As we see the light at the end of the tunnel and the new road to and from Efrat is being completed, as we speak, we also see the increase in prices in the various communities in Efrat.
If prices in the older sections, such as Gefen, Rimon and Teena were between 8,000 to 10,000 NIS per sqm up to a year ago, we see now that the prices are already going up to around 12,000 to 13,000 NIS per sqm. Of course this all depends on location, size, condition and amenities.
Let’s shift to the more trendy areas, the newer communities, Dagan and Tamar. These areas were built only 4 years ago, and the prices have skyrocketed. Prices up to a year ago were around 12,000 NIS per sqm, depending on the same factors mentioned above, and are now between 14,000 to 15,000 NIS per sqm. These areas are closer to Jerusalem, making it more accessible for those who work in Jerusalem, and want to go out for a fun night in Jerusalem. It attracts a younger crowd in the mid-20s to early 30s.
Another interesting trend that has been going in the last couple of months, especially since Corona, is that we’re seeing a shift of young couples buying in the older parts of Efrat, due to the size of the property that they can receive and the better price for the time being. On the flipside of the newer communities, the older part is closer to the Gush intersection, where there are supermarkets, mall and a new business center in Kfar Etzion and still these areas are just 20 minutes from Jerusalem.
Just to sum it up, I think that Efrat is the newest place to invest in. It holds so many positive aspects, bigger properties, privacy, young environment with a mix of anglos and Israelis, close to Jerusalem. It is still much cheaper than buying in Jerusalem and you get more for your money. So the time is now to buy in these areas before we can completely see the light in the tunnel and the prices rise.
Most people would assume that when Israel is at war, stay away from real estate, but in actuality it’s the exact opposite, and I’ll tell you why.
Back in the day, the way to make money was to do a flip. This meant buying a property that needed renovations for cheaper due to the fact that it needed work, renovating it and selling it for a higher price. Through this, you’d make a nice amount of money. Well, those days are pretty much over due to the following factors
Until a week ago, if you bought a new property on paper and you went by the 20/80 payment schedule, you got screwed by the ‘cost of building index.’ Let me explain. ‘The cost of building index’ means that if the materials of a building being built were increased, such as wood, metals, tiles, etc., the buyer carried the burden of paying that extra cost. In a standard 150 sqm apartment, this meant...
When we entered Corona and throughout the last 2 years, we believed that we would see the prices decrease and many would take their properties off the market or decide not to sell or rent. We were proven wrong big time. During Corona, and now that we are sort of out of the woods, we are witnessing that the real estate market was and is booming. Properties are being put on the market for extraordinary...