Cost of a seaside flat: it's not just the view

An apartment near the sea is a hard to reach dream for many people. Purchase prices often reach record levels. And maintenance going forward is also a lot more expensive than for a regular dwelling.

People don't necessary realize that the construction price is higher when building next to the sea. Not only more concrete is required around the steel beams but a special water proofing of the concrete is also required, increasing the costs further. It also means a longer construction cycle. And because of the very high humidity, the wind and the salt present on the sea side, much higher standards need to be applied to almost all building materials. The concrete but also the type of stone cladding, the wood, the steel (used everywhere from safeguards to screws and that needs to be stainless) need to be specially designed for the rough environment.

Property prices on the rebound

The real estate market appears to have been heating up in recent months. Bank of Israel figures state that an average of NIS 4 billion in new mortgages were taken a month in May and June 2012, compared with the monthly average of NIS 3.4 billion for the preceding 12 months. The monthly average of new mortgages in May-June was 28% higher than in January-April and 18% higher than the 12-month average. Households' mortgage portfolio totaled NIS 212.5 billion at the end of June, up 3.7% from the end of 2011. The average new mortgage was NIS 578,000 in the second quarter. Notwithstanding the market's volatility, the average mortgage has been stable, rising 3.5% compared with the first quarter. The average mortgage period of 20.7 years did not change over the preceding year.

The most common home prices were NIS 1.2-2 million in the second quarter, and 35.5% of mortgages were for buying homes in this price range. 12.4% of mortgages were for buying homes for less than NIS 800,000, and almost 30% were for buying homes that cost more than NIS 2 million, a third of which were for homes costing more than NIS 3 million.

Tel Aviv makes list of world's 10 best beach cities

Despite recent threats by the Tel Aviv Municipality to close six of the city's 13 beaches due to a labor dispute with the lifeguards, the city's beaches have been given an international thumbs-up by National Geographic in a recent list of "10 Great Urban Beaches."

The list, originally published on the Smartertravel.com website, writes: "If Jerusalem is Israel's responsible, buttoned-up firstborn child, then Tel Aviv is the fun, freewheeling youngest sibling. On warm days, Tel Avivians are quick to hit the city's 13 beaches that span more than eight miles along the Mediterranean."