Israeli home prices down

Apartment prices in Israel continued to fall in the first quarter of 2012, dropping 3.2% compared to the corresponding quarter of 2011. With inflation factored in, home prices in Israel dropped 5% this past year. This supposed slacking in home prices takes Israel off the list of the 10 most expensive real estate markets, where it has appeared for the past four years. The drop in home prices can be attributed to uncertainty in the local market, and the policies of the government and the Bank of Israel.