The detached statement of the incoming Minister of Housing, Yitzhak Goldenkopf from Torah Judaism, according to which he “does not see a housing crisis and does not know that there is a housing crisis in Israel” stirred up the real estate industry – “the crisis has been crying hard since the day the state was established. An entire generation of young people cannot purchase apartments.”
“He showed his ignorance in the field”, “He who sold an apartment and did not buy a replacement in recent years, is like someone who got off the train that continued to travel without him.”
There are countless harsh statements from Wednesday when the minister designated to take care of housing in Israel stated – because he does not know that there is a housing crisis in Israel, he sees that the cranes are working and that they are building…”“I didn’t know the Ministry of Housing before, so I don’t know that there is a crisis in this industry.” And everyone who lives in the country knows that there is a problem, all the more so who should be the one to deal with the most serious problem in this area since the founding of the country.
Appraiser Ohad Danos, former chairman of the real estate appraiser’s office, was also shocked by the statement of the minister appointed to deal with the crisis – “There is an acute crisis here.”
According to estimates, the year 2022 is expected to end with the completion of construction of new apartments in the amount of only about 50 thousand housing units, when in order to catch up with the demand for supply it is necessary to complete the construction of 60-70 thousand housing units.
We are talking about people who do not have money for apartments, for mortgages. We are in the worst situation we have been in the real estate market, I think, since the founding of the state, when an entire generation of young people cannot purchase apartments.
To the question of what Goldenkopf’s statement about the housing market indicates, Danos replied: “We are giving the keys to the Ministry of Construction and Housing, perhaps one of the most important ministries for solving the housing crisis, to sectoral hands, and as we heard and understood also to amateurs. When he started talking about the plans and the fact that ‘we will build and build ‘ – He showed his ignorance in the field.”
Attorney Zvi Shov, expert in real estate, planning and construction:
“This is a puzzling and even worrying statement, when it comes from someone who is supposed to be trusted in the field. “The prices that jumped, along with the great demand and the lack of construction starts, led to a difficult result. Whoever sold an apartment and did not purchase a replacement in recent years, is like someone who got off the train that continued to travel without him.”
Eli Rosenthal, CEO of the Tel Aviv and Central District Contractors Association, claimed that:
“The designated Minister of Housing is trying to create a different reality in the field of housing, but even if the problem is ignored – that does not mean that it does not exist. The Minister has a lot to change and fix in order to reach a situation where ‘there is no crisis’. The main and important thing is to reduce the endless bureaucracy in the industry As long as the issuance of a construction permit takes three years on average, it is impossible to double, triple, or quadruple the construction starts.”
Roni Mizrahi, President of the Contractors Chamber: “Finally, after a series of housing ministers who did not understand a thing and a half about the housing market, but pretended to understand and only caused tremendous damage, along came an honest person like Goldknopf who without shame admits to many the bitter truth – that he does not understand anything We will be happy to be at Goldknopf’s disposal and teach him everything he doesn’t know.”