Bank of Israel: Housing prices up 8% in last year
Report shows number of average monthly salaries needed to buy an average home in Israel reaches record high of 147.
The Bank of Israel "Monetary Policy Report - July-December 2013" published on Sunday indicates that housing prices rose 8% in the last year, ending in October 2013. The report also shows that the number of average monthly salaries needed to buy an average home in Israel reached a record high of 147 in September, up 52% from 2008, when it was 96 salaries.
The Central Bureau of Statistics specified that the median salary in 2012 was 6,541 shekels (1,870 dollars), 71% of the average salary that year. The median home price in 2013 was 1.4 million shekel (about $400,000).
According to a report in Globes, the Bank of Israel blames the government for the rise in home prices and says that the total housing credit has ballooned 70% in seven years, from 169 billion shekels in January 2007 to 287 billion shekels at the end of 2013.
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