Buy houses in the outskirts instead of setting up tents

The expectation from the tent protest, which has raised its head again, to change something - is unfounded.

If you think outside the box and receive support from the appropriate people, you can purchase an apartment.

So what if she is not around Rothschild?

Shay Bibbs, guest column

11/08/2022

Thursday, August 11, 2022, 10:40 a.m

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In recent weeks, we hear about more and more price increases of basic products and services, which once again put the cost of living in Israel on the agenda of all of us.

From the bread, fuel, tuna, flour, cheeses and what not?

While of course in the background the housing price train waits for no one, and continues to race.

At the same time, we are witnessing the resurgence of various protest movements, including an attempt to reproduce the tent protest of 2010, which has so far been unsuccessful.

This is alongside a "consumer revolt" led by the pipeline program, which recently reached an impressive achievement and managed to stop a major food importer from raising prices on products that are found in almost every home in Israel.

The phenomenon rears its head.

The new tent protest, June 2022 (Photo: Uri Sela)

The recent price protests raise many questions.

After all, since then, at least in the younger generation, we have never experienced a protest that actually worked, in the long run.

Even if supposedly some of the food companies and importers decided to stop the price increase due to the various protests, this is "Fata Morgana".

Eventually, prices will rise.

And I am not renewing anything that I say that Israel will continue to be an expensive country in the years to come.

The younger generation was born into a world that is all expensive to live in, and an impossible situation to live in, when the rate of wage increase is much lower than the rate of price increase.

If we add to this the fact that the state does not do much to give us knowledge and understanding of economic conduct and financial education, and we get a dangerous "vicious circle", which may bring more and more people below the poverty line.

But the state is not the problem, but us.

It is easy for us to blame the whole world except ourselves and not take responsibility.

Setting up tents in the middle of Rothschild, shouting about the cost of living, and expecting the best is already a fad.

People blew up the squares, went on demonstrations, blocked roads, sat down, and nothing really happened.

Real estate prices in Israel rose by more than 15% on average in the year of the Corona virus, and they are not going to stop anytime soon.

Therefore, the goal we need to put before our eyes is - how do we use the existing situation to promote ourselves and increase our capital?

The way there is through active actions.

The way to get there is by accumulating knowledge and understanding about real estate and investments, which will allow us to invest our money in places that will give us a return, and will allow us to live with dignity in our country.

There is a supply, you just need to know where to look.

Project in Netivot (Photo: Avi Rokah)

In order to give young people just like me the knowledge, guidance and assistance of experienced professionals, two years ago, together with Rotem Golan, I founded the YNOW community, which today has close to 10,000 members.

The community arose out of the understanding that there is no body that provides young people with the tools that will enable them to purchase an apartment and make investments and secure their future.

I was also in a similar place as many young people are today.

But thanks to active moves and many hours of learning and going down to the field and accompanying professionals, I was able to purchase 4 properties for investment in the periphery and Europe and invest in the capital market.

And everything, since my military age, and after I worked for minimum wage at a gas station.

In the last two years, veterans, students and young people at the beginning of their lives come to me, with low equity, of several tens of thousands of shekels, and I try to help them make better financial decisions and make smart real estate investments. real estate and over 850 young people for investments in the capital market, sharpened my understanding that the problem is not the cost of living, but in the decision we take and our true will to act.

Many people come to us and complain about the cost of living and that it is impossible for them to buy an apartment in Israel.

To each and every one who tells me this, I say one simple thing: "Stop crying, and start investing."

in the most direct way possible.

Not easy but possible.

Shay Bibbs (Photo: Maya Cohen)

Today, you can buy an apartment in the outskirts and even in some of the big cities in Israel, for hundreds of thousands of shekels, rent it out, and use the rent to pay the mortgage.

Instead of waiting for our dream apartment to be within reach, which probably won't happen anytime soon.

For example, today an apartment in Haifa, which costs 600,000 shekels, can be purchased by a young man, who only needs a few thousand shekels in his monthly flow.

After a few years he will be able to sell it at a profit, thus increasing his equity and moving on to the purchase of the next property of course.

Then the beautiful part happens, and we can enjoy passive income from the property and increase our income.

The ability of the general public to learn about money and to take good loans and increase their capital, instead of sitting on the fence, is the basis that will guarantee the next generation and generations to come a much better life, regardless of what the government decides to do and promote.

The road there is not easy, and it includes learning, taking risks and most of all, a change in the mind, which says "How so?"

instead of "how not".

But this is true for many areas in life and from the way it looks right now, this is the only fight that will really work.

The writer is a co-founder of the YNOW community that leads the members of the Y generation to personal and financial development

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