The market is heating up: the annual rate of increase in apartment prices has started to slow down, but it still remains high - 18.8% in the last year.
Not surprisingly, the variation from city to city and even from neighborhood to neighborhood is very high.
Thus, while in some neighborhoods apartment prices jumped by more than 40% in one year, in some neighborhoods much more moderate increases were recorded.
From the exclusive analysis of the Madeleine site for "Israel Hayom", it appears that in the following three neighborhoods, the price of four-room apartments jumped by more than 45% from last year: in the Ramat Eliyahu neighborhood in Rishon Lezion, the price per square meter jumped by no less than 46.15% to an average price of 32,300. In Tel Aviv's Lev neighborhood, the price per square meter jumped by 45.9% to an astronomical sum of NIS 74,700 per square meter, and in Neve Avivim in Tel Aviv, the price rose by 45.2% to NIS 59,400 per square meter.
Madelan says that all prices are based on real transactions carried out in each and every neighborhood, and for the purpose of comparison, average prices of 2022 versus 2021 were taken.
The transformation of Ramat Eliyahu
"The neighborhood that experienced the highest increase in all categories is Ramat Eliyahu in Rishon Lezion, in 4-room apartments. This is interesting, because today Ramat Eliyahu is a distinct investor neighborhood - it is a bad neighborhood, with extensive eviction and construction plans, which has not gone unnoticed by investors. There is already little new construction in the neighborhood, which probably also contributed to the increase in prices.
"Other significant investor neighborhoods that have increased greatly are Bat Galim in Haifa, Shazar Baor Akiva, Jesse Cohen in Holon and Kiryat Hiyoval in Jerusalem (a renewed neighborhood, which, unlike the other neighborhoods mentioned here, is also considered suitable for living)," explains Tal Kopel, CEO Madeleine site.
In three-room apartments, the neighborhood that leads Madeleine's ranking where the price per square meter jumped the most sharply compared to 2021, is the city center of Ramat Gan, where the price per square meter jumped by about 45.7% to about NIS 42,700 in three-room apartments.
In second place is the Shazar neighborhood in Or Akiva with an increase of 38.21% to about NIS 17,000 per square meter, and in third place - Ir Ganim B in Jerusalem with a jump of 32.64% to about 31,700 per square meter.
The entrance to Kfar Yona, photo: Yehoshua Yosef
Kfar Yona is a leader
"The City Center A neighborhood in Ramat Gan is an old neighborhood that enjoys several advantages, including its relative proximity to the Stock Exchange area and Tel Aviv. In the center of the neighborhood is Shaul Garden - a large, green and pastoral garden (also known as the Monkey Garden), and the part of the neighborhood that is west of it is considered prestigious and sought after Especially - it is relatively high and overlooks Tel Aviv, and among its residents you can also find the British ambassador, who often hosts prestigious events at his home," Kopel says.
5-room apartments increased more moderately compared to 4- and 3-room apartments.
Thus, the neighborhood where the sharpest jump in the prices of 5-room apartments was recorded is Sharona in Kfar Yona with an increase of 36.2% per square meter to a price of 20,300 per square meter.
The prices per square meter in the neighborhood of District A in Ashdod increased by 30.4% to about NIS 22,300 per square meter, and in the city of Yamim in Netanya, prices increased by 26.2% to an average of 29,900 per square meter in 5-room apartments.
Madeleine's analysis shows that the prices of 5-room apartments increased more moderately, as mentioned, and there are quite a few neighborhoods where the prices of these apartments increased by less than 20% (that is, less than the national average).
Thus, for example, in the neighborhood of Kiryat David Ramez in Ra'anana there was an increase of 18.6% compared to 2021, in the center of Yehud/Monoson by 18.1%, in the neighborhood of Gila in Jerusalem and in the center of Kiryat Ata by about 17.8%, in the northeast of Rehovot by 17.3% and in the center of Afula by about 17.1%
According to Kopel, "In 5 Rooms there is an interesting mix in the neighborhoods that have risen the most, between new neighborhoods such as Sharona in Kfar Yona, Ir Yamim in Netanya, Ramot Yitzhak in Nesher, and the Park neighborhood in Hadera, and old but very regenerating neighborhoods, such as District A in Ashdod, which is also enjoying From the great proximity to the sea, and the center of Herzliya."
An urban living experience
According to the Madeleine website, the most expensive neighborhood, as of today, is the western part of Tel Aviv, where you will have to part with an average of NIS 70,000 per square meter.
These are Tschernihovski, Bialik, Ben Yehuda and other streets.
"Out of the 10 most expensive neighborhoods in Israel right now, 8 are in Tel Aviv - in the heart of the city and in the north (but only one neighborhood beyond Yarkon, Neve Avivim, which also recorded a big jump in 4-room apartments). These are very sought-after neighborhoods, which give their residents an urban living experience that is almost impossible to find anywhere in Israel," concludes Kopel.
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