November inflation matches forecasts; home prices still climbing

Israel’s Consumer Price Index (CPI) rose by 0.1% in November, the Central Bureau of Statistics has announced. The rise is in line with analysts’ estimates. For the year to date, the CPI is up 5%, and for the twelve months to the end of November it is up 5.3%.

There were significant rises in November in the housing item, up 0.6%, home maintenance, up 0.3%; and food, up 0.2%. Fresh produce prices fell 4.3%; footwear fell 1.5%; and home equipment and furnishings fell 0.3%.

Home rents excluding public housing rose 0.5%. For tenants who renewed their leases, rents rose 4.2%, while for new tenancies rents rose 8.1%.

The index of residential construction inputs fell 0.2% in November. Nevertheless, the index is up 4.8% since the beginning of the year. In the twelve months to te end of November, the index rose by 5%.

Home price still climbing

In home prices, the comparison of transactions in September-October with August-September 2022 shows a price rise of 1.2%, completing a 20.3% rise in comparison with September-October 2021. This is the largest annual rise in home prices for a decade.

In the breakdown by district, the change in home prices between August-September and September-October this year was down 0.1% in Jerusalem, up 1.2% in the northern district, up 1.1% in Haifa, up 1.9% in te central district, up 1.1% in Tel Aviv, and up 1.6% in the southern district.

Year-on year, prices rose 22.5% in the central and northern districts, 19.9% in Tel Aviv and Haifa, 18.7% in the southern district, and 16.6% in Jerusalem.

Published by Globes, Israel business news – en.globes.co.il – on December 15, 2022.

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