On more than one occasion, clients (and potential clients) approached me, saying things like, “I’m almost afraid to say it but…” or “I’m embarrassed to admit this…” I was not anticipating the rest of what they would say, which chilled me to the core: “I’m afraid of the future,” “I’m scared of the rising antisemitism in America,” “I don’t feel safe as a Jew here anymore,” or “I’d feel a lot better knowing I have a place to fall back on in Israel if I need it one day.”
I have been in the real estate industry in Israel for over 20 years. In all my years, I have never heard this sentiment uttered so often and by such an array of Jews. If you had asked me two years ago why people are buying property in Israel, I never would have listed “fear” or “rising antisemitism” as a top reason.
But the past 15 months have brought many changes to the people of Israel – and to Jews around the world, and I’m increasingly seeing customers approach us because they see property in Israel as a form of security–both financial and physical. The numbers back up the anecdotal evidence: our own sales rose some 78 percent since mid-2023, and we needed to hire an additional six employees, increasing our team by 60 percent.
Economic Confidence and Israeli Resilience
Despite the increasing numbers of inquiries and sales, we’re also seeing many people with concerns about the real estate market and the general economy, especially post-ceasefire. Nevertheless, the market remains resilient — and growing.
One brilliant example is the world of Israeli startups, in which 2024 was a banner year, with total transactions reaching $10.5 billion. While the number of deals decreased, the investments themselves were more substantial. In the first three quarters of 2024, $8.1 billion was invested in startups, compared to $7.3 billion the previous year.
The defense industry is also thriving. A January Wall Street Journal article reported record-breaking weapons sales here, with $1 billion in new contracts for Israeli defense companies.
Despite global economic challenges, Israel’s economy demonstrated tenacity. Reuters reported 3.8% growth in Q3 of 2024, driven by a significant 21.8% increase in fixed asset investments, particularly in residential buildings. Inflation was maintained at 3.5%, outperforming global economic pressures.
The AP highlighted Israel’s strong credit rating in 2024, despite some downgrades, such as S&P’s reduction from AA- to A+. Moreover, American billionaire Bill Ackman stated, “From a business perspective, Israel is the best place in the world to be right now.”
These indicators instill confidence in Israel’s economy and real estate market, not to mention that Israel also ranked among the top five happiest countries in the world in 2024, demonstrating emotional resilience following the October 7 attack. That’s quite an endorsement for this tiny country that’s endured so much.
Security and Stability in Israeli Real Estate
Of course, people buy people property in Israel for more than just feelings of security and fear of antisemitism. Owning a home here means securing a piece of the land for oneself and future generations, which is deeply meaningful and spiritually significant to many Jews.
As mentioned earlier, Israel is also a financially secure investment. Property values consistently rise. And thanks to a high birth rate — and no thanks to slow and insufficient building starts — demand remains strong, irrespective of global situations. Meitav’s chief economist, Alex Zazinsky, noted in a recent review that until 2022, an average of 76,000 new households (through marriage or aliyah) were created annually in Israel.
However, only 62,000 construction starts (i.e., properties in their beginning stages) and 53,000 completed apartments were added to the housing market each year. “The gap between the addition of households and the addition of completed apartments reached an all-time high of about 50%,” he noted.
At the end of the last fiscal year, the Central Bureau of Statistics reported a 7.8% rise in home prices from 2023 to 2024, even amid the prolonged conflict that wracked the country. Certainly, the gap in available housing was (and remains) a significant factor in that increase.
Many Jews from abroad view property purchases in Israel as a form of pension plan. Investing in an apartment ensures that your money retains and grows in value over time. When retirement comes, your investment will have appreciated significantly (just look at the annual price increases). With such a “pension plan,” renters cover the cost of the mortgage, and by the time you wish to move into or sell the property, the mortgage is completely paid off.
Whether planning aliyah (or an eventual aliyah), retirement, a holiday home, or an investment property to rent out, owning a place in Israel is powerful. No matter the global situation, having a property with your name on it in Israel is a profound connection to the homeland of the Jewish people. This goal makes the time and effort put into finding a property worthwhile.
Resources and Guidance
For those just beginning to think about buying in Israel, developers and brokers can guide you on available properties and the building process. Property experts can advise on neighborhoods with the best ROI and long-term growth. Finance professionals can shed light on mortgages and international monetary transactions.
Architects and designers can help turn a house into a home, making the most of compact spaces and choosing furnishings. Taking that initial step, though, to find and speak with these professionals can be more than daunting. It’s hard to know where to begin or whom to approach. How do you even figure out what you need or who to trust?
This is exactly why we’re hosting the Israel Real Estate Expo from February 16-19, bringing numerous industry professionals from Israel to you in Florida and New York. Meet brokers, developers, designers, architects, real estate lawyers, finance experts, and property managers—all under one roof. Enjoy the artisanal culinary experience of Pizza Biza’s gourmet fare while you take in the booths, ask your questions, and gain clarity on your real estate situation. It’s your chance to explore your options.
I’ll be there, along with my team of property experts, to advise you on all aspects of the buying process–from finding the right place to buy to figuring out what type of property is right for you, and more. I can introduce you to my network of trusted partners, professionals who I’ve worked with for many years and have personally vetted.
For those who already own properties or are planning to buy for investment, the Brud Group, our partners in this event, will be on hand to provide direct and practical advice and information about what’s involved in asset management. They are among the top in the field, managing a large portfolio in the boutique Jerusalem Estates development.
Israel is calling.
Now is the time to secure a piece of the land for yourself and your family. Join us at the Israel Real Estate Expo and explore your options. Sample some delicious Pizza Biza eats on us while you explore.
We’ll be in Surfside/Bal Harbour on February 16, Boca Raton on February 17, Brooklyn on February 18, and Monsey on February 19. For more information and free registration, visit www.thegettergroup.com/expo or call +1.732.806.0816.
This article was written in cooperation with The Getter Group.