CBS data for the third quarter of 2021 in the housing sector were revealed: about 13,650 new apartments were sold – 82.7% of the requested quantity (according to reports to the Tax Authority, about 12,520 transactions were made) | About a third of all new apartments sold are concentrated in cities: Ashkelon, Jerusalem, Tel Aviv, Modi’in-Maccabim-Re’ut, Bnei Brak | About 2,850 new apartments not for sale – 17.3% of the requested quantity. Of these, 84.6% are built as part of self-construction and “build your own home”
Aaron Payne 14.11.2021
The Central Bureau of Statistics published data on the sale of new dwellings in the three months – July, August and September, the third quarter of 2021, which shows that the requested quantity of new dwellings was about 16,500 dwellings, a figure that represents a decrease of 6.9% compared to the previous three months (April-June 2021).
After seasonal adjustment, there is a 0.6% increase in this period compared to the previous three months (April-June 2021). And an examination of the trend data shows that the requested amount of new dwellings has increased since May 2020 at a rate of 1.2% per month. When the requested quantity of new dwellings consists of 82.7% of new dwellings sold to the general public, and of 17.3% of new dwellings not for sale that have begun construction.
New apartments sold
Based on the CBS ‘monthly survey, in July-September 2021, approximately 13,650 new dwellings were sold, a decrease of 4.8% compared with the previous three months (April-June 2021). And after the seasonal adjustment is indicated in this period, an increase of 4.0% compared to the previous period. And an examination of the trend data shows that from March 2018, an increase of 2.4% per month was observed, with volatility in the number of new dwellings sold.
In addition, according to reports to the Tax Authority, in July-September 2021, approximately 12,520 transactions of sale of new apartments were carried out, of which 12.1% were transactions that have not yet been reviewed and approved by the Tax Authority.
The CBS data also show that the number of new non-sale dwellings that began construction in July-September 2021 is about 2,850 dwellings, a decrease of 16.0% compared to the previous three months. And after a seasonal adjustment, there is a decrease of 13.9% in the same period compared to the previous three months.
Geographical characteristics
In the three months July-September 2021, about 24.3% of the total amount of new dwellings requested were in the Central District, about 21.9% compared to about 10.1% of the total amount of new dwellings requested in the Haifa District.
The share of dwellings sold out of the nationally demanded quantity was 82.7%. In the Tel Aviv District, the percentage of dwellings sold out of the total quantity requested was 95.8%, compared with about 49.3% in the Northern District.
The localities in which more than 500 apartments were sold in July-September 2021 are: Ashkelon (1,183), Jerusalem (1,045), Tel Aviv-Yafo (835), Modi’in-Maccabim-Reut (723), Bnei Brak (664) and Rishon Lezion ( 604).
At the top of the list of localities where there has been an increase in the sale of new apartments compared to the previous three months are Jerusalem, Bnei Brak, Modi’in-Maccabim-Re’ut, Ramla and Rishon Lezion. And the main localities in which there was a decrease in the sale of new apartments compared to the previous three months are: Beit Shemesh, Bat Yam and Hadera.
The CBS data also show that in July-September 2021, 84.6% of the total dwellings that began construction for non-sale were for self-use (self-construction and “build your own home”), of which 37.3% were in the Northern District and 22.1% in the Southern District compared to 8.0 % In the Jerusalem District and 2.9% in the Tel Aviv District.
In addition, at the end of September 2021 the number of new dwellings left for sale was 43,136 dwellings. And the number of supply months in the three months July-September 2021 (the number of months that will pass until all the remaining apartments for sale are sold) is 9.1 months on average (weighted), assuming that the sales rate in these months will be the same as the sales rate recorded during September 2021.