Treasury Data Reveals Pressure on Home Upgraders

In depth

New Finance Ministry data point to pressure among home upgraders who have already bought a new apartment but have not yet sold their previous one. According to Bizportal, in August almost a third of home upgrader sales in the Center were of apartments awaiting sale, and 7% of sellers in this group closed a deal in the last days before the tax benefit expired.

According to Bizportal, the inventory of apartments awaiting sale in Israel stands at about 23,000, approaching the peak levels of 2011. According to Ice, some sellers still have at least a year to sell their previous apartment, but fear of the Tax Authority has spurred them on, and a senior Treasury official spoke of upgraders rushing to sell at a discount.

According to Globes, the pressure to sell on time may lead to price cuts and unusual payment terms.