Daily Israel Report
15:22
Reported

News Brief

  6/20/2012, Sivan 30, 5772

MK Regev: Banks Causing Housing Crisis


Israel’s banks are causing the housing crisis by making it difficult for contractors to get funding, MK Miri Reveg (Likud) said Wednesday. Regev spoke during a session called in light of Housing Minister Ariel Attias’s complaint that the Treasury has failed to come through with funding to alleviate the housing shortage.

“The Bank of Israel is not interested in having cheap apartments in the market,” she accused. “Rather, it wants the prices to stay high, and the homeless to find other solutions.

“They are making it harder to get a mortgage, and demanding more money up front,” she continued. “The trend is toward centralization, because smaller contracting firms are leaving because they can’t get guarantors or credit and they can’t start building.”