Open up iterm2 splits in current working directory

You can get iterm2 to open up tabs, new splits and even new windows in the current working directory. This will show you how to set this up for new splits

Steps:

1) Open up Settings and click profiles tab

2) Select default profile in list

3) Making sure general General subtab is open, in the working directory section select advanced configuration

4) click edit

5) In new dialog in the Working directory for new split panes section, select "Reuse previous session's directory"

6) Click ok

7) Restart iterm2

Related protips:

Use ⌥ ← and ⌥→ to jump forwards / backwards words in iTerm 2, on OS X