Jewish settlers moved into a house in the Al-Tur district of occupied east Jerusalem on Wednesday, just hours after Israeli officials razed another Palestinian home in the same neighbourhood.

Scores of police were at the scene as a single bulldozer razed the small house near the Mount of Olives, in an operation that was completed shortly before the owner turned up with a court order to halt the demolition.

Abed Zablah showed AFP a Jerusalem court order issued early on Wednesday but, by the time he reached home with the document, it was too late.

Shortly afterwards, some 15 Jewish settlers, accompanied by dozens of police, took over a house in another part of the district, an Israeli peace activist told AFP.

"Around 15 people entered the house which is next door to another house which has been taken over by settlers," said Assaf Sharon, who belongs to an Israeli-Palestinian group which tries to stop settlers from taking over Arab homes in east Jerusalem.