The US dollar is trading at historic lows.
A weak dollar indicates a strong shekel; a strong shekel means that your money buys more in the USA! A concrete example: Let’s say that a house in the US costs $100,000. At the dollar-shekel rate of a few months ago − 3.55 shekels − you needed to invest 355,000 shekels to purchase this house. But currently, with the dollar-shekel rate having dropped to 3.35 shekels per US dollar, the cost to you now is only 335,000 shekels − a savings of 20,000 shekels just because of the exchange rate!
For the real estate investor in the United States, this is a wonderful opportunity to profit from the lower exchange rate. Also, as I have written in previous articles, one should factor in the significantly higher returns on real estate investments in the United States, as well as the much smaller amount of capital needed to make those investments compared to investing in Israeli property.
Purchasing property or participating in group investments are also expected to increase the asset’s value which goes towards ensuring a secure, high quality investment rather than more risky investment alternatives.
