The average rent for a two-bedroom apartment in Jerusalem is $2,500 a month, and it can be even higher, depending on location, sources said.
The average weekly rent in the city is $1,100, and the average monthly rent in Tel Aviv is $900.
The average weekly salary in Jerusalem, with the exception of those working in the military and security service, is around $2.70, according to the Jerusalem Business Intelligence Group.
The lowest salaries are in the private sector, at $1.20 a month.
The number of people in the Jerusalem area who can afford to rent a one-bedroom unit has been decreasing, as the population of Israelis living in the Palestinian territories has grown.
In 2015, the average rent in East Jerusalem was $1 and in West Jerusalem, $1 a month.
“This is not a luxury,” said Meir Lau, a Jerusalem resident who rents a one room apartment in an old building on the West Bank.
“I am looking for the best option, but sometimes I have to choose between rent and the necessities.”
Lau and his wife, Gidon, moved to the West Jerusalem neighborhood of Beit El in 2005 after a short stay in the Israeli capital.
They lived in their building for two years and paid the equivalent of $3,000 in rent to the landlord, but were unable to afford the new house in Jerusalem.
“When we came to the city, we saw an increase in the number of families, particularly families with children, and they wanted to live in Jerusalem,” he said.
“When we arrived, we decided to rent out our apartment.
We were surprised that we could rent a single bedroom.”
Laurie Gensler, director of the Jerusalem Economic Development Organization, said that rents are now about 60 percent lower than they were a year ago.
The government, however, has not implemented the “no-bid” policy in order to ease the situation, Genser said.
According to Lau, the market is becoming increasingly crowded with people who want to live and work in Jerusalem.
“There is a huge demand for housing in Jerusalem right now, and we have a huge number of available units,” Lau said.
“People who are looking for an apartment are looking at the best prices, and some of them are paying even more,” he added.
“It is a trend we can expect to continue.”
Rent in Jerusalem rose 4.9 percent last year, according a Bloomberg report.
In Tel Aviv, rents increased 5.3 percent.
In Jerusalem, rents rose 4 percent.
According to a recent survey conducted by the Jerusalem Fund, more than 60 percent of those surveyed said they would like to live closer to Jerusalem.
Some Israelis are living in apartments that are over five stories tall.
The Israeli government has been considering a plan to allow taller buildings to be built in the country.
However, Jerusalem’s mayor, Nir Barkat, said the proposal will not go through, because the construction of the tower would be considered illegal under Israeli law.
“We’re building a new apartment tower in Jerusalem in order for the building to be approved, and as soon as the building is approved, it will be built,” Barkat said in an interview with Israel Radio.
“So we won’t move forward with the proposal.”