I don't agree with the statement that the market will continue to decline until 2013. One reason alone, considering the unstable stock market yet increasing wealth of Israelis especially in Tel Aviv, what else will they be able to invest in? Property. Everyone knows that during times of static, sellers remove property from the market. The second hand housing market does not have that much property available even now (Sept. '11). Eventually, this will cause a shortage of property thereby increasing demand. My prediction, that there will continue to be small corrections this year but the market will start to turn around end of October by which time there will not have been any "3rd Intifada" and the Social Protest will have proven not to have hardly any effect on the property market. At the bginning of 2012, the market in Tel Aviv will have turned around completely and be heading north.

Drop in prices LIES UNTRUTH FALSE. A new way of advertising. People will be suckers and think they are getting cheaper housing ?????

There are only a few reason for the demand to slow down: 1) People leave the country 2) People rent 3) People stay with friends and family If people leave Israel, Israel looses. If people rent, then when the "investors" from the 2008 crash sell their apartments, there will be less on the rental market, and the price of rentals will sky rocket. For those who already forgot, when the markets were crashing, and the morgage interest was VERY low, people went and bought apartments as investments. The yearly return on an apartment is the rent. If people stay with friends and family,they will be back on the market by 2014.