The global economic crisis has badly hurt property sales to foreign residents. State Revenues Authority data shows that in the fourth quarter of 2008, there was a 40% decline in the number of sales compared to the third quarter - and a 60% decline in comparison with the fourth quarter of 2007.
Much has been written and said about the "invasion" of Diaspora Jews in Israel, but so far few official figures have been released concerning the exact number of real-estate deals they struck or the prices they paid. Apartment purchases by foreign residents accounted for 5% of the overall sales in the country, but have been concentrated in a few specific areas, so their impact has been significant.
