While Diaspora Jews scurried to send supplies to Israeli soldiers and displaced citizens in a post-October 7 world, a new reality emerged in their own backyards. Rising antisemitism worldwide has generated an undercurrent of unease, sparking a surge in demand for buying property in Israel.
The irony of buying property in a war-stricken state highlights the strong trust that world Jewry have in the stability of Israel’s economy and real estate market.
“We had a quiet period for about four to six weeks after October 7, as everyone was still in shock,” explained Michael Steinmetz, owner of Jerusalem Real Estate, a realty company. “But after that, the demand to buy was so high, I had to hire two new realtors just to keep up, and it hasn’t slowed down since.”
The majority of interest comes from clients in the U.S. Owning a home in Israel has long been a dream for many Jews worldwide, regardless of whether they plan to live there. This desire has now intensified significantly.
Several factors contribute to this notable trend: the desire to support Israel, seeking a safe haven, planning to move to Israel within the next decade, and confidence in Israeli real estate as a secure long-term investment.
“Israel is our ancestral homeland,” said a buyer from Long Island who preferred to remain anonymous. “It has always been our dream to own a piece of it and have it be part of the legacy we pass on to our children. It’s unfortunate that it took a war and a shaky situation in the Diaspora to push us forward.”
A buyer from Teaneck shared similar sentiments. “After October 7, the world changed, and buying property in Israel became a must! I needed to ensure that my family had options. Before October 7, I hadn’t even considered it.”
Kim Bash, a Jerusalem-based realtor who considers herself a “property and community matchmaker,” found homes for the aforementioned Teaneck and Long Island residents, among dozens of others who’ve flocked to her since October 7. “We just sold a property to a couple who had been planning to buy a vacation property in Florida,” she said. “After October 7th and in light of the rise of antisemitism, they decided to buy a home in Israel instead.”
“I believe that sooner than later, all of klal Yisrael will come home,” shared a buyer from Brooklyn. “The sooner you jump into the market, the more ahead of the curve you’ll be.”
Industry experts predict strong future growth of the Israeli real estate market. This is due to an influx of olim, increased foreign investment in multiple industries in Israel, and the renewed purchasing power of the local Israeli population for housing since the war began. These factors, combined with an already robust and resilient real estate market, create a recipe for a sound long-term investment.
While Jerusalem real estate continues to be a hot commodity, the demand spans the entire country, including the coastal cities of Tel Aviv and Netanya, as well as up-and-coming inland areas.
“We’ve had to hire another lawyer to manage the demand,” explained Yair Givati, Esq., a real estate attorney at Haim Givati & Co.—a law firm specializing in Israeli real estate transactions. In Israel, lawyers play a significant role in the real estate purchase process. Many foreign buyers seek out English-speaking lawyers to guide them through the process. “It’s inspiring to see how Jews around the world want to support Israel, and it’s an honor to facilitate their dream of owning a home in Israel,” added Givati.
“For the past seven years, we’ve hosted boutique Israeli real estate events at different locations across America,” explained Ben Levene of CapitIL Real Estate. “The number of attendees at these events has spiked dramatically since October 7.” Levene travels with a team of English-speaking real estate experts from Israel, including a real estate attorney, a mortgage broker, an interior designer and a currency exchange specialist. At their events, they explain the real estate purchasing process in Israel, empowering foreigners to navigate it with confidence.
Levene believes that the recent rioting surrounding large Israeli real estate events in Teaneck and Los Angeles only reinforces American Jews’ desire to buy property in Israel.
With the dramatic surge in interest and property prices holding steady, there is an expectation that Israel real estate prices will rise, particularly after the war. This can be attributed to a number of factors, including a growing population, rising labor and building supply costs, and government incentives. What’s more, while the local purchasing power has been somewhat stagnant during the war, as many men have been called up for reserve duty, it is expected to rise once they return and normal life resumes.
Considering all these factors, along with the simple economics of supply and demand, it’s no wonder the appeal to buy in Israel is so high right now. Israel’s resilient real estate market offers investors opportunities for stable growth and long-term security, and most importantly, provides a safe homeland for Jews.
Sammy Dweck Fragin oversees business development and client management at Haim Givati & Co.—The Experts in Israeli Real Estate Law. The firm specializes in property law and has bilingual lawyers who guide foreigners through every step of the process. You can learn more about their firm at https://givatilaw.co.il or email Sammy at [email protected].
