While the housing market in Israel is showing signs of a bubble similar to that of the pre-crisis year of 2007, a similar collapse in housing prices is unlikely, say researchers from the Technion-Israel Institute of Technology in a paper.
Dr. Daniel Ben-Shahar and PhD candidate Yaakov Varchevsky examined home prices patterns and housing availability in Israel form 1989-2010 and found that the average home price in terms of the average net monthly household income had risen to 60 salaries in 2009 from 47 salaries over a 20-year period.
