Prices and demand for homes in Israel continue to climb. Last month, the amount of money provided by banks for mortgages rose by some NIS 5 billion, a billion more shekels than in June, meaning that there was a 20% increase in demand for housing in July. Industry experts said that the demand was most likely due to the latest interest rate cut by the Bank of Israel, which lowered the interest rates for mortgages as well.
In a statement, the Bank said Monday that the increased demand could influence its decisions on whether to raise or lower interest rates.