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While Israeli home prices skyrocketed, salary growth and inflation rates place Israel among the best in the world.
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"While American Jews once looked at having a home in Israel as luxury, or a nice thing to have for the holidays, it is now seen as a necessity for those who can afford to purchase one," Shapiro said.
The rise in sales was attributable in part to rising wealth levels among Israelis as the US stock market soared. Record-low interest rates are also spurring buyers to take mortgages at record levels.