Real estate investments have been considered a solid and profitable avenue over the years, but in recent years more and more investors have chosen to move away from Tel Aviv and the center – and move to the periphery. Why is this happening, and what advantages does investing outside of traditional demand areas offer? The main reason is, of course, the price. An apartment in the center of the country may cost 2 or even 3 times more than an apartment in the periphery. For investors, this means the possibility of purchasing more than one property, spreading risks, and enjoying a higher return. Furthermore, there are areas in the periphery that are experiencing accelerated employment development, transportation infrastructure, educational institutions, and government investments. All of these increase the value of properties in the medium-long term. The most prominent cities in this context include Afula, Beit Shean, Kiryat Gat, Netivot, and Dimona – all of which are hot destinations for investors. Investing in real estate in the periphery is not without risks. You need to carefully examine the environment, the level of rental demand, urban development plans, and the stability of the local economy. Accompanying a local real estate consultant can save you from quite a few mistakes. Another advantage: lower competition. While in the center of the country there are hundreds of investors for each property, in the periphery you can find good deals relatively quietly – and sometimes even haggle over the price. In conclusion, investing in the periphery is not a compromise move – but rather a calculated and wise strategy. When you choose the right location and examine the data in depth – you can enjoy a nice return, increasing value, and a property that can last for decades to come.
