As a result of the high exchange rate, much of the real estate market (whether for second hand or new apartments) was priced in dollars, and simply paid for in shekels at the representative rate of the dollar on the date of payment. This allowed foreigners with strong currencies to purchase real estate in Israel without worrying about currency fluctuations.
Additionally, real estate prices abroad were also high, so that a foreigner could sell his house in New York or London, get an excellent price and have plenty of money to purchase real estate in Israel. Circumstances combined together to make the Israeli real estate market an attractive one.
About a year ago the situation began to change. Real estate markets in the U.S. and England began to fall and it became difficult for people to sell their properties before making Aliya.
