Average Rent in Major Israeli Cities Rises 5% to 5,000 Shekels Amid High Demand

Rental prices in Israel continue to increase, with the average monthly rent nationwide reaching approximately 5,000 shekels, marking a 5% rise over the past year. This average varies significantly depending on the city, apartment size, and specific features such as the presence of a reinforced security room (mamad) or parking availability. A new rental price database compiled by Bizportal aggregates data from various sources including real estate agencies, the Central Bureau of Statistics, and market experts to provide updated rental price benchmarks for major cities.

The database allows renters and landlords to compare current rents for apartments with two to five or more rooms across different urban areas. It also tracks annual percentage changes in rental prices. However, the average figures serve only as a guideline since actual prices depend heavily on the apartment's condition, location, and amenities. For example, a two-room apartment in a luxury high-rise in Ramat Gan with a mamad and parking will command above-average rent, while an older, unfurnished unit in a less desirable neighborhood will be below average.

The rental market in Israel is characterized as a "seller's market," where landlords hold the upper hand due to high demand and limited supply. The ongoing conflict has further reduced the availability of rental units, contributing to rising rents. This contrasts with the housing purchase market, where buyers have more influence due to greater supply. The updated rental price tool aims to help tenants assess whether they are paying above or below market rates and assist landlords in determining appropriate rent adjustments.

The full report was originally published by Bizportal on July 17, 2026.