Ramat Bet Shemesh Gimel

The Israel Land Authority has published a public tender for over 2,000 housing units to be erected in Ramat Bet Shemesh "G" , of the total amount 750 units will be built to first home buyers (ie people of lower economic means) the land to apartment ratio will be approximately NIS 162,000 per apt. 
This cost to the builder represents land and land development costs(roads, footpaths, sewerage,etc).
Furthermore, the Bet Shemesh Municipality has declared that RBS G will be divided into 3 areas, namely: for the Ultra Orthodox, the National Modern Orthodox and the general public( traditional and secular)

Property rent rises

Property rent rises
Rents in most of Israel's large cities rose in August 2009 for the second consecutive month, after a brief halt.
The average rent of a 3 room apartment in Tel Aviv rose by 4.2% in August to NIS 4,485 per month, after rising 2.4% in July.
The average rent of a 3 room apartment in Beersheva rose by 2.7% to NIS 1,900 per month.
The average rent of a 3 room apartment in Haifa rose by 2.3% to NIS 2.250 per month.
Jerusalem was the only large city where apartment rents were stable or fell in August.

Tel Aviv rent rises

Rents in most of Israel's large cities rose in August 2009 for the second consecutive month, after a brief hiatus. Second hand sales winwin reports that the average rent of a three-room apartment in Tel Aviv rose by 4.2% in August to NIS 4,485 per month, after rising 2.4% in July. The average rent of a three-room apartment in north Tel Aviv rose by 2.1% to NIS 4,950 per month.
The average rent of a two-room apartment in central Tel Aviv rose by 5.3% to NIS 3,800 per month in August. The average rent of a two-room apartment in north Tel Aviv rose by 4.1% to NIS 3,700 per month.

Tight supply will raise home prices

Bank Leumi stated, "Since the start of the year, there has been a rise in new home sales due to the increase in demand, while we're seeing that the present supply is insufficient to maintain the multi-year equilibrium without raising prices. It further adds that the interest rate hike by itself will not help to reduce housing prices, since it is necessary to increase the supply of new homes.

Apartment prices rose over the past 12 months because of the limited supply and the low interest rate, which rendered other investment instruments less worthwhile.

The Central Bureau of Statistics stated that there were 14,790 housing starts in the first half of 2009, 3.3% fewer than in the first half of 2008. It estimates that the current rate of housing starts will result in a shortfall of at least 8,000 homes compared with demand.