Rehavia’s vacant apartments. (photo credit: MARC ISRAEL SELLEM)
RASHBA STREET plays host to quite a few of Rehavia’s vacant apartments.
(photo credit: MARC ISRAEL SELLEM)

The spike in housing prices in Israel is expected to slow down, the Israel Land Authority CEO told Maariv.

"Housing prices are affected by many factors and we do everything in our power, especially in increasing the supply of real estate," Yanki Quint, the CEO of the Israel Land Authority. "Along with raising interest rates and other complementary measures, housing prices will moderate and may fall towards the end of the year, depending of course on political stability." 

Quint is cautiously optimistic, and despite the criticism leveled against the government housing program, said: "Have you ever seen a program that wasn’t criticized, especially one that deals with difficult issues?

He explained that we’ve reached a peak in the pace of construction starts. "The measures that depended on the decisions of the Israel Land Council such as increasing the number of housing units, deepening  discounts, freezing prices and increasing discounts for local residents in the housing plans have been enacted.”

Criticism against housing programs

In response to criticism leveled at the program by senior finance officials, he added: "Some finance officials legitimately oppose the program, and they do their job faithfully. The game within the system is to maintain the public coffers and balance the various needs. Our job is to voice the professional position, but ultimately the ministers will decide. "

Real Estate (credit: JPOST STAFF)
Real Estate (credit: JPOST STAFF)

"Housing prices are affected by many factors and we do everything in our power, especially in increasing the supply of real estate."

Yanki Quint

"The threat of budget cuts against the Ministry of Housing has finally been dropped, and finance officials have returned very quickly," Quint continued. "The Ministry of Housing continues to move as usual."

On the claims that the ILA is a monopoly that sells land such as Sde Dov, the old airport opposite Ramat Aviv, at exorbitant prices, Quint said, "Sde Dov is a great example to show how a central factor which manages a parcel of land can cause its accelerated development. Sde Dov has a large number of owners, and to concentrate and manage the plan and arrangements with the Tel Aviv Municipality, the Airports Authority and the IDF; these are key reasons for the ILA."

“In the new plan we have reversed the situation so that four out of five apartments to be marketed will be offered at a discount and at reduced prices to young couples and those eligible,” Quint added.

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“In the real estate market there are many players who speak from their own position, and they have different and varied interests. Central and state management is necessary and essential.”