Property boom to moderate in 2007

"Despite the Lebanon war, the number of property deals in 2006 increased by 21 percent compared with 2005, on the back of a weak US currency which opened up buying opportunities for locals, and the rising trend of Jewish buyers from France, the US, the UK and Belgium," said Bernard Raskin, regional owner of Remax Israel, referring to a survey of Remax's activity across the country. "We expect that in 2007 prices will continue to rise similar to this year driven by high demand, which is not met proportionally by growing supply."