Israel's Apartment Sales Decline in August Amidst Market Slowdown
Translated & summarized from Ynet by baba
Apartment sales in Israel fell by 5% in August compared to July, continuing a market slowdown, according to the Central Bureau of Statistics. While overall sales for the June-August period increased due to a May-June recovery, seasonally adjusted figures show a decline. New apartment sales saw a year-over-year surge, but second-hand sales experienced a slight decrease. The number of unsold new apartments rose to over 85,000 by the end of August.
The story in 6 lines · by baba
- Israel's apartment sales dropped 5% in August to 7,366 units, continuing a market slowdown.
- New apartment sales increased year-over-year, but second-hand sales saw a slight decline.
- The number of unsold new apartments nationwide reached 85,682 by the end of August.
- Tel Aviv and Central districts hold the largest share of unsold apartments.
- Kiryat Gat, Tel Aviv-Yafo, and Haifa led new apartment sales, while Ashdod and Ashkelon saw the biggest transaction drops.
- Rekhasim and Kiryat Gat reported significant increases in sales volume.
Apartment sales in Israel continued to decrease in August, with 7,366 units sold to the general public, a 5% drop from July's 7,768 units. This trend follows a slight market recovery in May-June. The Central Bureau of Statistics reported that approximately 45% of August sales were new apartments, with about 40% of those under the "Price for the Dweller" government program. Second-hand apartments accounted for 55% of sales.
Over the three-month period of June-August, a total of 24,200 apartments were sold, marking an 11% increase compared to the previous three months (March-May). This rise was attributed to the May-June recovery. However, after seasonal adjustments, sales showed a 3% decrease. On a year-over-year basis, both original and seasonally adjusted figures indicated an approximate 8% increase.
New apartment sales in June-August reached 10,110 units, a 11.6% rise from the prior three months, but a 5.5% decrease when seasonally adjusted. Compared to the same period in 2025, new apartment sales surged by about 25%. Second-hand apartment sales in June-August totaled 14,090 units, up 10.8% from the previous quarter, yet down 1% seasonally adjusted. Year-over-year, second-hand sales saw a slight decrease of 1.4% in original figures and 0.8% adjusted.
The Central and Southern districts led in total apartment sales from June to August. The Southern district led in new apartment sales, followed by the Central and Tel Aviv districts. The Central district dominated second-hand apartment sales. Kiryat Gat, Tel Aviv-Yafo, and Haifa saw the most new apartment sales, though Tel Aviv-Yafo experienced a significant 27% drop in new apartment transactions. Ashdod and Ashkelon reported the largest declines in overall transactions, with decreases of approximately 53% and 31.5%, respectively. Jerusalem saw a 25% drop in apartment sales.
Notable increases in sales volume were observed in Rekhasim (over 700%), Migdal HaEmek (over 400%), Herzliya (about 250%), and Kiryat Gat (2017%). Jerusalem, Haifa, and Be'er Sheva led in second-hand apartment sales volume, with minor changes in rates. Only Rosh Ha'ayin saw a decrease in second-hand apartment sales (about 5%).
By the end of August, the number of new apartments remaining for sale nationwide stood at 85,682 units. The number of months of supply was 26.7 months, a slight decrease. However, trend data shows a consistent monthly increase of 1.2% in unsold new apartments since April 2022. Tel Aviv and Central districts hold the largest share of unsold apartments, with Jerusalem and Tel Aviv-Yafo leading among major cities. Lod, Kiryat Gat, and Yehud-Monoson had the highest number of unsold new apartments among smaller cities.
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