web analytics
January 29, 2015 / 9 Shevat, 5775
 
At a Glance
News & Views
Sponsored Post


Lapid: Contractors Shouldn’t Be So Greedy

Plan to cut housing prices doesn't include Judea and Samaria building
Finance Minister Yair Lapid

Finance Minister Yair Lapid
Photo Credit: Yonatan Sindel/Flash90

Finance Minister Yair Lapid accused Israel’s building contractors of over-charging for housing and called on construction companies to forego profits for the benefit of young middle class couples. But Lapid stopped short of proposing a genuine free-market solution to Israel’s housing crisis: A massive buidling project in Judea and Samaria.

Speaking to the Globes financial daily, Lapid said he had proposed a series of steps to bring down housing prices in Israel, including exempting first-time home buyers from value added tax. But he pointed out that although land prices have fallen in Israel in recent years, housing prices have continued to rise over the same period of time. That, he said, is a clear sign of one thing: Greed.

“The real estate market enjoys a huge profit margin,” Lapid said. “Over the past four years, land prices have dropped, but housing prices have risen by 64 percent. The contractors certainly have places they can cut back.”

Lapid stressed that he does not want to put small contractors out of business by demanding they drop prices on their products, but he also warned there would be a “transition period” that could harm some builders.

While the finance minister – who in the past has referred to Jewish building in Judea, Samaria and Jerusalem as a “double mistake – seems undeterred by the anti-capitalist notion that the state should set prices in a free market, he has also apparently refused to consider another free-market solution to Israel’s ongoing housing crisis: Massive building in Judea and Samaria.

Bringing thousands of new homes onto the market in Ariel, Gush Etzion and further afield would presumably lead to a sharp drop in housing prices in Tel Aviv, Jerusalem and other major Israeli cities. A building project would also ensure the livelihoods of small and large construction companies alike.

Instead, Lapid said he is concentrating on  a series of tax-related measures, and the hope that builders will forgo some of their profits.

“These steps will bring down housing prices,” Lapid said.

About the Author: Avi is a news writer for The Jewish Press. In the past, he has covered Israel and the Jewish world for Israel National News, Ami magazine and other international media.


If you don't see your comment after publishing it, refresh the page.

Our comments section is intended for meaningful responses and debates in a civilized manner. We ask that you respect the fact that we are a religious Jewish website and avoid inappropriate language at all cost.

If you promote any foreign religions, gods or messiahs, lies about Israel, anti-Semitism, or advocate violence (except against terrorists), your permission to comment may be revoked.

2 Responses to “Lapid: Contractors Shouldn’t Be So Greedy”

  1. per m2 to biuld a house .250 us dl..m2

  2. well tell him, to go build them hes never done a hard days work inn his life

Comments are closed.

SocialTwist Tell-a-Friend

Current Top Story
PM Binyamin Netanyahu pays his respects to former PM Ariel Sharon at Sycamore Ranch, near Sderot.
Netanyahu: ‘Arik Sharon Knew The Real Threat is Iran’
Latest News Stories
Egyptian President Abdel Fattah al-Sisi

El-Sisi has embarked on an ambitious plan to destroy Hamas’s tunnel infrastructure underneath the Egyptian-Gaza border.

Will the real ketchup please stand up?

Israeli food makers are getting nervous about Israeli taste buds being Americanized.

Super Bowl fans warned to leave their drones at home.

Now the Secret Service needs a device to disable drunken government workers who fly drones at 1600 Pennsylvania.

PM Binyamin Netanyahu pays his respects to former PM Ariel Sharon at Sycamore Ranch, near Sderot.

PM Binyamin Netanyahu warns at a memorial for late PM Ariel Sharon that Iran has already begun its war against Israel.

“Not wanting to stir things up in the north” means “Yes, we could bomb them to kingdom come, but. no, we won’t.”

The US condemns Hezbollah’s attack on “IDF forces” but never mentions civilians or terror. Why not?

Canada comes out in strong support of Israel as it faces another threat from Iranian Mideast proxy, Hezbollah.

Professor Israel Hershkovitz (above) of the David-Manot Cave project compares a Neanderthal skull (L) and a Homo Sapiens skull (R), outside the excavation cave in Manot, Western Galilee in Northern Israel, on January 28, 2015. Archaeologists discovered a 55,000-year-old human skull in the Manot cave, which is the earliest fossilized evidence of an anatomically modern human […]

Five IDF soldiers are in Ziv Hospital in Tzefat…

9:31pm The Mt. Hermon ski resort on the Golan Heights will be open for business tomorrow morning — having receiving permission from the IDF. 8:03pm Channel 2 reports that Hezbollah terror cell was located 5 kilometers from Israel, and not within Israel as originally thought.Soldiers in 2nd vehicle were saved after they jumped out of […]

Prime Minister Binyamin Netanyahu announced Wednesday night that “whoever is behind today’s attack will pay the full price.”

The Gazans are protesting the freeze in the money transfer from the UN for rehabilitating their region.

Rivlin returning early to Israel from US trip due to situation in northern Israel.

The soldiers were part of an IDF convoy that was using a civilian road, one that hundreds of civilians use on a daily basis.

The GOC Northern Command declares Israel’s northern border with Syria in the Golan Heights to be a closed military zone.

The names of the IDF soldiers killed by Hezbollah at Mount Dov on Wednesday have been released for publication.

More Articles from Avi Tuchmayer
Bat Ayin children with local Rabbi Natan Greenberg. Apparently the police feel their civil rights are negotiable

Presumably, Bat Ayin children suspected of price tag crimes, but no charges have been filed; several teens held for more than a week without seeing a lawyer

Former Australian Foreign Minister Bob Carr

Australia has always had a vocal far-left constituency, but they are a minority that have had little voice in mainstream politics. Is that changing?

From its inception in 1926, Tnuva has been a household name, for children as they learned to talk up through adulthood. How do you say “Tnuva” in Chinese?

The Palestinian Authority-run Ma’an news website is well known for promoting baseless Arab propaganda, but you’d have thought they could at least get their basic geography right. But in an article bemoaning the “nakba” – the “tragedy” of having lost a war they started – Ma’an seems to have forgotten some of the basic geography of […]

Political arrests continue unabated in both Ramallah and Gaza; Freedom Committee spokesman: Arrests have “strained reconciliation atmosphere.”

Police find three-meter tunnel in South Hebron Hills; last week, local communities ran dry thanks to hundreds of illegal taps into water main

There is lots of evidence that Hilary Rodham Clinton, the former senator from New York, first lady and secretary of state, will to try to win the Democratic nomination for president in 2016. Even before formally announcing her candidacy, she’s been campaigning and making waves, all in an attempt to keep her name not only […]

“I would prefer Abu Mazen to worry about making things better here than holding Nakba protests,” said one taxi driver.

Printed from: http://www.jewishpress.com/news/breaking-news/lapid-contractors-shouldnt-be-so-greedy/2014/05/04/

Scan this QR code to visit this page online: