January 2026
The Israeli property market opened 2026 with cautious optimism. Transaction volumes in Tel Aviv rose 8% month-on-month as buyers who had been sitting on the sidelines through late 2025 returned to the market. Demand for 3–4 room apartments in the Old North and Neve Tzedek remained particularly strong.
Transaction volume vs. Dec 2025
Bibian Group's Take
"We saw a clear shift in buyer sentiment in January. Clients who had been waiting for prices to soften came back to us — not because prices dropped, but because they accepted that they wouldn't. The Tel Aviv market simply doesn't have enough supply to allow meaningful corrections. Our advice: if you find the right property, move."
— David Bibian, Founder & Managing Director, Bibian Group
Prices
Average asking prices in central Tel Aviv held steady at NIS 55,000–75,000 per sqm. Neve Tzedek penthouses saw a 4% uptick in asking prices, driven by limited new inventory. Bat Yam continued to attract value-oriented buyers at NIS 22,000–30,000 per sqm, with several pre-sale projects launching in Q1.
Demand Drivers
Returning diaspora buyers — particularly from the US and France — accounted for an estimated 18% of luxury transactions in January. The Bank of Israel held the benchmark rate at 4.5%, keeping mortgage conditions stable. Foreign buyer inquiries to Bibian Group were up 22% versus January 2025.
Notable Transactions
A full-floor penthouse on HaYarkon Street closed at $4.2M — the highest recorded sale on that stretch since 2023. Two pre-sale units at the Frishman project were reserved within the first week of the January launch window, confirming strong appetite for off-plan luxury product.
Outlook
What to Watch Next
February is typically slower due to the holiday calendar, but we expect the underlying demand to persist. Watch the Bank of Israel's February rate decision closely — any cut would accelerate buyer activity significantly.
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