Tel Aviv Leads New Apartment Sales with Five-Year Quarterly Record in First Half of 2026

Tel Aviv dominated new apartment sales in Israel during the first half of 2026, setting a five-year quarterly record in the second quarter with 1,236 new units sold. This figure was just shy of the last quarter of 2021, which saw about 30 more sales. Overall, 2,056 new apartments were sold in Tel Aviv in the first six months, making it the clear leader nationwide. Jerusalem followed with 987 new apartments sold, including 483 in the second quarter, while Ofakim and Haifa ranked third and fourth with 845 and 791 new units sold respectively.

Despite this sales surge, the total number of transactions slightly declined compared to the first quarter. The supply of unsold new apartments in Tel Aviv dropped to its lowest since early 2025, standing at 9,549 units, which still represents 11% of Israel's total new apartment inventory. Across the country, the total supply of unsold new apartments reached 84,280, with Jerusalem holding the largest share at 10,320 units.

In the market for second-hand apartments, Jerusalem led with 1,860 sales in the first half of the year, followed by Haifa with 1,709, Beersheba with 1,262, and Tel Aviv with 1,077. Notably, two-thirds of all apartments sold nationwide during this period were new, a rare trend attributed to buyers’ preference for modern specifications, including reinforced security rooms (mamadim).

The Central Bureau of Statistics (CBS) noted a slight overall increase of about 1% in the housing market since the start of the year, driven mainly by a 2.7% monthly rise in new apartment sales. However, this data includes discounted housing programs and does not isolate free-market sales. Conversely, second-hand apartment sales showed a slight monthly decline of approximately 0.5% in the last quarter, though CBS cautioned it is too early to confirm a trend reversal.

With the current sales pace, it would take about 26 months to clear the existing inventory of new apartments. The report highlights that while Tel Aviv’s new apartment sales are strong, the overall housing market remains relatively stagnant. The article also references an interview with a CEO warning that the next real estate crisis could be far more severe than the current one.